Bitcoin startup Ripio has seen its Series A funding round draw to a close, securing an investment of $428,000 from Medici Ventures to bring the latest bid for funding to a close.
The startup, formerly known as Bitpagos, raised a total of $2.25 million, in a funding drive that will help the company ready its services for a wider international rollout, and what they hope will be sustained global growth.
The funding round was organized in conjunction with Chinese venture capital fund Huiyin Blockchain Venture, which specializes in working with clients in the blockchain space.
The $2.25 million comes at a good time for Ripio, as it prepares to launch both extensions to its current offering, as well as rollouts in Colombia and Mexico.
David Garcia, senior vice-president at the Argentina-based startup, said that the funding will enable the company to realize its near-term potential, in terms of both developing new services and launching in new markets.
“We are looking to use the funds to keep the leading positions in the countries where we have operations and also grow our operations to new countries.”
Medici Ventures, a subsidiary of Overstock, was said to have been swayed by the startup’s strategic location in South America.
As much as 70 percent of the population of the continent still has no bank account, and are generally regarded as “unbanked.”
With payment solutions using the blockchain a key part of Ripio’s business model, analysts have suggested they could be in a unique position to capitalize on this growth market through the services they provide.
Medici Ventures themselves are no stranger to investments in blockchain technology. Previously, the organization has taken financial stakes in companies including SettleMint, IdentityMind, Factom and Peernova.
In return for the investment, Medici Ventures have been allocated a seat on the board, in an “observing” capacity. While the board member will not be eligible to vote, they will provide advice and influence from Medici, in helping to assist the executive board in growing the company to the next level.
The conclusion of funding marks the end of what has been considered a hugely successful funding drive on behalf of Ripio. It now remains to be seen whether the company can realize its potential in the global blockchain space.