Blockchain technology and cryptocurrencies haven’t recovered from the post-December 2017 slump or the year-long crypto-winter of 2018, and that’s an understatement. A quick glance around the blockchain sector (at least of those companies that have survived) doesn’t give much hope that there’s going to be a sector worth talking about in the next year.
But there are still some standouts.
Take NetCents Technologies (NC.C) for an example.
Netcents is a fintech company that gives both clients and merchants the capability to manage electronic payments through a variety of devices, such as android phones and computers. The company has developed its own processing software and holds IP in the development of its technology. They also have their own exchange.
Their strategy for 2019 was simple: get their platform in front of as many people as possible. Raise processing volume. Get partnerships and grow revenue organically.
And they did it, finishing 2019 on a high note by jacking their processing volume to over $1 million in December of last year. Higher processing volume signals greater adoption from merchants and consumers for cryptocurrency payments, which means more overall widespread adoption.
“Exceeding the $1-million mark in monthly processing volume is a major milestone for us. Our proven ability to seamlessly scale our processing volume in a short period of time proves that our platform is ready for our continued exponential growth,” said Clayton Moore, founder and chief executive officer of NetCents.
In January, 2019, the company processed $39,436 in cryptocurrency transactions and ended the year by processing $1,024,030. The grand total for calendar 2019 was $2,913,180 in cryptocurrency transactions.
In the fourth quarter, the company achieved the following:
- 81-per-cent increase in processing volume in Q4 over Q3 and a 425-per-cent increase over Q2;
- 123-per-cent growth in new merchant sign-ups in Q4 over Q3;
- 31-per-cent increase in average transaction value in Q4 over Q3.
The company owes its success to its aggressive outlook in searching for potential partners. These partners have included merchant gateways, payment processors, terminal manufacturers and more. The company has been successful in introducing its merchant gateway technology into all major traditional payment sectors, and the integration provides the company with a competitive advantage of being the default cryptocurrency payment provider for merchants.
“Whereas in 2018 and early 2019, we needed to actively sell our partners on the advantages of NetCents, we are now having major players in the payments space actively seek us out to allow them to offer cryptocurrency by embedding our merchant gateway within their technology, providing merchants a seamless experience and on-boarding process for cryptocurrency payments,” said Moore.
The company’s partners allow NetCents to access millions of merchants, hundreds of new partners, millions of users and a sales force of thousands of agents who actively sell the NetCents cryptocurrency merchant gateway to their existing merchant base daily.
Back in May, the company indicated that they were anticipating monthly increases of 40% month over month, reaching over $2 million in monthly processing volume in Q1 2020. The company has exceeded their projections for 2019, and is on track to meet with their stated Q1 2020 goal. This continued compounded 40% monthly growth rate is a key point in the company’s growth and revenue.
At present, the company is starting 2020 with 54 partners and seven million merchants.
Not a bad way to start the year.
—Joseph Morton
