Blockchain payments company Wyre has announced the completion of its successful acquisition of Remitsy, in a move that is designed to position the company ahead of its proposed expansion into China.
The deal, which comprised an offer in cash and equity at an undisclosed valuation, will see the San Francisco startup establish offices in Beijing, as it integrates Remitsy within its current business.
With the conclusion of the deal, Wyre inherits over 600 new customer accounts, in addition to the expertise of Remitsy’s founders, Richard Bensberg and Neil Woodfine.
With engineering resources remaining at the company’s base in San Francisco, a new office will be established with a staff of five in Beijing, to take advantage of Remitsy’s ties to the Chinese market, and help drive significant growth in the Chinese market.
Michael Dunworth, CEO of Wyre, welcomed the news, and the opportunities arising from Remitsy’s unique position within the Chinese market.
“Remitsy brings the expertise of industry veterans, who have built and scaled a beautiful product with a very impressive customer base.”
Remitsy is used by Chinese investors to convert cryptocurrencies, through a combination of blockchain technology and traditional banking systems.
The acquisition means Wyre will now be able to position for a more aggressive expansion in China, with a number of Chinese clients already using the Wyre platform in transaction conversions.
Speaking earlier, Dunworth suggested that by simplifying the process of moving money through the public blockchain, Wyre is making it easier for clients to shift money, including internationally, with minimal friction.
“We take all the headache away from learning about the blockchain. Hey, you want to move money? Use our API, it’s all over blockchain technology as opposed to correspondent banks. We do it all on the public blockchain, it’s all basically through bitcoin.”
Wyre settles transactions across border using a range of cryptocurrencies, including bitcoin, litecoin, and ethereum, serving mainly financial services and small businesses operating internationally.
The news comes just months after the company’s successful rebrand in December 2016, where it raised $5.8 million in its Series A funding round.