Key Takeaways
- The deal allows Bonifii’s credit union clients to utilize Metal Blockchain
- The partnership will establish a new CUSO, specifically for credit unions deploying on TDBN
Leading digital banking and blockchain firm, Metallicus, has announced the acquisition of Bonifii, a fintech service operator and Credit Union Service Organization (CUSO) connected to more than 70 credit unions.
The deal aims to integrate blockchain tech into the credit union sector, allowing Bonifii’s credit union clients to utilize Metal Blockchain, the foundation of The Digital Banking Network (TDBN). TDBN, an open-source blockchain protocol developed by Metallicus, is designed to enhance financial services and modernize banking operations.
Bonifii, formerly known as CULedger, specializes in distributed ledger tech for credit unions.
“Bonifii has made great progress in bringing blockchain technology to credit unions, and we are excited to partner with them,” said Marshall Hayner, CEO of Metallicus. “With our blockchain development expertise and Bonifii’s deep experience in the credit union sector, we’re excited to bring more financial institutions onchain and significantly enhance financial services for their members.”
The acquisition is expected to strengthen Bonifii’s existing products, such as MemberPass, while expanding into areas like identity management, payments, smart contracts, and fraud prevention tools.
According to Jim Phillips, Executive Vice President and CIO of Schools First Federal Credit Union and Chairman of Bonifii’s Board, the merger represents an opportunity to create innovative tools for credit unions.
“This acquisition will strengthen Bonifii’s existing products and expand offerings into evolving areas… We are excited about the future of the combined organization and what it can bring to credit unions and their members,” the press release reads.
AS per the official statement, the partnership will establish a new CUSO, specifically for credit unions deploying on TDBN. This separate entity will be focusing on delivering blockchain-enabled tools tailored to credit unions’ needs.
Bonifii’s CEO, John Ainsworth, described the merger as a historic milestone. “CULedger was originally founded to harness the potential of distributed ledger technology for credit unions.
As the only CUSO directly connected to a blockchain core developer, we are uniquely positioned to accelerate the delivery of innovative tools that build member trust and enhance the competitiveness of credit unions globally,” Ainsworth said.
The collaboration allows Metallicus to offer its full suite of digital asset services to credit unions joining TDBN. These services include self-custody digital wallets, cryptocurrency trading, and integration with Metal Pay, a fiat onramp for cryptocurrencies like Bitcoin. These tools can be incorporated directly into credit unions’ existing banking apps, providing members with seamless access to blockchain-powered financial services.
Metallicus has been active in the digital banking space, notably as one of the early adopters of the U.S. Federal Reserve’s FedNow digital payments system. FedNow provides infrastructure for instant payment solutions in banking institutions. Metallicus’ Metal Blockchain was among the first blockchain networks integrated into this government-backed program.
Financial details of the acquisition were not disclosed. However, prior to the deal, Bonifii reportedly raised $20 million through early investment rounds. As per CoinMarketCap, Metallicus’ market capitalization, stands at $13.65 million.
As part of the acquisition, John Ainsworth will join the Metallicus team, where he will lead Metal Blockchain’s expansion into the credit union sector.