Litecoin Foundation entered into a strategic partnership with TokenPay blockchain startup in order to buy a 9.99% stake in a German bank, namely, WEG Bank AG.
This was preceded by TokenPay Swiss AG cryptocurrency platform partnering with WEG Bank in Germany. The reason for acquiring not more than 9.99% is because of regulatory limitations. TokenPay has the option to acquire the rest of the stake in the bank upon approval from the regulators.
Yesterday, TokenPay transferred the share acquired to Litecoin Foundation, following the signing of an ambitious and comprehensive marketing and technical maintenance agreement between the parties. The resulting partnership will help the companies to become a real driving force in producing user-friendly cryptographic solutions in the field of FinTech.
The newborn partnership will focus its efforts on a number of key areas, including the creation of TPAY cryptocurrency together with blockchain underlying it and the launch of eFin decentralized exchange and EFIN token. The companies will also jointly establish TokenIssue asset management structure and develop WEG Bank FinTech platform designed for the issuance of cryptocurrency debit cards and e-commerce payments processing.
Alistair Milne, a well-renown investor in Bitcoin, commented on the matter in a Tweet:
I always assumed that if crypto got big enough, the banks would start acquiring exchanges, custodians, etc.
But what if it is the other way around and instead we end up buying out the legacy financial system? https://t.co/YxCp4yeDpZ
— Alistair Milne (@alistairmilne) July 10, 2018
Litecoin’s technical expertise provides an enormous advantage in developing comprehensive automation principles and standards and creating new market opportunities.
“This partnership is a huge win-win for both Litecoin and TokenPay. I’m looking forward to integrating Litecoin with the WEG Bank AG and all the various services it has to offer, to make it simple for anyone to buy and use Litecoin. I’m also excited about Litecoin’s support in TokenPay’s eFin decentralized exchange,” – the creator of Litecoin Charlie Lee noted.
It should also be noted, that Litecoin has already failed to successfully implement the LitePay project, which was supposed to provide users with LTC debit cards. The launch of the application was scheduled for March 2018. After the failed project launch in February, Charlie Lee expressed his apologies to the community.