This European unicorn is changing the financial industry — here's its unique business model

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Take a look around the financial industry and you’ll notice a common pattern: The companies are heavily financed, but they have no cash flow. They have many owners and shareholders, but they have very little revenue.

There is one exception: Polish financial services provider Cinkciarz, the company that inspired the Conotoxia Holding Group. The Group, which enables money transfers, payments, foreign currency exchange and Forex trading, has a sole owner and has recorded staggering, exponential growth every year since 2011 — transacting $5 billion in the last year alone.

The formula for success

Having designed and developed innovative technological solutions in-house, Cinkciarz then proceeded to cut out middlemen, simplify processes, reduce waits, and improve security. And it's the company's independence that has been the major factor in being able to do so.

The company's shares are all owned by only one shareholder, CEO Marcin Pióro, who built the company from the ground up in a small town in western Poland. This means Cinkciarz isn't beholden to multiple shareholder priorities in order to grow. Profits can be invested back into the development of new technological assets, which is what has helped Cinkciarz offer faster and cheaper wire transfer and currency conversion services. The company’s technological and financial independence have been at the core of its business since day one. Pióro, who has an IT background, made it one of the company's most important characteristics to develop all software solutions in-house.

Now Cinkciarz, which is part of the growing Conotoxia group, has grown to include a greater number of services, including money transfers, online payments, currency exchange and access to the Forex market. It is dedicated to being "go-to" platform for financial services moving forward, and is planning to include currency lending in the very near future.

The group has processed transactions totalling more than $15 billion since 2011, with a typical 30% growth in transactions year-on-year and making $5 billion just in 2017 — all without external financing. And it's accomplished all this by concentrating on the core of its business.

This is reflected in the company's enthusiasm for developing new financial apps for not only the most popular mobile operating systems, but also for Smart TV, Apple Watch, Android Wear, and Google Glass, among others.

Cinkciarz has gained a reputation for being bold and brave in its approach. Emerging from Poland and becoming a strong challenger brand in several global markets is impressive for a company that didn't have to sell its equity to get there. Expansion into new markets leaves the company in a good place for the future.

Looking ahead

The company has won a series of awards and distinctions in its native Poland. Leading financial publications Wprost magazine and Rzeczpospolita daily place it among the top 10 Polish companies. Now, it's focused on disrupting larger, global financial markets. One way to accomplish this is by having a top-notch financial analysis team whose currency comments and forecasts have been quoted numerous times by Bloomberg, among others.

There are currently four companies in the group: Cinkciarz.pl Sp. z o.o. focuses on currency exchange; Conotoxia Sp. z o.o. offers money transfers and payments; Conotoxia Ltd delivers access to the Forex and CFD markets in European countries; and Conotoxia Inc. will provide money transfer services in the US. The latter has already acquired 38 licenses for its operations.

‘We focus heavily on improving the services we provide instead of putting two saddles on one horse. Financial sector has so much to offer to customers we feel no need to artificially diversify the source of our income. Eventually, the goal is to constantly reinvent the company within the financial market, while remaining relevant to customers," says Marcin Pióro.

Cinkciarzis a true challenger brand in that it isn't operating in niche markets. It's competing with the biggest players in its business and shows no timidity when it comes to thinking big in regards to global financial markets. Transacting a solid $5B in the last year alone, and launching its services in the competitive American market, proves it best. Even if it chooses to stay independent, its possibilities for growth are endless.

This post was created by Insider Studios in collaboration with Cinkciarz.

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