An exciting and promising deal for both parties means that the Litecoin Foundation has acquired TokenPay’s original 9.9% stake in Germany’s WEG Bank.
According to the official information, provided to Coinatory, Litecoin receives the stake “in exchange for a broad and comprehensive marketing and technology service agreement to benefit TokenPay” and its variety of blockchain initiatives with regards to the WEG bank.
TokenPay will now rely on Litecoin’s blockchain expertise to achieve projects such as TPAY Cryptocurrency, eFin Decentralized Exchange (DEX), TokenSuisse Asset Management, WEG Bank FinTech Platform, Multisignature Transaction Engine, with similar projects also coming under the radar.
TokenPay would also go ahead to acquire a new 9.9% of the WEG bank even though it has an option to purchase an additional 70.2% in WEG Bank, under its May 2018 agreement with the institution. Under German banking law, no single entity can lay claim to more 9.9% of a bank without regulatory approval.
Upon the granting of the approval, TokenPay plans to exercise its options to acquire the remaining shares of WEG Bank it is entitled to purchase, as it bids to lay an early marker in the German fintech industry. TokenPay believes that the technical expertise provided by Litecoin will be a tremendous benefit to the establishment of comprehensive automation guidelines and standards employed by the bank as it explores new market opportunities.
In a series of tweet leading up to the new deal, Derek Capo, TokenPay CEO mentioned that,
‘Buying a bank in Germany gets TokenPay a seat at regulator table as well as a key to educating governments’ on blockchain impacts.
Happy Times For Everyone
Announcing the new deal on Twitter, Charlie Lee of the Litecoin foundation, hinted at the possibility of heavy Litecoin integration at the WEG Bank.
“This partnership is a huge win-win for both Litecoin and TokenPay. I’m looking forward to integrating Litecoin with the WEG Bank AG and all the various services it has to offer, to make it simple for anyone to buy and use Litecoin. I’m also excited about Litecoin’s support in TokenPay’s eFin decentralized exchange.”
On the one hand, TokenPay will now count on highly strategic partnerships that it has established with Verge and now Litecoin to provide world-class service to several hundred thousand customers coming to its debit card solutions platform in the near term.
Matthias von Hauff, founder and CEO of WEG Bank AG says they have become “convinced that the future of banking will make adoption of such modern payment methods inevitable and are therefore proud to have teamed up with the best in the field (Litecoin and TokenPay).”
This strategic partnership undoubtedly holds a lot of promise for the blockchain and crypto industry with the technology likely to come to the mainstream in German fintech ecosystem, and from Germany to the rest of the world!
TokenPay Swiss AG
TokenPay Swiss AG is a blockchain development company that incorporates Bitcoin cryptographic technology with advanced security and privacy features. TPAY is the world’s most secure coin. It employs an advanced proof-of-stake algorithm, Tor IP blocking and it is the feature cryptocurrency deployed in the robust TokenPay Multisignature Transaction Engine e-commerce merchant processing platform. TokenPay has an extensive financial ecosystem that includes key stakes in banking and asset management firms.
The Litecoin Foundation is a Singapore-based non-profit organization created to advance Litecoin for the good of society by developing and promoting state-of-the-art blockchain technologies. Litecoin was created by Charlie Lee in 2011 as a transaction-friendly cryptocurrency. It is commonly thought of as the “silver” to Bitcoin’s gold and has key technical differences that make it superior to Bitcoin for payments due to its faster transaction speeds and lower fees.
WEG Bank AG
WEG Bank was founded in 2015 and is the second bank started by CEO Matthias von Hauff. It is a thriving, market-leading German institution known throughout the industry as a market leader in the real estate renovation and modernization projects market. WEG Bank plans to create a new division, which will not disrupt the current one, that will enable consumers and merchants to integrate FinTech and blockchain technology and services.