Digital currency investment platform Voyager Digital (CSE: VYGR|OTCQB: VYGVF|FRA: UCD2) has acquired digital assets payments platform Coinify. The publicly traded firm wants to make it easier and cheaper for its clients to make payments in digital assets with the $84 million purchase. Coinify will retain its brand and employees but will now be integrated into Voyager Digital’s investment platform.
Announcing the acquisition, Voyager CEO and co-founder Stephen Ehrlich described it as “a huge milestone on our pathway into the payment space on a global scale.” Coinify shareholders will receive 5.1 million newly issued common stock shares in Voyager as well as $15 million in cash. As part of the agreement, Voyager will retain $5.5 million of cash on the Coinify balance sheet.
— Voyager (@investvoyager) August 4, 2021
Founded in 2014, Coinify is a popular player in the digital currency payments sector. Its systems allow merchants to accept digital currency payments while receiving the payout in fiat currencies. Coinify, which is based in Denmark, supports close to two dozen fiat currencies and offers its services in 150 countries spread across Europe, North America, Asia and South America. Aside from digital currency payments for merchants, Coinify also allows users to invoice their clients and receive the payments in either digital or fiat currencies.
Over the next year, Voyager will work on integrating Coinify’s payments infrastructure into its system. According to Ehrlih, in the near future, the company will offer person-to-person and person-to-business digital currency payments on its Voyager app. Business will also get to accept digital currency payments via the Voyager app.
Ehrlich commented, “As the adoption of cryptocurrency payments gains momentum, the acquisition of Coinify brings a global payment infrastructure to Voyager’s digital asset ecosystem and will give our rapidly growing customer base of over 1.75 million users a fast, easy, and secure way to make payments from their Voyager accounts.”
Voyager has seen explosive growth this year. The $2.28 billion company recorded 1,400% growth in its user base in the first six months of this year. According to its CEO, being publicly traded gives the firm a big advantage over its rivals. While he believes that several other companies will go public soon in the space, Ehrlich believes his company still has a substantial lead currently.
He told Forbes, “I know a lot of people have said they want to go public, let’s see how quickly they get there. We still have this lead on everybody when it comes to that and we’ll take advantage of that and look at more M&A transactions, but I think we have other advantages too.”
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