Fintech Spotlight

Tag: blockchain payments

  • Mesh raises $130M+ to expand crypto payment infrastructure

    Mesh raises $130M+ to expand crypto payment infrastructure

    Mesh, a crypto payments network, has secured additional investments from PayPal Ventures and other major backers, bringing its total funding beyond $130 million. The company’s technology already underpins PayPal’s Pay with Crypto feature and serves hundreds of millions of users across major cryptocurrency exchanges.

    Strategic Investment Round

    The funding round included participation from Coinbase Ventures, Uphold, Mirana Ventures, SBI Investment, Overlook Ventures, Kingsway Capital, Moderne Ventures, and CE-Ventures. Notably, most of the investment was settled using PayPal USD (PYUSD) stablecoin, demonstrating the practical application of the technology being funded.

    This capital injection comes as Mesh continues to expand its reach in the digital payments sector. The company’s SmartFunding orchestration engine currently supports more than 100 digital wallets and cryptocurrencies, creating a bridge between diverse crypto assets and merchant payment preferences.

    PayPal Partnership and Market Reach

    Mesh’s collaboration with PayPal has enabled the launch of Pay with Crypto services, allowing consumers to transact using various digital currencies and compatible wallets. This partnership provides PayPal merchants access to what the companies describe as a rapidly growing market worth $3 trillion, encompassing over 650 million cryptocurrency users worldwide.

    “Mesh is uniquely positioned to enable broad usability by streamlining access to wallets and exchanges and orchestrating real-time asset conversion to stablecoins” said Bam Azizi, CEO and Co-Founder of Mesh. The executive emphasized the company’s focus on creating seamless payment experiences with minimal operational friction.

    Integration Across Major Platforms

    The company has established integrations with leading cryptocurrency exchanges including Coinbase, Binance, ByBit, and OKX. These partnerships extend Mesh’s technological reach to hundreds of millions of users across the global crypto trading landscape.

    SmartFunding Technology

    Central to Mesh’s value proposition is its SmartFunding technology, which addresses a fundamental challenge in crypto commerce. The system allows users to pay with any digital asset while ensuring merchants receive instant settlement in stablecoins or traditional fiat currency.

    This approach tackles the common mismatch between the cryptocurrencies users hold and the payment methods merchants prefer to accept. By facilitating real-time asset conversion, the technology aims to provide a frictionless checkout experience while maintaining the benefits of blockchain-based transactions.

    The stablecoin market, which has achieved a market capitalization exceeding $200 billion and processes $27.6 trillion in transaction volume, represents a significant opportunity for payment infrastructure companies. Mesh’s technology makes various crypto assets interchangeable through its orchestration engine.

    Future Expansion Plans

    The fresh funding will support Mesh’s expansion efforts across the global payments industry. Planned initiatives include scaling application programming interfaces (APIs), expanding product development capabilities, and supporting hundreds of additional crypto and payments platforms.

    “As crypto goes mainstream, Mesh is building the infrastructure layer that enables enterprises to embed crypto payments, transfers, and commerce experiences directly into their apps” said Amman Bhasin, Partner at PayPal Ventures. The investor highlighted Mesh’s ability to deliver enterprise-grade security, compliance, and scalability requirements.

    Industry Context

    The investment comes as digital currency adoption continues to mature, with stablecoins emerging as a preferred medium for both consumers and merchants seeking price stability. Mesh’s technology seeks to unlock liquidity by making different crypto assets fungible through its conversion capabilities.

    The company’s approach reflects broader industry trends toward simplifying crypto payments while maintaining the technological advantages of blockchain-based transactions. As digital currencies become more widely adopted, infrastructure providers like Mesh may play an increasingly important role in facilitating mainstream adoption.

  • HoneyCoin secures $4.9M to scale stablecoin payments

    HoneyCoin secures $4.9M to scale stablecoin payments

    Kenyan financial technology company HoneyCoin has completed a $4.9 million seed funding round to accelerate its stablecoin-based payment infrastructure across emerging markets in Africa, Latin America, and Asia.

    Flourish Ventures spearheaded the investment, joined by TLcom Capital, Stellar Development Foundation, Lava, Musha Ventures, 4DX Ventures, Antler, and Visa Ventures. The capital injection brings the Nairobi-headquartered startup’s total funding to slightly above $5 million since its 2020 launch.

    Targeting Africa’s Cross-Border Payment Market

    The company targets Africa’s $329 billion cross-border payments sector, where lengthy settlement periods and elevated transaction costs remain prevalent challenges. HoneyCoin’s blockchain-based infrastructure connects banks, mobile money platforms, and international payment partners, reducing fund transfer times from multiple days to several hours while cutting traditional expenses.

    Founder and CEO David Nandwa outlined the company’s ambitious vision: “Our mission is to build the operating system for money; how it’s moved, held, and collected, regardless of medium or geography—just like Apple redefined computing”

    Current Operations and Financial Performance

    HoneyCoin reports monthly transaction volumes of $150 million while serving 350 corporate customers and 326,000 individual users. The company generates primary revenue through business-to-business settlement services and merchant acquisition, with enterprise clients paying up to $2,500 monthly for API integration access.

