Bitcoin exchange Bitstamp has opened for business to Canadian clients, helped by its partnership with Vogogo.
Bitstamp partnered with the Canadian payment solutions provider roughly two months ago, aiming to gain a foothold in both Canadian and US markets.
Vogogo has become a go-to destination for Canadian bitcoin exchanges, which have traditionally had a tough time maintaining banking relationships. Recently, it has been leveraged by exchanges based outside of Canada; San Francisco-based Kraken was brought on board a few days a go.
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Whereas Kraken in fact launched an XBT/CAD (BTC/CAD) trading pair, in addition to its supporting USD, EUR and GBP, Bitstamp continues as a strictly USD venue. Deposits made with CAD are automatically converted to USD.
Canadian residents can pre-authorize CAD deposits using the ‘eCheck’ feature, which completes the transfer in 2 to 5 business days. Up to five bank accounts can be added, and a 1% transaction fee is charged.
Calgary-based Vogogo aims to take on the load of risk management, compliance and security of payments processing, bridging the gap between the fiat banking and digital currency worlds and allowing exchanges to focus more on their business strategies.
The startup’s growth has propelled its publicly traded shares higher by 128% during the past year, but they remain volatile, losing over 50% from their November peak.