Bitcoin startup Bitpagos raises $1.9m in series A funding, rebrands as Ripio

Investing | January 10, 2017 By:

Bitpagos has rebranded as ‘Ripio’ and has announced raising $1.9 million in Series A funding round.

The round was led by China-based Huiyin Blockchain Venture with participation from existing investors Digital Currency Group, Boost VC and Draper VC. The company was founded in Buenos Aires, Argentina, in 2014, and previously raised undisclosed seed funding.

The company representatives said that the decision to rebrand as Ripio comes as the company’s mission has shifted more towards consumer-facing services.

The new capital will be used to grow the company’s business development team and utilizing those resources to further solidify its footing in South American markets. In addition, Ripio also seeks to create growth in markets outside of the region, with a planned launch of its bitcoin brokerage and payment services in Mexico.

The company is aiming to use digital currencies to encourage financial inclusion in South America, where credit card ownership is generally below 20 percent and many millions do not even have a bank account. Indeed, the World Bank concluded that “most” people in the region still stash their money under their bed rather than depositing it in a bank.

Ripio aims to change that by allowing users to buy online, and elsewhere, using its wallet app for Android — an iOS version is planned. Once a user has built up a spending history, the company can use that data as a credit history to help them take micro-loans or other kinds of financial services that would ordinarily be out of their reach.