MoonPay is a Fintech company that builds infrastructure for cryptocurrency payments. It has established itself as a market leader in its domain and aims to help people have better access to crypto.
In an A funding round led by Tiger Global Management and Coatue, MoonPay closed a $555 million. The funding round also saw participation from Thrive Capital, Blossom Capital, Paradigm, and NEA. The substantial financial round resulted in the profitable company being valued at $3.4 billion.
“We are delighted to back Ivan and the world-class team at MoonPay,” said John Curtius, partner at Tiger Global. “We spoke to many of the company’s customers during diligence who highlighted MoonPay’s compelling user experience and expressed conviction in the company’s market leadership. MoonPay has already established itself as an iconic company as it better enables the world to participate in the crypto economy.”
MoonPay is just a three year old company and has been able to gain the trust of people all over the world. It is currently being used in 160 countries and is trusted for defeating fraud and doing seamless transactions. 250+ leading wallets, websites and applications have been partnering with MoonPay to make cryptocurrency more accessible to the common man. MoonPay also sells its service to other blockchain-based businesses like Bitcoin.com, OpenSea, Binance and Dapper Labs.
How does it work?
MoonPay lets the user access their cryptocurrency through conventional payment methods like credit card, debit card, bank transfer, Google Pay, Samsung Pay, and Apple Pay. All of MoonPay’s features are meant to provide a seamless conversion between fiat and cryptocurrencies.
MoonPay’s NFT solution is trusted by OpenSea, the largest NFT, crypto collectibles and rare digital items marketplace. It provides users with a simple, secure, fast and efficient way to buy or sell any digital asset. MoonPay’s world-class crypto payments infrastructure is being increasingly adopted day by day by web3 applications based on finance, art, music and much more.
The company does KYC (know your customer) checks to identify its customers and comply with the global financial regulations. Apart from that, MoonPay also partners with vendors all over the world to keep up with the local regulations. It also takes full responsibility for the financial costs and time taken in potential chargebacks and fraudulent crypto transactions.
In just 2.5 years of its operations, MoonPay has successfully processed more than $2 billion in transactions and built a loyal customer base of more than 7 million people. It has facilitated more than 90 cryptocurrencies and more than 30 fiat currencies on its platform.
Is it a PayPal for Crypto?
People have been calling MoonPay a PayPal for crypto but Soto Wright doesn’t agree with this. He says that PayPal doesn’t let the users have full control over their personal data while MoonPay’s vision is quite opposite of this. Wright says that the company is built on the foundation that the future of crypto is all about customers taking possession of their private keys.
With companies like PayPal launching their own crypto feature, MoonPay founders say that they are not worried about competition from other fintech firms. Their purpose is to mainstream everything from digital fashion to tokenized stocks for the common people. They want to bridge the gap between traditional payment methods and digital currencies and assets.
The company has strong security protocols for keeping illegal activities like money laundering in check. Financial regulators have been growing wary of illicit activities in unregulated crypto markets day by day.
Future of MoonPay
The money raised in the sizable funding round would be used further to expand the company on a global level. The company decision-makers want to take the business public and establish MoonPay as a public company.
Blockchain and crypto is an industry that has huge potential for phenomenal growth in the future. It can completely change how people handle their finances, how artists are rewarded for their skills, how real estate investments are done and many more things. With so much potential, it is also an industry that is extremely volatile and risky. The volatility has affected even the big players like Coinbase. MoonPay representatives say that they are ready for every type of downturn that comes their way.
The company has been a profitable one from the starting and will continue to do so as it solves all the limitations that crypto wallets have and lets the users access crypto through ways that they are already familiar with. It gives its customers seamless checkout options while dealing with digital currency and digital assets. A solution like this will continue to flourish as long as there are blockchain-based applications in the market.