The metropolis based mostly Indian Bitcoin company Unocoin has raised US$ one.5 million in pre Series-A spherical. this is often the very best quantity of cash raised for a digital currency company in Republic of India.
Money for Uncoin poured in from accepted Indian venture capitalists like Blume Ventures, Bombay Angels and ah! Ventures. International investors backing Uncoin embrace Digital Currency cluster, Boost VC, Bank to the longer term, Bitcoin Capital and FundersClub.
The Indian Landscape - Unregulated however holds promise
India is home to one billion and individuals. it's conjointly the world’s quickest growing economy with gift and project gross domestic product rate in way over seven-membered. However, the Indian economy is tenacious by immense difference and is additionally home to world’s twenty first unbanked.
While technically speaking Bitcoin ought to hold immense potential in an exceedingly country like Republic of India, the reality is that there area unit many obstacles. one among the most important issues is that Bitcoin and alternative virtual currencies fall within the gray zone, as way as Indian rules and law area unit involved.
We talked with Sunny Ray, President of Unocoin regarding this issue and he mentioned a white book by a number one techno-legal house, Nishith Desai and Associates that addresses these problems.
“In the absence of absolute clarity, Unocoin was the primary company in Republic of India to hunt out and work closely with Nishith Desai and Associates to implement a comprehensive compliance and banking like framework to deal with these challenges,” he any adds. “Over the approaching years, we tend to expect that Bitcoin are going to be regulated almost like however it's being regulated in alternative countries. Our aim is to figure with individuals from domain, industry, and government of Republic of India to confirm that we tend to continue delivering on the guarantees of Bitcoin whereas consistently protective against the draw back risks. once it comes time to implement a regulative framework, owing to pioneering efforts we've created within the community, we tend to expect to assist form the longer term of this business.”
Unocoin has the chance to rework Bitcoin in Republic of India
In 2015, Republic of India attracted inward remittances value US$ sixty nine billion in keeping with the globe bank, that makes it the world’s largest remittal market. this is often a large chance for firms like Unocoin. There area unit alternative factors too that employment within the company.
Sunny Ray says:
“The 3 main reasons that the Unocoin is happy regarding Bitcoin in Republic of India are:
- large gold market
- the most important inward remitter
- the most important growing population of mobile/internet users.”
“When you couple these 3 points with the very fact that Bitcoin in some ways permits you to become your own bank, you'll be able to see why Bitcoin is much superior to credit/debit cards,” he explains. “Unocoin recently discharged a Bitcoin purpose of sale application that enables bourgeoiss to simply accept Bitcoins and that we auto-sell the Bitcoins and supply the merchant with bureau in their checking account. This technique of payment is each low value (currently free) and irreversible (reduces the chance of fraud).”
Indeed, providing a possible POS is vital in Republic of India wherever even debit and credit cards have did not build a headway. in keeping with a report by India’s Mint newspaper the explanation might belong the non-acceptance of cards by merchants.
They quote Piyush Singh, administrator (Financial Services cluster, Accenture India), as saying, “There could be a lack of penetration of PoS machines. And notwithstanding there area unit machines put in, low-value transactions area unit discouraged by the merchants themselves. Then there area unit property problems, that discourages customers from exploitation PoS terminals to form payments.”
So what is going to they are doing with this money?
The 1.5 million dollar is what area unit the longer term plans of Unocoin. From what we've got gathered their focus can stay squarely on the event of Bitcoin in Republic of India.
In order to develop this area they're going to have to be compelled to address key challenges and convey Bitcoin into the thought consciousness of the Indian living within the hinterlands. this may be troublesome and difficult however it's possible.
Sunny Ray discloses his future plans, “We arrange to currently rescale our operations by investment in strategic technical hires and infrastructure, community development, expansion, sales and selling, and more. Mainly, we tend to arrange to use these funds to speculate in an exceedingly series of innovative solutions that we're building on high of Bitcoin. Our overall aim is to form it simple to firmly get, sell, store, send and receive Bitcoin in Republic of India. to the current finish, we tend to aim to develop business leading services.”
source : www.cointelegraph.com
