VANCOUVER: NetCents Technology Inc., the transactional hub for all cryptocurrency payments, has upsized its credit facility from USD1.4 Billion to USD2.0 billion, a news release noted.
The company has made this move to facilitate continued merchant growth; credit card launch and white label projects.
NetCents is preparing for rapid growth in the cryptocurrency space specifically B2B payments – its transaction volume is rising – and user adoption is growing rapidly.
“We think we are at that inflection point. Bitcoin is coming out of the shadows and moving again into the spotlight, unfortunately many missed the 300% run from the bottom,” stated Clayton Moore, CEO of NetCents.
“I do think it is ironic that JP Morgan – whose CEO derided Bitcoin as a fraud in 2017, has published research indicating millennials prefer Bitcoin to Gold as a store of value and inflation hedge ‘The older cohorts prefer gold, while the younger cohorts prefer Bitcoin as an ‘alternative’ currency’ they said”.
“Our education process continues to win over clients,” enthused Mr. Moore. “Clients are becoming exceedingly more comfortable with our products as we demonstrate security protocols and how the Bitcoin and other coins that potential clients receive are actually screened and vetted before we allow them on the platform, we increased the credit line because we need to increase our capabilities to meet growing demand,” concluded Mr. Moore.
According to Matt Harris of Bain Capital, the growth of technology companies that focus on B2B payments will continue through 2021. He alluded to the fact that while B2C was much more mature, there was a lot of room for B2B providers to grab market share.
NetCents has partnered with a handful of forward-thinking institutions to use its merchant order flow as a supply for a short-term crypto portfolio. The credit line enables NetCents to have money in the market over an extended period and be able to profit from arbitrage opportunities. The profits from this arbitrage will ultimately allow NetCents to reduce fees to its client base.
The Credit line allows NetCents the capacity to eliminate volatility risk for all of its merchants. Furthermore, this financing structure will help many cryptocurrency exchanges by creating a deeper market for mainstream cryptocurrencies.
NetCents Technology Inc, the transactional hub for all cryptocurrency payments, equips forward-thinking businesses with the technology to seamlessly integrate cryptocurrency processing into their payment model without taking on the risk or volatility of the crypto market. NetCents Technology is registered as a Money Services Business (MSB) with FINTRAC.