SDF has invested US$500,000 by way of a convertible loan note to support SatoshiPay in the development of its B2B solution for commercial, cross-border payments and digital wallets using the blockchain framework.
The company said the funds will be used primarily to develop and market the SatoshiPay B2B solution which is currently being tested with a product expected to enter closed alpha testing within 8 weeks and a public beta launch expected in the fourth quarter of 2020.
SatoshiPay was one of the first businesses to use Stellar commercially and has, to date, processed €650,000 in payments from over 200,000 accounts. SatoshiPay's open-source wallet for the Stellar network, Solar, has also been downloaded more than 25,000 times in 40 countries.
“SDF is a key partner of SatoshiPay providing maintenance and partner support for the Stellar decentralised ledger network. This investment will enhance the already strong relationship that exists between the two organisations and provides a strong endorsement for SatoshiPay”, Blue Star said in a statement.
The company also estimated that the commercial payments segment, which the B2B solution will focus on, generates around €170bn in annual transaction fees.
Looking to the general SatoshiPay business, Blue Star said the firm has taken action to reduce costs following the coronavirus outbreak and its current cash position combined with the new investment from SDF will provide “sufficient working capital for the foreseeable future”.
"The investment by SDF is a great endorsement of SatoshiPay and comes at a critical time in the Company's development and secures its funding needs for some time to come”, said Blue Star chief executive Tony Fabrizi.
“The B2B business opportunity is significant and we are looking forward to the launch of the product in the next few months. We continue to believe that SatoshiPay has an exciting future", he added.
Blue Star's shares were steady at 0.12p in late-morning trading on Thursday.
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