American payments system leader PayPal will acquire Curv, an Israeli startup operating under the Team8 umbrella. This marks the third time that a Team8 portfolio company has been acquired, since the Israeli think tank venture was founded. The companies have yet to publish details of the acquisition, but according to reports, the price falls somewhere in the $200 million dollar range.
Digital asset encryption technology
Founded in 2018, Curv develops cloud-based encryption technologies for digital asset security based on multi-party computation. The platform, which keeps the Seed key on the move between servers, supports both cold and hot digital wallets and allows access to a variety of coins and protocols, without relying on Blockchain or DLT.
In 2019, the company launched a crypto wallet that enables customers to dictate the organizational rules for their crypto wallets. This way, users can determine how many employees are required to authorize transactions, maximum volume, max frequency, and dozens of other options to help manage your digital wallet smarter. Only when the transaction meets the pre-dictated standards, does the system sign off on the transaction, and transmit it to the relevant channel for authorization. According to Curv, the transition from physical to digital wallets can help save between 60%-70% in transaction fees.
Jose Fernandez da Ponte, VP and GM of blockchain, crypto and digital currencies, PayPal: “The acquisition of Curv is part of our effort to invest in the talent and technology to realize our vision for a more inclusive financial system.” Fernandez da Ponte added, “During our conversations with Curv’s team, we’ve been impressed by their technical talent, entrepreneurial spirit, and the thinking behind the technology they’ve built in the last few years. We’re excited to welcome the Curv team to PayPal.”
Curv was founded in 2018 by CEO Itay Malinger and CTO Dan Yadlin, both graduates of the elite Talpiot program, and both have together served as cyber executives at the Prime Minister’s office. The company employs 32 employees, with 25 of them based in Israel, and has raised $30 million to date. Based on CoinDesk’s report, PayPal purchased the Israeli startup for between $200-$500 million, while other speculations from the around the industry put the number closer to $200 million.
"As a pioneer in security infrastructure for digital assets, Curv is proud to be recognized as an innovator and trusted partner to leading financial institutions around the world,” said Malinger, “Now, as the adoption of digital assets accelerates, we feel there’s no better home than PayPal to continue our journey of innovation. We're excited to join PayPal in expanding the role these assets play in the global economy."