    According to Nandwa, the startup has maintained profitability for two consecutive years. “We have unlimited runway, we’re profitable and have been for the past 2 years” he stated, emphasizing the company’s financial stability.

    Geographic Presence and Regulatory Compliance

    The fintech currently operates across 15 African nations, the United States, select European markets, and various emerging economies. HoneyCoin maintains multiple regulatory licenses including Money Service Business status in Canada, Payment Service Solutions Provider authorization in Canada, virtual asset service provider certification in Europe, and MSB approval in the United States.

    Within Africa, the company has secured Letters of No Objection from regulatory authorities in Nigeria, Kenya, and Tanzania, alongside direct partnerships with mobile network operators and payment service providers.

    Technical Infrastructure and Growth Metrics

    The startup’s proprietary technology includes what Nandwa described as “a stablecoin-powered AI Matching Engine that uses the customer and volume data we have to net off flows across both sides” This system works alongside a global network of partner banks to enable same-day settlement capabilities.

    HoneyCoin reports 16% month-over-month growth in business transaction volumes, while consumer activity through its Peer application grows 5% monthly. Domestic business-to-business transactions represent approximately 60% of total volume.

    Expansion Plans and Product Development

    The fresh capital will fund expansion into Mozambique, Zambia, Rwanda, French-speaking African markets, Latin America, and Asia. HoneyCoin also plans to hire senior management, obtain additional licenses, and develop new service offerings.

    Scheduled for third-quarter 2025 launches are several products including a Visa-partnered stablecoin debit card, an Interswitch collaboration for corporate liquidity solutions, banking-as-a-service offerings in Ghana, Malawi, and Tanzania, and point-of-sale software for East African markets.

    Investor Perspective and Market Competition

    Efayomi Carr, principal at Flourish Ventures, highlighted HoneyCoin’s potential: “[HoneyCoin] has the chance to cement itself as the go-to infrastructure layer for collecting, converting, and settling funds in any currency across B2B cross-border payments”

    Nandwa identified competitors including VertoFX, Nala, Yellow Card, and Cellulant, all developing cross-border payment solutions for African markets. The funding will strengthen core infrastructure, deepen regulatory relationships, and attract senior talent to serve larger enterprise accounts.

  • Riva secures $3M pre-seed to build blockchain payments hub

    Riva secures $3M pre-seed to build blockchain payments hub

    Riva Money has secured $3 million in pre-seed capital from Project A and angel investors representing major financial institutions including Revolut, Ebury, Monzo, and J.P. Morgan. The London-based startup aims to address inefficiencies in cross-border business payments through a hybrid platform combining traditional banking rails with blockchain technology.

    The company’s approach targets persistent challenges in international business transfers, where transactions frequently require multiple days to complete while generating substantial fees and offering limited visibility to corporate clients.

    Dual-Rail Payment Architecture

    Riva’s platform will route transactions through either conventional banking networks or blockchain-based systems, selecting the optimal path based on speed, cost, and regulatory requirements. The technology enables businesses to access stablecoin networks when beneficial while maintaining compatibility with established financial infrastructure.

    “Our mission is simple: to enable businesses’ limitless global money movement — at a fraction of today’s cost” said Niklas Hoejman, co-founder and CEO.

    Co-founder and CTO Mahendra Katoch emphasized the regulatory foundation: “By combining blockchain technology with a robust regulatory framework, we’re building a solution that offers businesses the speed, transparency, and cost-efficiency they need to thrive in today’s interconnected economy”

    Market Dynamics and Regulatory Landscape

    The international cross-border payments sector is projected to expand from $212 billion in 2024 to $320 billion by 2030, driven by corporate demand for improved transaction efficiency. Simultaneously, regulatory frameworks for stablecoins and digital asset transfers are advancing across major markets including the United Kingdom, United States, and European Union.

    Malin Posern, Partner and Managing Director at Project A, highlighted the timing: “With stablecoin adoption accelerating and regulatory frameworks maturing globally, the time is right for an infrastructure rethink”

    Operational Foundation

    Both founders bring extensive financial services experience from their tenure at leading fintech companies and traditional banks. Hoejman and Katoch previously worked at Revolut, Wise, Goldman Sachs, and Citigroup, providing direct exposure to current payment system limitations.

    The startup is pursuing comprehensive regulatory authorization across target markets, including payment institution licenses in the UK and EU, plus MiCA and VASP registrations in the EU and Switzerland.

    Expansion Strategy

    The funding will support global operations development across Europe, Asia, and North America while expanding the engineering team to accelerate product completion. Riva reports its core platform is approaching launch readiness.

    The company’s regulatory preparation reflects growing institutional acceptance of digital payment methods, as businesses increasingly seek alternatives to legacy cross-border transfer systems that can impose significant time and cost burdens on international operations.