Company Name: Star Payment Systems
Announcement Date: 07/09/2017
Announcement Category: Merger/acquisition, Team Update
Announcement Content:
Stargroup Ltd (ASX:STL) has aligned itself with the cryptocurrency sector to provide an ATM solution for buying and selling Bitcoin.
Bitcoin has reached a level where a large-scale ATM roll-out provides a commercial opportunity.
Stargroup has entered into a joint venture with DigitalX Ltd (ASX:DCC), a Blockchain technology and advisory company providing services to enable the launch of new financial products.
The agreement covers the entire global network of Stargroup ATMs with the initial roadmap to focus on Australia.
At present, there are less than 20 ATMs in Australia that can facilitate a Bitcoin transaction and conversion fees are in the range of 4% to 8% of the transaction value.
The vast majority of these ATMs are only “One-Way ATMs”; meaning users can only acquire Bitcoin and add it to their Bitcoin wallet via the ATM.
Todd Zani, chief executive officer and executive chairman for Stargroup, commented:
"Stargroup is pleased to partner with DigitalX on this project and leverage its unique ownership of its ATM manufacturer to develop a two-way ATM where a Bitcoin owner can not only buy Bitcoin but more importantly can cash their Bitcoin out.
"This development may also be able to be applied to other cryptocurrencies and be distributed internationally."
Details of the joint venture
Stargroup will develop ATM software to process a two-way ATM transaction for the Bitcoin currency.
While DigitalX will develop an API to facilitate Bitcoin transactions with the ATM software for a two-way transaction for the Bitcoin currency.
Leigh Travers, chief executive officer for DigitalX, commented:
"With our growing success in Blockchain consultancy services we view this opportunity as a suitable fit to offer ordinary Australians exposure to crypto currency.
"The success of this joint venture with Stargroup will add long-term revenue channels to our business and additional value to our shareholders."
The Stargroup network
Stargroup provides end-to-end ATM deployment and electronic payment system services and solutions.
Within Australia, Stargroup has deployed circa 500 ATMs in Star Payments and manages approximately 2,400 ATMs via StarLink.
Stargroup has a direct ownership interest in NeoICP Korea Inc, a private Korean company that manufactures ATMs, back office, coin counting, banking and casino settlement solutions.
NeoICP Korea have around 16,000 ATMs and back office machines in South Korea bringing the total number of ATMs managed approaching 19,000.
Announcement URL: http://www.proactiveinvestors.com.au/companies/news/183335/stargroup-tailors-solution-for-buying-and-selling-bitcoin-183335.html
About Star Payment Systems:
Financial technology company Stargroup Limited is the only ASX listed company deploying ATM machines in Australia and importantly, the only listed ATM company having a direct ownership interest in the manufacturer of its ATM technologies, namely NeoICP, a South Korean private company.
Stargroup Limited became the exclusive distributor of the cashPod ATM range including the recycler ATM, back office and payment technologies in Australia for the next 5 years on 7 August 2015.
Stargroup Limited, via its wholly owned subsidiaries, StarPOS and StarApps, is also an EFTPOS and payWave technologies provider and developer of the source code in its terminals via its 5 year distribution agreement with West International AB, a Swedish NASDAQ listed company, to distribute next generation EFTPOS payment terminals and solutions in Australian and New Zealand.
Go to Company Profile for: Star Payment Systems
Announcement Contact: [email protected]
