After raising $ 1.6 million pre-seed last year, Nigerian digital bank Kuda makes $ 10 million seed investment • Techpoint Africa

Digital bank based in Nigeria, Kuda just announced that it has raised $ 10 million in start-up investments.

Founded in 2016 by Babs Ogundeyi and Mustapha moldy (pictured left to right above) as Kudimoney, the startup was launched as a lending platform before moving to a digital-only bank.

This happened when the startup received a banking license from the Central Bank of Nigeria in June 2019.

According to Techcrunch, investors who participated in this funding round include Berlin-based VC, Global target, who is the principal investor; Entry Capital and SBI Investissement.

Likewise, notable angel investors participated including Oliver and Lish Jung, who invested in Nubank, Revolut and Chime, other mobile challenger banks in Brazil, UK and US.

By the time Kuda closed his $ 1.6 million pre-seed round in September 2019, he arguably would have lifted the highest pre-seed round for a Nigerian startup. We are seeing the same event with its $ 10 million seed investment, one of the largest seed rounds in Africa.

Kuda: emerge as the first challenger bank in Africa?

Worldwide, mobile challenger banks like Nubank, Revolut, Chime, Eversend have arisen to compete with banks already established in their respective companies.

Kuda is one of them in Africa. Without a physical location, it allows users to make airtime purchases, access bill payment options, manage their payments and transfers. And in addition to issuing free debit cards, allows free online account opening.

Last year, when launching its pre-seed cycle, Ogundeyi said the company has formed strategic partnerships with three West African banks – Guaranty Trust Bank (GTB), Access Bank and Zenith Bank. Why? Give users access to Kuda debit cards and allow them to make physical deposits as well as withdrawals through these banks.

“We built the core banking services in-house so that we have the entire stack. This means that we do not have to rely on another financial institution. We can choose to partner on certain products, but we are not obligated to do so. As a bank you have to be able to lend, and in Nigeria if you don’t have a full license it’s hard to lend and make money, ”he said.

The startup now has more than 300,000 customers, both individuals and small businesses, who use its platform while processing more than $ 500 million in transactions per month.

Join the board of directors of the Nigerian fintech startup, Dr Ricardo Schäfer, a Target Global partner believes that digital challenger banks like Kuda offer users a better banking experience than traditional banks. It is for this reason that the venture capital firm decided to be the lead investor in this round.

“Kuda is one of Africa’s leading digital challenger banks and one of the continent’s fastest growing fintechs. We are very happy to be working with Babs, Musty and the entire Kuda team to continue the fantastic momentum they have had since their inception and help them take the business to the next level, ”he said. declared. айм онлайн на карту круглосуточноайм под залог артиры срочноайм на карту с просрочками

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