At a Glance:
- The Litecoin Foundation needed a bank.
- The partnership opens up the potential to offer banking services to other crypto-related companies.
- Also opens up the potential to offer products such as Litecoin debit cards and a reliable fiat source for merchant processing.
- TokenPay previously had a deal to purchase the bank and partnered with the Litecoin Foundation for part of this deal.
- Litecoin Foundation can help TokenPay with tech like the Lightning Network.
By now, you’ve probably seen the news that the Litecoin Foundation announced that we have entered into a strategic partnership with TokenPay Swiss AG to acquire 9.9% of WEG Bank AG in Germany. As a result of this partnership, the Litecoin Foundation and TokenPay will work together to create and deliver modern consumer-driven crypto FinTech solutions to the market.
Having purchased the stake in WEG Bank AG some time ago, TokenPay further transferred the 9.9% ownership in the bank to the Litecoin Foundation in order to leverage us as a strategic marketing, blockchain technology, and logistics partner. Specifically, TokenPay will benefit from Litecoin’s high-level blockchain mechanization capabilities.
While we are still defining the roadmap, the partnership will focus on several key areas, including the creation of consumer driven financial products such as debit cards and processing solutions for merchants.
We see this partnership as a significant step forward for both Litecoin and TokenPay. At a high level, it will provide a gateway between traditional banking services and cryptocurrencies that can offer a much smoother experience for crypto users transacting in a fiat-dominated economy.
TokenPay has established some great relationships in the banking world and the ability to leverage those to form partnerships such as this one has far reaching implications for the cryptocurrency space. We look forward to working with their team to continue to evolve and improve how people around the world use cryptocurrencies.
Check out Charlie Lee’s full interview on Cheddar.