Satoshi Citadel Industries acquires Bitcoin exchange BuyBitcoin

Philippine Bitcoin umbrella company Satoshi Citadel Industries (SCI) announced today it has acquired Bitcoin exchange BuyBitcoin for an undisclosed amount.

Founded by Sam Kaddoura, Lasse Birk Olesen, James Florentino, and Dan Walton in January 2014, BuyBitcoin is a peso-to-bitcoin, over-the-counter exchange that allows Filipinos direct access to buying and selling bitcoins.

With the acquisition, SCI now has six products under its wing, including remittance service Rebit, payment processor Bitmarket, bills payment platform Bills Ninja, Bitcoin card provider Prepaid Bitcoin, and selfie posting site Bitstars. Each plays a role in SCI’s bid to become a Bitcoin ecosystem by itself and its broader goal of growing Bitcoin adoption in the country.

“This acquisition brings us closer to our goal of completing the Bitcoin ecosystem in the Philippines,” SCI CEO John Bailon tells Tech in Asia. “BuyBitcoin.ph has one of the strongest brands in the market, and to this day remains the primary first-touch website for Bitcoin beginners. We’re looking into maximizing this exposure and becoming a true resource for Bitcoin beginners.”

Even more valuable, Bailon adds, is the addition of great minds to the SCI family. BuyBitcoin founder Kaddoura will now join SCI as its chief financial officer, while Florentino will stay on as BuyBitcoin’s Head of Product, and Olesen as European relations officer.

Easy conversion

One of the main challenges to widespread Bitcoin adoption is liquidity. Having an entity that allows for easy conversion of bitcoins into fiat money gives comfort to consumers wary of the cryptocurrency.

BuyBitcoin works the same way as other Bitcoin exchanges. All a consumer has to do is secure a Bitcoin wallet, submit a buy or sell order, and pay or claim cash over-the-counter or online for the bitcoins.

BuyBitcoin has over a thousand registered users to date. Bailon says they are looking at consolidating some of SCI’s products into this platform.