Veem Bitcoin Payment Network to Launch an IPO, Gets $25 Million from Goldman Sachs and Google Ventures (GV)
Veem Could Be the First Bitcoin Startup to Launch an IPO
Goldman Sachs and GV will be the major investors in a $25 million funding round for the Bitcoin payment network known as Veem. The information has been revealed on September 26 by Veem’s CEO Marwan Forzley.
According to Mr. Forzley, the funding round has been a success and it was the most prominent since it started raising funds in May 2015. He said that the round showed the size of the opportunity that it represents to several other companies and the crypto space.
“What’s important about this round,” Forzley said,
“is the acknowledgement of the size of the opportunity, the size of the market, the size of the pain point that we’re solving for.”
The company has also grown during the last years. In 2015 it had only 600 clients and has recently reached 80,000. This shows how important these solutions are to avoid banking services.
There are several virtual currencies that have been very useful for their users, including Bitcoin (BTC), XRP and Stellar (XLM). For example, Ripple is ready to offer the xRapid product that would allow for fast and cheap cross-border transactions for enterprises and financial institutions.
Banks already know that they are losing an important market against virtual currencies and other financial startups. For example, JP Morgan, which has shown to be very skeptical about cryptocurrencies said that its blockchain network Quorum is being used by over 75 major financial institutions.
According to an analyst that talked to the Financial Times, payment is one of the segments banks worry most about. The banking industry has lost an important part of the market against these startups. Veem’s investors are very bullish on the future of the company. Karim Faris, GV general partner and Veem board member said that the company could be the first Bitcoin venture to launch an Initial Public Offering (IPO).