The valuation is way off. It is nowhere near 160 million. At the very most multiplying their profits by ten would take it to $10 million. Raising capital doesn't count as sales or gross profit, so it isn't really something to be factored into the valuation.
Let's compare Bitpay with Ebay. For Ebay, the operating profits are near $2.85 billion. Its market cap is 65.84 billion. The P/E ratio is more than 23. Now look at Bitpay. The business is growing at a rapid pace, and profits are expected to touch $10 million per year by the end of 2014. So, I think that a valuation of $160 million is fair.