Fintech Spotlight

Tag: cross-border transfers

  • 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.

  • Mastercard partners with Monak for migrant worker platform

    Mastercard partners with Monak for migrant worker platform

    Mastercard has formed a strategic alliance with Monak, an Omani financial technology company, to launch a comprehensive digital platform targeting migrant workers across the Middle East and neighboring regions. The collaboration addresses longstanding barriers in cross-border money transfers while streamlining employer payroll and recruitment processes.

    The new platform tackles financial service gaps that have historically affected millions of workers employed outside their home countries. Data from the United Nations Department of Economic and Social Affairs reveals that Gulf Cooperation Council nations accommodate more than 30 million migrant workers, representing over half the regional population.

    Addressing Financial Service Gaps

    Migrant workers have traditionally encountered significant obstacles when accessing formal financial systems, particularly for international money transfers and basic banking services. The Mastercard-Monak platform aims to reduce both costs and operational complexity associated with these essential financial functions.

    The initiative provides workers with digital tools for money management and remittances, while simultaneously offering employers integrated solutions for recruitment, staff onboarding, and wage distribution. This dual approach addresses inefficiencies that have previously slowed financial transactions and delayed worker access to their earnings.

    Platform Capabilities and Training

    Beyond transaction processing, Monak incorporates educational components designed to enhance users’ digital financial literacy. The platform equips workers with knowledge and skills necessary for effective navigation of digital financial tools, supporting broader adoption of electronic payment systems.

    For employers, the integrated system consolidates multiple operational functions, enabling more efficient wage payments and allowing workers to transfer funds to their families with improved security and speed. These enhancements contribute to increased worker satisfaction and more streamlined business operations.

    Executive Perspectives

    Muhammad Nana, Senior Vice President of Digital Partnerships for Eastern Europe, Middle East and Africa at Mastercard, emphasized the initiative’s broader significance. “Everyone deserves the freedom to thrive in the digital economy. When people benefit from the ease of money movement, convenience of digital wages and financial services access, it also provides confidence when working far from home, which is why this is such a benefit for migrant workers” Nana stated.

    He added that the partnership advances Mastercard’s commitment to enabling migrant worker participation in digital economies beyond their home countries.

    Said Salim Al Shanfari, co-founder and managing director at Monak, described the collaboration as a significant milestone in the company’s expansion strategy. “We are delighted to team up with Mastercard, to offer seamless and user-friendly financial services experience to our valued partners across the Middle East, Asia and Africa. This collaboration marks a significant milestone in our expansion strategy, particularly within the burgeoning Middle East market, reinforces our mission to enable inclusive digital transformation” Al Shanfari said.

    Financial Inclusion Strategy

    The partnership aligns with Mastercard’s broader financial inclusion objectives, which focus on expanding access to digital financial services among underserved populations. By developing targeted partnerships and specialized products, the company seeks to support individuals in achieving greater financial stability and accessing essential services.

    The platform’s geographic scope encompasses the Middle East, Asia, and Africa, regions where substantial migrant worker populations require improved financial service access. This multi-regional approach reflects the global nature of labor migration and the need for cross-border financial solutions.

    The initiative represents a targeted response to documented challenges in migrant worker financial services, utilizing technology to bridge gaps between traditional banking systems and the specific needs of internationally mobile workers and their employers.