1. What is the fundraising target?
2. What happens after I invest?
3. Will crowdfunding contribute towards improving the Wirex product and developing new features?
Without a doubt. Innovation is a continuous process at Wirex. We hope that this campaign will allow us to accelerate the improvement of existing features as well as introduce radical new ones. Crowdfunding is a vital step on the road to a world where all currencies are equal.
4. How should I get in touch if I have questions or feedback? Do investors get priority?
5. Will investors get exclusive access to the Wirex team?
Yes, investors will receive exclusive updates from the Wirex team.
6. Will I get monthly updates on how Wirex is progressing?
Of course. We want all investors to be kept informed of Wirex's progress. You'll receive monthly updates to keep you in the loop.
7. Why should I invest in Wirex?
We’re building a world where buying, holding, exchanging and spending fiat and cryptocurrencies is quick, easy and open to everyone. While others have struggled to combine traditional 'fiat' currencies with crypto, we specialise in it. Having launched the world's first crypto-enabled Visa card (2018) and become the first crypto-friendly Mastercard principal member (2020), we see 2021 as a crucial year to scale operations further — expanding and adding to the 40+ markets we're already available in.
8. Which other companies have crowdfunded? How did they fare?
Revolut, Moneybox and Curve have all successfully crowdfunded with Crowdcube, raising £1 million, £7 million and £5.5 million respectively. MoneyBox became one of Crowdcube's most popular campaigns in history last month, when it surpassed £4 million in the first hour.
9. How will Wirex use the funds raised during this campaign?
Funds raised during the campaign will be allocated to the following areas:
1) Our liquidity reserves to maintain daily balances with exchanges, OTC trades and deposits with banking partners, Visa/MasterCard and other networks;
2) Wirex card pre-orders and prepayments along with BIN Sponsor and new partner setup fees;
3) Marketing investments to support our global expansion including paid channels, PR activity and affiliate programs;
4) R&D investments to enhance and further develop the platform.
10. How was Wirex's valuation calculated?
Wirex’s valuation was based on peer analysis for public and private companies, as well as the DCF model at a 50% discount rate and a further 38% discounted due to the illiquidity of the shares.
11. Does Wirex have VC-backing? If not, why?
Yes. Wirex is backed by globally-renowned financial institution, SBI Group.
12. When will Wirex be profitable?
It already is. Wirex became profitable in 2020 on the back of a sustainable business model that focused on monetising the company as it grew.
13. How was Wirex's forecasted revenue and EBITDA calculated?
It was based on historical data (including historical growth rates in new customer acquisitions), transaction volume per customer, customer cohort analysis and the product roadmap.
14. Does the company have any interest-bearing loans?
Yes, it has an interest-bearing loan of $8.5M at an annual interest rate of 7.68%.
15. Are Wirex crypto services & products covered by existing financial regulation?
Securing appropriate licences in every territory in which we operate is a key priority for Wirex. However, where regulations do not yet exist (as is the case with cryptocurrency in many parts of the world), we operate as if they did.
16. Is the Wirex system proprietary or open source?
The Wirex ecosystem is entirely proprietary, which has allowed us to unite conventional currency and infrastructure with crypto and blockchain-powered rails in a way that had not been achieved before.
17. I don’t understand cryptocurrency. What is it, how is it significant and why do so many people use it?
Simply put, most cryptocurrencies are decentralised digital currencies that aren't issued by an authority like a government or central bank. Bitcoin is generally accepted as the first cryptocurrency and remains by far the most well-known. Because cryptocurrencies are digital and powered by distributed ledger networks, they aren't limited to conventional financial infrastructure which allows for super-quick, low-cost, worldwide transactions. While most people initially treated cryptocurrencies as an investment opportunity, they are increasingly recognised as having the potential to power an alternative system of banking and finance. You can learn more about cryptocurrencies and their uses by checking out the Wirex blog.
18. When will I receive my rewards?
Your rewards will be with you once the funding round and all the associated paperwork has been completed. It's looking to be around October/November, but you'll be updated as soon as further information is available.
19. Will I receive rewards in perpetuity?
You'll receive rewards in perpetuity in 12 months' time.