Annual revenue of LocalBitcoins exceeded $27 million

Annual revenue of LocalBitcoins exceeded $27 million


Annual earnings of platform for a physical purchase and sale of bitcoin LocalBitcoins in 2017 made the more than 22 million euro (near $27,2 million), that almost three times more analogical indexes 2016 year. Such data over were brought by a founder and CEO of the Finnish company Nikolaus Kangas, CoinDesk writes.

Maybe, on a background many other large projects in cryptocurrency industry these numbers can show oneself modest, but if to remember that an enterprise began in 2011 from investments only in a few thousand dollars, they look impressively.

“We have the most global platform. Our aim to improve trade possibilities and serve people that have a limit access to financial services”, Nikolaus Kangas said.

According to Kangas, when seven years ago he with the brother Jeremias was thoughtful about creation of LocalBitcoins, options for a purchase and sale of bitcoin at the market were not practically. Nevertheless, even with arrival in industry of numerous venture firms and to opening of new possibilities, LocalBitcoins continues to remain one of the most popular platforms.

About it testifies circumstance that from the 4 million users of 40% registered oneself in the last half-year. Thus curiously, that only 20 employees working in the different points of planet serve a platform.

On a background many cryptocurrency exchanges the trade volumes of that exceed hundreds of millions or even a few milliards of dollars in a day, analogical indexes on LocalBitcoins are considerably more modest. However about meaningfulness of resource talks, for example, that to her services the habitants of countries call often, whose economy is in a deep crisis. Last such prime example is Venezuela, where for a past week an absolute record was fixed on volume transactions in size of 27 trillion of bolivars (near $55 million).

Also the considerable splash of activity in Canada, happening since Bank of Montreal began to block the cryptocurrency transactions of clients, was back marked some time.

“If to compare us to the large exchanges that do $100 million in a day, then we, certainly, will show oneself a shallow player. But, as I think, we decide the base problem of purchase and sale of bitcoin after fiat”, Nikolaus Kangas talks.

In respect of financial side, then the basic profit of LocalBitcoins is arrived at due to commissions collections in size of 1% from every transaction between users. And record income for 2017 were in a great deal assisted by the impressive height of bitcoin at the end of the last year.

Nevertheless, he confirmed that at least in the USA a company must report about certain transactions that can look suspicious. It behaves to the transactions to the amount of more $10 000 and transactions, that is obviously sent to that, to go round this limit.

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