PayStand Raises $ 20 Million To Be Blockchain-Enabled Venmo For Commercial Payments
PayStand, a platform utilizing blockchain technology to automate commercial payments, has allocated $20 million in Series B funding.
Supporting the round are various VC firms, including Commerce Ventures, Battery Ventures, Epic Ventures, DNX Ventures, and Wildcat Ventures. Enduring investors Leap Global Partners and BlueRun Ventures also took part.
According to a press release on Thursday, PayStand strives to make complicated commercial transactions and payments “as simple and fast for enterprises as Venmo has done for basic customer-to-customer transactions.”
The firm’s service is based on a blockchain network that it states provides “real-time, fund-verified” payments, enabling businesses to transfer money around spontaneously. PayStand said it automates and digitizes the payment lifecycle, from invoice to reconciliation, by combining with consumer businesses’ databases.
“We made a promise to reboot commercial finance because it’s insecure, inefficient, and built on trustless networks and technology,” PayStand CEO Jeremy Almond said in the announcement. “Today marks another step towards realizing that vision and transforming enterprise finance.”
The company stated the fresh investment would enable it to speed extension of its services, and create out the sales, marketing, and engineering teams at its Guadalajara and California, Mexico, offices.
Conversing of why his firm joined the $20 million fundraise, Mitch Kitamura, managing director of DNX Ventures, stated in a blog post:
“Consumers have seemingly endless payment options, many of which offer near-instant payments with little to no fees. … Businesses lack the same options.”
PayStand’s “Venmo-like” Business to Business payment service, he added, could “save companies, on average, higher than fifty percent of the value of recognizing receivables and decrease days sales outstanding by more than sixty percent.”
DNX will encourage PayStand in its development in Japan, Kitamura told – a market that is incapable by way of being frequently cash-based and could profit in both times and cost savings from Paystand’s payments automation.
Last year, PayStand signed a deal with Japanese payment network JCB to create an end-to-end digital payment platform for companies and their consumers in Japan, according to TechRepublic.
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