SatoshiPay, a Bitcoin nanopayment solution for web content, has received a $663,000 (€566,000) cash injection from Daniel Masters, who co-founded the world’s first fully-regulated Bitcoin hedge fund, Global Advisors Bitcoin Investment Fund and is Executive Chairman at CoinShares. It has also announced its intention to IPO in London.
The venture, which is also backed by European media house, Axel Springer, as well as specialised funds including Blue Star Capital and KR1 and business angels such as Jim Mellon, is aiming to rapidly scale its micropayment technology and build on its existing media focussed clients.
Breaking into the mainstream
SatoshiPay CEO Meinhard Benn (pictured) says: “We are delighted to receive our investment from someone who truly understands the crypto and payments arena. Danny Masters, along with our existing investors, has recognised that there is a huge opportunity in blockchain-based micropayments, particularly in the field of digital media content where publishers have a need for a commercial solution.”
He concedes that micropayments have thus far failed to achieve mainstream adoption due to bad usability and high transaction costs. “With existing bank infrastructure payment service providers charging base fees of 10-30p per transaction plus a percentage, it makes it very difficult for digital vendors to maintain a viable micropayment business model,” he says. “With SatoshiPay, the payment amounts start from as little as a fraction of a pence, enabling the company to strategically position itself to take advantage of an estimated $10 billion fee market.”
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