PEY launches Bitcoin salary payment service, receives 300,000 euros in seed funding

Bitcoin payments startup PEY announced that it has raised €300,000 (about $339,780) in seed funding for its newly launched Bitcoin salary payment service.

PEY, based in Hanover, the capital of Lower Saxony, Germany, connects Bitcoin POS terminals with consumer apps and has attracted investments from entrepreneurs including弗兰克•拜德卡, former general manager of multinational e-commerce company Zalando.

里卡多•费雷尔•里韦罗, founder and general manager of PEY, told CoinDesk:

“The newly raised funds will be used to expand the development team, hire lawyers to conduct in-depth legal research on the products we provide to customers, and find appropriate legal workarounds to expand the adoption of Bitcoin.”

PEY’s new service, which will be officially launched this fall, will allow German companies to pay part of their employees’ salaries in digital currencies, as digital currencies are considered a financial instrument in Germany.

Rivero said:

“At the moment, Bitcoin is not a currency in Germany, and this is something we can use to our advantage. Our lawyers and consultants will help us get the legal and tax approvals. Right now we only offer this service in Germany, but in the future we will try to offer this service to as many countries as possible.”

POS Terminal

According to Rivero, PEY provided some Bitcoin POS terminals to merchants in Germany for free earlier this year in the hope that the company’s devices could enter the international market.

“Our Bitcoin POS terminals are very popular… Many people from all over the world have asked us how to order our Bitcoin POS terminals. We have recorded their order information and will notify them when we enter the international market.”

The company does not yet have a profit model, Rivero said, because right now, the company is focused on providing value to merchants and consumers.

"If we can satisfy both merchants and consumers, it will not be difficult to make a profit. At that time, we will find a better way to make a profit."