Coindesk Logo

African Remittance Firm Beam Stops Bitcoin Service in Pivot

African Remittance Firm Beam Stops Bitcoin Service in Pivot

African Remittance Firm Beam Stops Bitcoin Service in Pivot

Beam has announced it will no longer focus on using bitcoin in an attempt to disrupt the Ghanaian remittance market.

Beam has announced it will no longer focus on using bitcoin in an attempt to disrupt the Ghanaian remittance market.

Beam has announced it will no longer focus on using bitcoin in an attempt to disrupt the Ghanaian remittance market.

AccessTimeIconAug 31, 2015, 6:43 PM
Updated Aug 18, 2021, 4:09 PM

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

Beam has announced it will no longer focus on using bitcoin in an attempt to disrupt the Ghanaian remittance market.

Launched last October, Beam emerged as one of a number of "rebittance" firms seeking to use the bitcoin blockchain as a means to enable low-cost cross-border payment services.

Beam had sought to appeal to local remittance users with a variety of payout options, allowing bitcoin received by its users to be applied to mobile phone airtime and utility bills, and by using charitable donations as a way to promote its efforts.

In a new interview, however, Beam CTO Falk Benke told Disrupt Africa that a revamped version of the service will not use bitcoin, saying instead that it would focus on international debit and credit cards.

The media outlet indicated that Benke cited the lack of local bitcoin adoption, the high cost of exchanging bitcoin for Ghanaian cedi and the volatility of bitcoin against fiat currencies as the reasons underlying the decision.

The news source suggested that Benke remains optimistic about bitcoin's potential as a means of payment on the continent, but that the move was a business decision, writing:

"[Falk] said he was not saying that bitcoin would not work in Africa, but said it was no longer on Beam’s agenda for the time being."

Despite the closure, other African startups remain focused on using bitcoin to unlock new savings in remittance markets, with $1.7m startup BitPesa focusing on East African markets.

Representatives from Beam did not immediately respond to requests for comment.

Ghana money exchange via Shutterstock

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.