BitFury Group signed a $30 million agreement with Hong Kong-based Credit China Fintech that combines equity investment with a new joint venture aimed at the Chinese market. BitFury will hold an 80 per
BitFury Group signed a $30 million agreement with Hong Kong-based Credit China Fintech that combines equity investment with a new joint venture aimed at the Chinese market. BitFury will hold an 80 percent stake in the partnership while Credit China Fintech retains 20 percent.
The arrangement lets Credit China Fintech access bitcoin and blockchain technologies and embed them into its existing fintech platforms. The Hong Kong company operates financial services for small businesses and consumers across China via internet and mobile apps, offering payment processing, lending, investment accounts, and supply chain financing.
Phang Yew Kiat, vice-chairman and CEO of Credit China Fintech, said in a statement: "Blockchain is a fast emerging technology allowing effective secured value transfer over the Internet. Our collaboration with BitFury will further cement our leadership position in the use of blockchain technologies across our fintech platforms, taking Credit China Fintech to a new level of competitiveness."
BitFury develops and manufactures the software and hardware that businesses, governments, organizations, and individuals use to transfer assets securely across the blockchain.
Last week, BitFury and law firm Covington launched the Global Blockchain Business Council at the World Economic Forum in Davos, Switzerland. The council aims to gather major companies in the space to share knowledge about blockchain innovation and encourage wider adoption.
Thirty-three founding members from 25 countries joined the GBBC. The roster includes MIT Digital Currency from Australia, China M&A Association, the World Bank, former Estonia president Toomas Hendrik Ilves, and former Ukraine economy minister Aivaras Abromavičius. Credit China Fintech secured a founding membership spot as well.
Valery Vavilov, CEO and founder of BitFury, said: "We are deeply grateful to Credit China FinTech for both its forward-looking embrace of technology and its confidence in BitFury. China is a visionary country and we are honored to have the opportunity to expand the work of our company to this significant part of the world."
Credit China Fintech helped establish Asia's Fintech Merger and Acquisition Fund of Funds, a government and private sector initiative announced last December. The fund plans to deploy up to RMB 10 billion, or $1.4 billion, toward acquisitions in the fintech sector.
