POSaBIT, a Seattle-based digital currency payments startup with a focus on serving legal cannabis outlets, has raised $1.5m in funding.
The round included participation from a number of Seattle-based angel investors, whose identities were not disclosed, as well as New York-based investment firm Digital Currency Group.
The funding will go to advancing POSaBIT's business development efforts, according to a statement. The startup also provided some details on adoption of its payments platform and sales in Washington state, which legalized marijuana in 2012.
"Already, over 25 stores in the state of Washington have used the POSaBIT platform to provide secure and efficient payment solutions to their customers, and those stores have already processed more than $2m in sales via digital currency," the firm said.
Though that measure ultimately failed, POSaBIT's team argued that its approach to payments meant that store owners could be less dependent on cash – as they largely lack access to the banking system due to federal statutes – thus reducing the risk of theft.
Disclosure: CoinDesk is a subsidiary of Digital Currency Group, which has an ownership stake in POSaBIT.
Bitcoin and marijuana 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.