Newnote Financial, the Canadian crypto conglomerate that acquired CoinTrader.net back in March, has now picked up recently embattled digital marketplace PayIvy.
“Recently embattled” is a bit of an understatement, as world-renowned security analyst Brian Krebs singled them out in a recent blog post for activities of its users. He admits in his post that PayPal had never determined that PayIvy was violating its policies, IE selling stolen accounts, but instead some of its vendors had broken the policies and also had their PayPal accounts frozen. CCN is currently conducting an investigation into PayIvy at their request, and the report should be forthcoming this week.
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$260,000 CAD Acquisition
Newnote is a rapidly growing financially-focused company that is expanding further and further into the cryptocurrency space. The acquisition of PayIvy cost it a mere $260,000 CAD in cash and stock, and it has the benefit of the current development team staying on to propel the firm into the future. In a press release, Newnote said that 1,000 new vendors were signing up every week and that in its first six months the company had stimulated over $200,000 per month in revenues via its platform.
The digital marketplace allows vendors to easily digital goods. They accept Bitcoin, Litecoin, and Omnicoin via CoinPayments.net, the premier processor for altcoin payments. OmniCoin is native to Hackforums.net, one of the largest IT security professional forums in the world.
Newnote head Paul Dickson said in a press release:
This is a very strategic acquisition for Newnote, each of our services will be integrated into one another utilizing our APIs. Merchants can now setup shop with PayIvy.com, Accept payments through Coinpayments.net, Convert Bitcoin-to-Cash on Cointrader.net and transfer the funds into their bank account or remit overseas instantly. Newnote’s portfolio of Bitcoin centric assets now has a combined total of over 60,000 active users engaged in various crypto-currency activities while processing nearly $2,000,000 per month in Bitcoin transactions. We haven’t fully monetized each of our services during this rapid growth period, plans to do so are imminent.
Should Spell a Longer Future for the Start-Up
PayIvy’s founders, Lode Kennes, Ton Manh Nguyen, and David Snyder, the latter two of whom are Canadian, will now be able to focus on the development and expansion of the project, rather than worrying about being able to keep it alive financially. In addition to their exit payments, they have steady jobs now.