Global Singapore-based bitcoin payment processing startup and mobile wallet GoCoin has announced that the company is set to proceed with a strategic merger agreement with veteran e-commerce and credit card processing company Ziftr.
Together, the two companies will offer a combined payment processing platform specifically targeted to merchants.
GoCoin’s decision to enter into a merger with Ziftr was greatly influenced by the continuous decline of their bitcoin platform’s transaction volumes, GoCoin explained. “With a growing number of marquee brands consistently coming on our platform only to become disenchanted due to low transaction volumes, GoCoin will no longer sit back and wait for change to come.”
Together, the two companies aim to rise above international competitors including Bitpay and Coinbase, by providing better tools and features with incentives for everyday purchases for its users. According to their press release, GoCoin and Ziftr are already equipped with the team and technology needed to “swiftly surpass” well established bitcoin payment processors and financial institutions.
With the existing payment gateways and the mobile wallet of GoCoin, Ziftr plans to aggressively challenge its competitor, Stripe, through the development of “a hybrid traditional and digital currency payments powerhouse with a built-in customer loyalty program.
GoCoin CEO Steve Beauregard announced, “When consumers ask ‘what’s in it for me?’, Bitcoin has a serious adoption problem. Loyalty points play a key role in a consumer’s choice of payment method, and with the ziftrCOIN loyalty platform integrated into the ziftrWALLET, I believe we can finally give consumers the right experience to choose digital currencies over cards at checkout.”
GoCoin is currently the world’s third largest blockchain payment processor, just behind Bitpay and Coinbase. With a diversified portfolio of clients which includes top mining companies such as Bitfury, Zoomhash, Hashpros and KnCminer and global brands including Shopify, CheapAir and Paypal, GoCoin plans to develop a platform efficient for many industries with the help of Ziftr. As of now, the company hopes to attract key players in the entertainment industry, specifically film producers and distributers.
“Ziftr has many of the necessary assets to accelerate mainstream adoption of digital currency, so merging with GoCoin and gaining access to its rapidly growing network of merchants gives our combined altcoin-friendly company the power to truly disrupt the $20 trillion global payments market,” Bob Wilkins, CEO of Ziftr commented. “Our platform will allow merchants of all sizes to benefit from the transparency and efficiency of blockchain payments by giving them a better solution than what’s currently available.”
As Wilkins explained, GoCoin’s network of merchants grew rapidly in the fourth quarter of 2014 and the first quarter of 2015. In the fourth quarter of 2014, it was responsible for 37 percent of all new merchants accepting digital currency including dogecoin, litecoin and bitcoin.
While the plans for the unified platform of GoCoin and Ziftr have not been released just yet, the large user base and rapidly growing networks for both companies could be a key factor for the merger to bring the services and platforms of these two companies to a new level given the synergies.
Joseph is a web developer and designer, writer and a passionate musician who loves to travel. He has worked as a researcher for a number of venture capital firms and as a freelancer designer for resorts and corporations in Korea and the Philippines.