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LocalBitcoins revenue increased 10%, although the KYC affected market share

July 2, 2020

LocalBitcoins, an experienced peer-to-peer cryptocurrency (P2P) market, had annual sales of nearly $ 29.5 million in 2019.

Revenue increased approximately 10% from $ 26.9 million in 2018But The company also saw a 6% decrease in annual operating income of $ 19.8 million.

LocalBitcoins employees have also increased significantly in the past year, when the platform increased its demands on know your customer (KYC) in the third and fourth quarters of last year with an increase in company personnel from 26 to 43.

LocalBitcoins suppresses illegal activities

LocalBitcoins revenue increased 10%, although the KYC affected market shareLocalBitcoins revenue increased 10%, although the KYC affected market share

“2019 was an invaluable learning experience for us as we implemented anti-money laundering regulations and Know Your Customer (KYC) requirements,” said LocalBitcoins CEO. Sebastian Sunday.

“As expected, the unwanted activity moved away from the platform and implementing KYC itself was a challenging process. Nevertheless, we were able to achieve growth and excellent results.”

LocalBitcoins reported 1.46 million new users last year, including 913,000 active users who generated $ 2.8 billion in volume and transactions in excess of $ 15.6 million, with an average company size of $ 179.49 -Dollars corresponds.

Sunday indicates that The platform continued to show signs of strength this yearwith an increase of 50% when registering new users about 4,000 in January to 6,000 today.

Paxful is noticed

Despite Sunday’s optimistic short-term outlook on LocalBitcoins2020 was seen as a competing platform Paxful, According to data published by UsefulTulips, it has been the first P2P exchange by trading volume since the beginning of June.

This success was first reported by Matt Ahlborg by UsefulTulips, on June 9th, North America and Sub-Saharan Africa reached new all-time highs as paxful volumes in the top two regions by P2P trading volume.

In conversation with Cointelegraph, a spokesman for Paxful He said, “We attribute much of our growth to our community, which we listen to and learn from.”

“At Paxful, it is one of our values ​​to stay connected to the streets, that is, our user community,” continued the representative, emphasizing that the roots of his initiatives are to local communities in new markets such as India, Argentina and India promote all of sub-Saharan Africa. “

“If you look at our data in Africa, Nigeria, Ghana and Kenya, we are the volume leader this year,” said the Paxful spokesman.