Eric Finman, the young entrepreneur who found fame by becoming the world’s first teenage Bitcoin millionaire at the age of 18, has reportedly invested an undisclosed amount in the U.S.-based FinTech startup, Metallicus Inc.
Metallicus is the company behind the cryptocurrency Metal (MTL) and the peer to peer payments platform Metal Pay.
Bullish on Metal Pay
While Finman’s investment in Metallicus might come off as a surprise to many given Metal’s depreciating valuation, the young entrepreneur seems more interested in Metal Pay’s payment processing solutions.
Launched in September of 2018, Metal Pay marked the beginning of a strategic revamp by Metallicus as its homegrown cryptocurrency struggled to cope in the proverbial crypto-winter.
Finman has joined Metal Pay founder/CEO Marshall Hayner to develop what they call the world’s first ‘all-in-one’ digital assets platform encompassing a digital bank, an exchange that supports 16 of the most popular cryptocurrencies, and a payments app with social features.
The services offered by the company essentially makes it a rival to bigger and more established brands such as PayPal, Square, and Venmo. To take on these giants, Metal Pay throws a little twist into the mix. Unlike, say, PayPal, Metal Pay doesn’t levy any transaction fees from users. In fact, it’s the other way around — users are paid (in cryptocurrency) for using the Metal Pay app.
As of today, users receive their incentives only in Metal (MTL), although the company says they will soon be able to “earn many more currencies.”
Urging users to spend their Metal tokens in everyday transactions, the Metal Pay website states:
“The Metal currency is made for everyday use, so cash it out to your bank, pay someone with it, or save it and watch it grow.”
However, Metal currently seems way past its prime. It peaked at $13 per token in September 2017 against the backdrop of an overwhelming bullish market. Currently, it is stuck at around $0.30 with minor occasional spikes. The last time it had a valuation of $1 or higher was in August 2018.
Making Bold Claims
In its current avatar, Metal Pay is focusing on offering a broader portfolio of services, which is why the stagnant growth of Metal hasn’t discouraged users from embracing the ecosystem. This probably also explains why Finman sees it as a viable opportunity to bring more diversity to the decentralized digital economy.
The company claims to have processed about $11 million from an estimated 130,000 registered users across 38 states in the U.S.
Meanwhile, Marshall Hayner, the founder and CEO of Metal Pay says the company has done its due diligence to ensure total compliance with existing U.S. laws and regulations. He is on record saying that if things go per plan, Metal Pay could one day become bigger than Bitcoin.
What’s your take on Metal Pay and the broader ecosystem it tags along including Metal? Do you think the startup packs enough punch to sustain itself against heavyweights like Venmo and PayPal? Let us know your thoughts in the comments below.