- Dwolla
-
Dwolla Type Private Founder - Ben Milne
- Shane Neuerburg
Headquarters Des Moines, Iowa Website dwolla.com Type of site Social networking service Registration Required Users 20 thousand Launched December 1, 2010 Current status Active Dwolla is a cash-based e-commerce company that provides an online payment system and mobile payments network by the same name. The company was founded in 2008 with services based only in Iowa. After raising $1.31 million in funding [1], Dwolla launched nationally on December 1, 2009 with founders Ben Milne (CEO) and Shane Neuerburg (CTO), in Des Moines, Iowa, United States, with a few small banks and retailers.[2] Transactions using Dwolla surpassed $1 million a week and its Iowa user-base was overtaken in mid-June 2011, with 20,000 users.[3] The company began with two employees and has approximately 15 employees as of mid-June 2011.[4]
The main pull for Dwolla is its low transaction fees. From its onset, Dwolla charged 25 cents per transaction, less than its main rival Paypal, which for several years[citation needed] has charged 30 cents, plus 1.9-2.9% of each transaction.[2]
The name Dwolla is a conjunct of "dollar" and "web".[2]
Dwolla began with Veridian Credit Union for banking services, while The Members Group processes their transactions.[5]
Additional products and services
On May 25, 2011, Dwolla released its FiSync integration, which aims to allow instantaneous transactions instead of the typical 2-3 day of the Automated Clearing House (ACH) transactions.[1] As of June 2011[update], Dwolla has 11 financial institutions who have signed on, providing access to 600,000 potential customers.[2]
In June 2011, Dwolla started Grid, a service that allows a user to not have to enter their credit card information online, while reducing credit card fraud, and being a simple one-click option, similar to Facebook connect. Grid uses the OAuth standard.
Dwolla is notable for its interest among Bitcoin users, a digital currency. When Bitcoin users were made aware of the capability of Dwolla to connect Bitcoins directly to their bank accounts through Bitcoin exchanges, Dwolla use surged considerably.[6]
To offer promotional free services, Dwolla regularly sends out money via its social integration with its experimental Twitter handle, @DwollaX. Users can money through their Twitter handles by following this profile.
External links
References
- ^ a b Tsotsis, Alexia. Dwolla’s FiSync Lets You Instantly Access Cash, Eliminates ACH Wait Times For Banks. Mar 25, 2011. [1]
- ^ a b c d Dwolla launches in Iowa. Silicon Prairie News. December 1, 2009
- ^ Tsotsis, Alexia.Payments Service Dwolla Hits $1M A Week In Transactions Techcrunch. June 16, 2011. [2]
- ^ We’ve officially passed $1M a week in transactions. Dwolla Blog. June 17, 2011. [3]
- ^ Needleman, Rafe. Cash is dead, says Dwolla December 17, 2010
- ^ Schreiber, Danny. Bitcoin: What is it and how is Dwolla involved in its marketplace? Silicon Prairie News. June 21, 2011.[4]
Categories:- Payment systems
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