In a bold move, Strike, a leading provider of mobile payments and remittance services, recently announced their global headquarters’ relocation to El Salvador. This decision reflects Strike’s increasing commitment to serving the unbanked population and driving financial inclusion worldwide.
The move marks a significant milestone for the company as it expands its reach to over 65 countries, including many underserved regions where traditional financial institutions have limited to no presence. By leveraging its innovative technology platform, Strike aims to democratize access to financial services and empower the millions of people who have been excluded from the formal financial system.
The new global headquarters in El Salvador will serve as a hub for Strike’s operations, research, and development, with plans to bring on local talent to support its growth in the region. The move to El Salvador is a strategic decision that leverages the country’s strong regulatory framework and supportive business environment.
Currently, Strike boasts over 1 million users worldwide and has processed over $1 billion in transactions since its launch in 2015. With its expanded presence in new markets, Strike aims to reach even more people who need affordable, fast, and secure payment solutions.
One of the key drivers for Strike’s global expansion is its commitment to serving migrant workers and their families. As many migrant workers send money back home to support their loved ones, they often face various challenges, such as high fees and long wait times. By offering a low-cost digital remittance service, Strike hopes to provide a better way for migrant workers to support their families while keeping more of their hard-earned money.
Additionally, Strike is also targeting the unbanked population, who lack access to basic financial services, such as a bank account or credit. The traditional banking system often neglects this demographic, making it challenging to participate in the modern digital economy. However, with Strike’s mobile payment solutions, people can access financial services quickly and easily, giving them a chance to participate fully in the global economy.
Moreover, with the ongoing COVID-19 pandemic, the need for digital payments is more critical than ever before. Social distancing measures and lockdowns have caused a rapid shift in consumer behavior, with more people shopping online and relying on digital payments. Strike’s innovative technology platform provides a seamless payment experience, enabling people to shop online while keeping their financial information secure.
As Strike expands its reach globally, it also plans to launch additional products and services to meet the evolving needs of its customers. With a focus on innovation and customer-centricity, the company believes it can deliver valuable solutions that add significant value to its users.
In conclusion, Strike’s expansion and relocation to El Salvador is a significant step towards achieving its mission of providing affordable, fast, and secure payment solutions to the millions of people who have been excluded from the traditional financial system. With its innovative technology, customer-centric approach, and expanding global presence, Strike is well-positioned to become a leading player in the digital payments space. As the world becomes increasingly digital, Strike’s products and services will play an essential role in driving financial inclusion and empowering communities worldwide.
Chicago-based Bitcoin payment provider, Strike, has announced that it will expand its services to 65 countries while relocating its global headquarters to El Salvador. Before the expansion drive, the mobile app operated only in the United States, El Salvador, and Argentina. According to Jack Mallers, CEO and founder of Strike’s parent company Zap, the expansion drive was launched to counter the clouded world of crypto exchanges and hidden licenses which create confusion for users. Speaking to Fortune, Mallers revealed that the move to relocate its headquarters to El Salvador was a response to the growing anti-crypto regulatory environment in the US.
On one hand, the regulatory environment in the US prevents Strike from offering its services in New York, and on the other hand, El Salvador has introduced crypto-inclusive regulations to attract technological innovations in the region. Strike will initially allow users in the new global markets to only receive Bitcoin, however, Mallers revealed plans to launch new features like a debit card by the end of the year. For markets outside the US, Strike will enable U.S. dollar payments via Tether.
During the discussion, Mallers said that El Salvador’s success lies in establishing Bitcoin as a legal tender. He believed that merchant adoption “wasn’t what was defining success.” Instead, he weighed the island nation’s Bitcoin adoption success in terms of other factors including increased tourism. Strike and crypto exchange Bitfinex were among the first crypto companies to bag operational licenses in El Salvador. El Salvador’s Digital Asset Service provider license allowed Bitfinex Securities “to facilitate the issuance and secondary trading of assets” with clearly defined rights and obligations in the jurisdiction.
The move is welcomed by many as a major win for the crypto industry, as regulatory environments are becoming more favorable to cryptocurrency businesses. El Salvador made a splash earlier this year by becoming the first country to accept Bitcoin as legal tender, and despite receiving pushback from some US lawmakers, the country is continuing to promote uptake of cryptocurrency.
Many other countries are beginning to embrace cryptocurrency, with some countries like China even announcing plans to launch their own digital currency. However, these new changes also come with their own unique set of challenges, particularly when it comes to regulatory compliance. As the industry continues to evolve, it is important for crypto companies to remain vigilant and compliant to ensure that they are able to continue operating in a supportive environment. Strike’s expansion to 65 countries is a sign of good progress, and it will be interesting to see how this move affects the company’s growth in the long term and how other companies respond to this new opportunity.
