Thepeer, an API based tech infrastructure company, raises $2.1million Seed round. Raba Partnership led it.
The Raba Partnership led a $2.1 Million seed round for Thepeer, an API-based technology infrastructure company. Rallycap Ventures and Timon Capital are also joining the round. Sunu and Uncovered Fund are also part of the round.
This round of funding comes less than a year after the company’s pre-seed round, which included angel investors Ezra Olubi (co-Founder & CTO at Paystack, acquired by Stripe for $200 million) and Prosper Otemuyiwa (co-Founder & CTO at Edenlife).
At the moment, there are more than 570 fintechs in Africa [pdf]Services include savings, lending, investing, food ordering, and ride-hailing. Many of them offer digital wallets for their customers. However, it is not possible to use this store of value across all apps or merchants.
Thepeer, an API infrastructure company, is focused on this problem and creating an alternative network of money movement among fintechs, consumers and businesses.
According to a statement sent by Benjamindada.com, Thepeer’s average MoM transaction growth has been 161% since its launch in August 2021 and through the first quarter 2022. It added that with the recent launch of its product, Send—focused on sending money between businesses—monthly transaction volume has grown over 65X to double-digit million dollars.
What started out as a challenge for Thepeer’s founders moving value around their various apps has become an infrastructure with multiple businesses integrated applying the solutions and providing more value for their users.
George Rzepecki of Raba Partnership stated that Thepeer’s address reminded him of the fragmented payments landscape Flutterwave identified six-years ago.
Thepeer, a platform that allows fintechs to allow money movement directly from their apps and wallets, is gaining momentum with the proliferation of B2B and consumer fintechs in Africa. We are excited to support the ambitious team that is building a network of next-generation networks. Rzepecki also added.
What is Thepeer’s working principle?
Thepeer was founded by Kosisochukwu Chike Ononye (CEO) and Michael ‘Trojan’ Okoh (CTO) who identified the costly and cumbersome movement of money between mobile wallets as a ripe opportunity for innovation.
Thepeer is offering three products that fintechs and businesses can embed into their application/websites — Direct Charge allows customers of different businesses to fund their wallets from other businesses; Send allows customers of businesses to send money to each other instantly, and Checkout allows customers to pay for items online from any store that accepts payment via Thepeer.
“We see our product as a platform powered by APIs that helps connect fintechs, consumers, and businesses by offering seamless money movement,” said Thepeer’s CEO, Chike Ononye. “Today there are almost 600 fintechs on the continent. Most of them operate siloed accounts. Our goal is to make it easy to connect to any wallet and make payments. We are developing an operating system that will allow businesses to offer additional services to customers.
Thepeer currently powers key businesses such as Eversend or Nguvu Health’s infrastructure. “Wallets are the future in payments. This is our belief at Eversend. All products we develop are based on our multi-currency digital wallets. Thepeer’s team extends the power of wallets and their use-cases. Our users use their Eversend balances through Thepeer to pay for food and health care as well as investments. This is precisely the type of value-chain that we imagined from our wallets system. Ronald Kasendwa, cofounder and CTO of Eversend.
According to Joshua Koya, co-Founder & CEO at Nguvuhealth, “one amazing thing about Thepeer is that it has made it easier for people to pay for therapy on Nguvu Health app, which makes it easy and affordable for Africans to access therapy from their smartphones. Our users now have options with Thepeer’s integration with other fintech wallets where they can pay from for therapy.”
We listed Thepeer among the 12 African startups in early-stage development in January as one to keep an eye on for 2022. At the Techpoint Awards, the company was named the Newbies of the Year 2021. Ononye stated that the company will continue to innovate and serve customers in different geographic locations.