Bitcoin services provider Cubits.gr and bitcoin exchange BTCGreece are working hand in hand to provide solutions to debt-ridden Greece, which is still suffering massive capital outflow. Founded by Julian Mautner, Tim Rehder, and Andreas Lehrbaum, this partnership hopes to work around capital controls in the country to get small to mid-size businesses up and running.
Cubits and the bitcoin exchange are working to come up with a cross-border payments system for Greece, supporting voucher payments backed by the cryptocurrency, as well as access to point-of-sale terminals and ATMs.
Bitcoin Exchange Solution
“With Greece’s myriad of financial problems at a record high, economic relationships are strained by the current credit controls as businesses grapple to seek permission in order to pay suppliers, and individuals are limited to withdrawals of EUR 60 per day,” said Rehder. “As the only operational bitcoin exchange in Greece, BTCGreece allows Greeks to purchase bitcoin and remit defined payments abroad. Cubits’ arrival in the Greek market will provide the professional solution to the problems at hand.”
Rehder added that Cubits will be in this for the long run. The company currently has 15,000 wallets and 500,000 monthly transactions.
More than a month ago, Greece has gotten close to exiting the euro zone as it had been unable to come up with cash to pay its debt obligations. The ECB was forced to extend its emergency lending assistance to the country in order to buy more time to negotiate another bailout deal. However, these emergency measures came with a price, namely capital controls imposed on the country.
Because of that, banks and stock trading were closed for more than a week, leading Greeks to pursue other alternatives for moving funds around. Bitcoin startups and bitcoin exchange companies came to the rescue, with some offering loans and investments in bitcoin or offering to buy Greek exports in exchange for the cryptocurrency.