Seedcoin Invests $250,000 in Bitcoin Derivatives Platform BTC.sx

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Seedcoin Invests $250,000 in Bitcoin Derivatives Platform BTC.sxBitcoin derivatives trading platform BTC.sx has raised funds from Seedcoin Fund totalling $250,000, according to BTC.sx Chief Operating Officer George Samman.

“This is part of the funding we’re trying to raise and we are very close to landing additional funding,” Samman told Reuters.

Seedcoin said in a statement that its investment in BTC is its sixth one in a Bitcoin-related business, having previously invested in five other firms such as CoinSimple, Cryptopay, Hive, Zsim and MexBT. Seedcoin is a start-up accelerator that provides funds in the early stages of growth of digital currency start-ups.

BTC, which was formed with a capital base of $150,000, temporarily shut down trading on its website after its bitcoin exchange associate Mt. Gox collapsed in February and filed for bankruptcy. Before Mt. Gox collapsed, BTC relied on the Tokyo-based firm’s prices to price its bitcoin derivatives.

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BTC eventually resumed operations in March 10, offering derivatives valued using BitStamp prices. BitStamp, which is based in Slovenia, is now widely viewed as the biggest bitcoin exchange in the world based on trading volumes. Bitcoin Charts indicates that BitStamp transacts $290 million U.S. dollar volume in 30 days.

However, Samman said that trading volume has been low since his company resumed its operations.

“It has been picking up slightly. We’re nowhere near the volumes we have seen before the collapse of Mt. Gox,” Samman said. “I think that’s just a bitcoin-wide problem at the moment.”

Since it was launched in April 2013, BTC has transacted over $44 million in bitcoin derivative trade volumes. The company lost all of the bitcoins it had placed with Mt. Gox when it collapsed. However, before the collapse, BTC had already started withdrawing monies over fears of the future.

To contact the reporter of this story; Deepak Tiwari at deepak@forexminute.com