Bitcoin payments startup BitPagos is now giving its wallet users access to credit through its Ripio wallet offering.
At launch, the offering will be available to a select number of users in Argentina, who will be able to borrow between $500 and $1,000 in bitcoin directly from the service, with credit extended based on the user's annual salary. Users would then pay back the loan in three or six-month installments, plus interest.
Ripio and BitPagos CEO Sebastian Serrano said his team is seeking to make the digital currency more accessible for online consumers.
Serrano told CoinDesk:
Further, the company stressed the benefits to this system over more traditional financial products, noting it requires no credit card, bank account or account maintenance fees.
At launch, Ripio is working with select merchants to trial the payments service, including local e-commerce startup Avalancha, which began accepting bitcoin last year. Avalancha will give 10% discounts to customers who buy on credit with bitcoin.
Serrano said Ripio has been working on the concept for over a year, and that he sees it as yet another way the community can use the bitcoin network as a rails for payment.
"We’ve been focused on building solutions that solve people’s problems," he said, adding: "This is a way to make payments or allow our consumers to do payments in a more seamless way."
Disclaimer: CoinDesk is a subsidiary of Digital Currency Group, which has an ownership stake in BitPagos.
Mobile credit image via Shutterstock
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
Learn more about Consensus 2023, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.