It goes without saying that that is great news for us as a business, and it is an important milestone in our journey to becoming the go-to banking and payments platform for crypto and fiat currencies. It is a success that everyone in the company has played a part in achieving.
On its own, this win is reason enough to celebrate. But put it alongside our rapid growth in monthly payments volumes – which have doubled since January of this year (we now process $2 billion annually) – there's clearly something very exciting going on. I believe we're witnessing in real time crypto's move into the corporate mainstream, and that sooner rather than later crypto will sit alongside fiat as a core currency for payments and treasury.
The benefits of crypto for corporates
From a business' perspective there are many good reasons for integrating crypto into finance operations. For one, it reduces reliance on intermediaries when, for example, settling payments across borders. Second, as a digitally native offering, crypto is near instantaneous, and therefore provides CFOs and treasury officers with much greater control and transparency. But perhaps most compelling is the fact that customers increasingly want to use cryptocurrency to pay for goods and services. Look at retail, where 25% of consumers say they prefer to shop with merchants that accept crypto. Being able to provide customers the payment experiences they demand will be an important differentiator for businesses.
But for the crypto revolution to truly be valuable to enterprises, then the supporting infrastructure needs to be up to the task. Last century, Visa and Mastercard invested significant amounts of time and money building the rails for moving money around the world. The infrastructure has been incredibly successful, but it is now showing signs of age.
Modernising payments and banking for the digital age
We're building the next generation of international payments and banking infrastructure, one that will support both crypto and fiat currency transactions with an agile, digital-first model. In doing so, we're attempting to unshackle businesses from systems that restrict them to fiat and enable them to accept crypto payments, settle crypto assets, and bridge seamlessly between fiat and crypto economies simply and while keeping a firm lid on risk. With BVNK will come a new model for corporate banking and treasury, one marked by low fees, low operational overheads, and unprecedented simplicity in managing the movement of funds across multiple jurisdictions.
Our ambition is nothing less than to enable a generational shift in corporate banking and payments, and that, of course, requires funding. We're therefore incredibly grateful to have received the financial support of backers including Tiger Global, The Raba Partnership, Avenir, Kingsway Capital, Nordstar, Concentric, and Base Capital among others. But more than providing the financial muscle we need to move into new markets, accelerate the acquisition of regulatory licences, and support the expansion of product capabilities, this investment is a strong show of confidence in our vision for the future of corporate finance.
Making the future happen
Since industrialisation, the world has seen time and again that even deeply embedded infrastructure can and does get rapidly displaced when a better alternative comes along. Whether that's from canals to railways for the transportation of freight, or from ships to aeroplanes for transoceanic passenger travel, or even the shift from postal network to telephony for long-distance communications. Today we're witnessing the shift from legacy, fiat-only crossborder payment rails to a digital-first future of fiat and cryptocurrencies. It's a once-in-a-generation shift and we're proud of our role in bringing it about.
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