Paystand joins the growing list of companies putting Bitcoin and other digital assets to their balance sheets.
The blockchain-enabled B2B payments company has added Bitcoin (BTC) and Ether (ETH) on its balance sheet.
This move marks a significant milestone for B2B SaaS companies and further legitimizes the emergence of cryptocurrency as a viable balance sheet asset.
Paystand
Founded in 2013, Paystand has pioneered blockchain-based B2B payments, and, to date, it has built one of the largest enterprise blockchains – the Assurety Blockchain – on Ethereum.
Paystand uses its blockchain technology to verify every transaction made on its zero-fee, bank-to-bank network. Its proprietary payments infrastructure makes it possible to eliminate punitive transaction fees and unnecessarily long time-to-cash cycles.
Due to the critical benefits it delivers to businesses, Paystand has experienced record-setting growth over the past year, processing over $2 billion in payment volume, increasing the number of business payers on its network to over 350,000, raising $85 million in Venture Capital in total, and growing its team over 100%.
Read Also: Paystand Secures $50M To Revolutionize The Traditional Enterprise Payments
Paystand Sees Long Term Value In Digital Currency
Paystand’s decision to accumulate and hold crypto underscores the company’s belief in the long-term value of digital currency and that owning DeFi assets will soon become essential for businesses in the 2020s and beyond.
Jeremy Almond, Paystand’s CEO, said:
“Blockchain technology is one of the best bets a company can make in the 2020s and within that, crypto has become an emerging opportunity to strengthen the corporate balance sheet and better manage capital preservation against external volatility in the fiat money supply.”
“Blockchain and digital currencies are uniquely positioned to transform corporate treasury and revolutionize how companies function at the root level. Just as cloud computing transformed the way companies were run in the early 2000s, blockchain will help businesses unlock newfound potential when it comes to scalability, growth, and revenue.”
Paystand believes the continued emergence of digital currency as a more mainstream, liquid asset and long-term store of value, along with the rise of blockchain use cases at the corporate level, changes the narrative. CFOs charged with both capital preservation and working capital efficiency now have reason to accumulate cryptocurrency to hedge against inflationary forces or power internal applications.
Scott Bennion, Paystand’s CFO, said:
“Our decision to accumulate digital assets is an essential part of Paystand’s business given our commitment to web3 technology. There’s no doubt that blockchain technology will become the foundation on which the next generation of enterprise operations are built, and we could not be more thrilled to blaze the trail for other companies who have an opportunity to see substantial benefits from leveraging digital currency and investing in blockchain technology.”
Adding Crypto On Balance Sheet
Many companies, notably MicroStrategy, Tesla, Galaxy Digital, Voyager Digital, and Square, have been adding crypto to their balance sheet. Recently, Time Magazine announced that it will hold Ethereum (ETH) on its balance sheet. In April, the leading financial media company Benzinga announced that it was diversifying its corporate treasury into cryptocurrency.
So, companies across different verticals have started buying Crypto. However, most of the publicly listed companies that hold bitcoin on their balance sheets are specialist cryptocurrency or blockchain firms. MicroStrategy holds the top position for a publicly traded firm owning the most bitcoin, adding to its position time and again.
Big advocates of Bitcoin believe that it is the best hedge against inflation and provides best long term value as an investment. As the crypto ecosystems is maturing and acceptance and adoption of crypto is growing, more number of companies are likely to put crypto to their balance sheet.
Read Also: Visa Begins Crypto Consulting Practice For Banks Amid Rising Demand For Digital Assets