Bitcoin Blockchain Startup Challenges: Case Of Wirex
This article is on Bitcoin Blockchain startup challenges. It is about a company named Wirex, which is fintech Blockchain startup. This company was founded by technology and financial experts. The company has faced many challenges. Wirex is a finance platform that combines both crypto currency and fiat currencies with many users.
Now if we talk about their business model, they issue cloud based banking accounts. The hybrid banking of Wirex has one protected bitcoin wallet and three fiat accounts – one for British pounds, second one for euro and the last one for US Dollar. This is how they differentiate by offering four currency accounts. The fiat accounts offers debit cards with payment processor and the Bitcoin wallet offers instant funds transfer.
They are trying to reduce the constraints people face with financial services. Their services would reduce the banking-related expenses. Their main aim is to make accounts as simple as people can open them easily.
The first problem the company faced was that they were not able to open their own bank accounts as many banks were interested to make bitcoin-related businesses as their customers. There were many regulations.
Bitcoin, Blockchain $ Wirex
Wirex faced many challenges in getting the funds, as it was not easy to persuade investors. Most of the investors prefer straightforward business models, they mostly look for less competition and it should have protected IP.
So Startups should have experienced people in all the sectors. Sometimes presentation skills and connections also play an important role. With limited resources, each member of the startup team should be filling each other’s gaps. In startups, one should always look for someone with entrepreneurial experience. It’s all about getting the right people.
Like many other businesses, initial years are difficult. So one should be resilient and prepared for the challenges since Blockchain and Bitcoin is a very competitive industry. One cannot leave this sector behind. The bottom line is that there are many challenges startups would face as there is lot of aversion from traditional financial sectors.