Filipino Crypto Startup Coins.ph Acquired By Indonesian Unicorn Go-Jek

Investing, News | January 22, 2019 By:

Jakarta-based on-demand multi-service platform Go-Jek has acquired a “substantial share” of Coins.ph, a Philippines-based blockchain services platform.

Go-Jek, Indonesia’s first unicorn company, specializes in ride-hailing and logistics. Go-Jek’s app-based on-demand services also include Go-Pay, the fourth biggest e-wallet service in Indonesia, behind the country’s largest lenders, Bank Mandiri’s e-Money, Bank Central Asia’s Flazz, and state-owned telecom firm Telkomsel’s T-Cash. In October 2017, Go-jek’s e-wallet service have contributed 30 percent of overall e-money transactions in the country.

Founded in 2014, Coins.ph is a digital wallet provider that allows Filipinos to make payments or buy cryprocurrencies such as bitcoin, Bitcoin Cash, and ethereum. The company claims that its customer base has grown to more than 5 million in less than five years.

In a statement, Go-Jek said that its e-wallet service Go-Pay will be working with Coins.ph in a bid to enhance use cases and expand access to cashless payments and banking services, deepening financial inclusion in the Philippines. Their objective is to make it easier for Filipinos to process their payment needs.

“With the second largest population and a strong domestic economy, the Philippines is one of the most exciting markets in Southeast Asia and through this partnership with Coins.ph, we are humbled to take part in the country’s digital payments transformation,” Go-Jek CEO Nadiem Makarim. “Today’s announcement marks the start of our long-term commitment to the Philippines and a continuation of our mission to use technology to improve everyday lives and create a positive social impact.”

While Go-Jek did not disclose how much it invested in Coins.ph, TechCrunch reported that the Indonesian unicorn paid $72 million for acquiring the majority stake in the Philippine startup, citing two industry sources.

Ron Hose, CEO and co-founder of Coins.ph, said that the company was in the process of raising a new round of funding when the Go-Jek opportunity presented itself.

“We had to make a decision on how we want to continue growing our business, and we felt like ultimately together with Go-Jek we could build something that is overall bigger and better for our customers,” Hose said.