Buying bitcoins gets easier

If you are planning to buy, sell, store or use bitcoins, you can now approach Bengaluru-based technology start-up Unocoin, which provides a platform for this.

Bitcoin is a digital asset and a payment system that uses peer-to-peer technology. The current price of the digital currency varies from Rs 41,000 to Rs 42,000.

Recently, the company raised $1.5 million (Rs 10 crore). Money was pumped in by Blume Ventures, Mumbai Angels and ah! Ventures along with international investors such as Digital Currency Group, Boost VC, and others. In August 2014, it had raised $250,000 from Bitcoin Opportunity Corp.

The company makes money by charging a commission of one per cent on buying and selling of bitcoins. When one sends bitcoins to another Unocoin user, there is no fee. However, while sending bitcoins to a bitcoin address, Unocoin collects 0.0002 btc. It processes transactions worth Rs 20 crore a month.

Unocoin was founded by in 2013 by Sathvik Vishwanath, Harish B V, Abhinand Kaseti and Sunny Ray. The company plans to use the funds for product development, team and geographical expansion.

"Creating awareness about bitcoins and the strict regulations governing it is definitely a challenge," says Vishwanath.

Currently, 100,000 people use Unocoin and the start-up aims to increase its base four-fold within a year. It has a 30-member team and it plans to take the number to 50. It faces competition from Zebpay, BTCXIndia, and Coinsecure.