Global payments technology startup Flutterwave, in conjunction with nonprofit Stellar Development Foundation, has introduced two new remittance passageways between Europe and Africa on the Stellar cross-country transaction system, according to a Monday (Oct. 25) press release.
Working with payment institution TEMPO, the primary European Union anchor for Stellar blockchain payments, Flutterwave is using the Stellar network to simplify remittances in Africa. Flutterwave intends to expand Stellar-based capabilities to additional African countries as it continues to increase the number of currencies it supports.
“It is more expensive to send money to sub-Saharan Africa than to any other region in the world,” said Olugbenga Agboola, Flutterwave CEO. “Our new payment corridors on Stellar will allow us to continue expanding the Flutterwave network to bring all-important, cost-effective money transfer services to African business owners.”
The announcement comes on the heels of a collaboration earlier this month between MoneyGram and Stellar to enable cash funding and payout in local currency for customers using U.S. Dollar Coin (USDC), according to PYMNTS. The joint effort will let consumers switch USDC to cash or vice versa, which will bolster utility and liquidity of digital funds and enable more users to leverage the digital economy.
Related: MoneyGram, Stellar Development Team on eWallet Offering Near-Instant Settlements in USDC
Nigerian-based Flutterwave, which speeds up cross-border money transfers throughout Africa and teams with large nationwide brands like Facebook, Uber and Booking.com, earlier this month launched a new funding round with a minimum company value of $3 billion — a threefold increase in its last valuation, according to PYMNTS.
Flutterwave, which was founded in 2016 and operates across more than 33 African countries serving nearly 300,000 merchants, processed more than 140 million transactions totaling more than $9 billion between January and March. Between 2018 and 2020, the company’s revenue skyrocketed at a compound annual growth rate of 225%.
See more: Nigerian Payments Startup Flutterwave Seeks New Funding at $3B Valuation
In March, Flutterwave announced a partnership with PayPal to enable PayPal customers to pay African retailers through the Flutterwave platform, according to PYMNTS.
Read more: PayPal, Flutterwave Deal Targets African Market
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More