The Pan African crypto exchange, Yellow Card, secures $40 million in funding for its expansion plans within the African continent as it aims to promote crypto adoption in the region.
Yellow Card Financial closes a $40 million series B funding round led by Venture capital firm Polychain Capital.
The Pan African cryptocurrency exchange will use the funds in its expansion plans across Africa.
Yellow Card provides users in the African continent with access to stablecoins, bitcoin, and other cryptocurrencies.
The Series B Funding
The series B funding round comprised several investors including Castle Island Ventures, Fabric Ventures and Sozo Ventures. Other minor investors comprise DG Daiwa Ventures and Third Prime Ventures.
The cryptocurrency exchange boasts of the best executing team on the continent. Yellow Card continues to seamlessly adjust and adapt to the unique opportunities in Africa.
The firm also addresses the growing demand for crypto in the continent. Yellow Card was launched in Nigeria in 2019. So far, the firm performs well through partnerships with other crypto entities.
According to Polychain Capital partner, Will Wolf, the partnerships will provide a myriad of opportunities. He reiterated that all parties are excited about what awaits the crypto world.
Since its inception, Yellow Card traverses 21 countries in Africa. In August 2021, the crypto exchange raised $15 million in its series A funding. Since then, the firm continues to make significant milestones.
The firm grew its footprint from 12 to 16 African countries. Yellow Card also made significant hires and granted stock options to full-time employees.
The exchange also launched Yellow Pay which represents a crypto-powered way of sending value across borders. The platform surpassed 1 million customers in March.
Resilience from Yellow Card
According to the CEO and co-founder of Yellow Card, the fundraiser reflects all the hard work put in place. Chris Maurice believes that the firm worked hard to ensure the success of the series B fundraiser.
The move showcased the resilience of the Yellow Card fraternity. Chris added that the fundraiser also demonstrated the appetite and necessity for crypto in Africa.
The fundraising events continue to spur across the African crypto space. In the first quarter of the year, over $91 million in funds were raised.
In the second quarter of the year, the space experienced four fundraising rounds. The fundraising rounds amounted to about $213 million.
Crypto Funding in Africa
In May, Mara, a Pan African crypto exchange raised $23 million. The exchange planned to invest in a suite of products. The products targeted customers in Nigeria, Kenya and other African countries.
Another crypto startup based in Congo took a similar path to raise $30 million in May. Jambo sought to expand its business.
In April, Afriex raised $10 million for its cash transfer platform. The Nigerian-based startup operates a blockchain money transfer platform.
In March, VALR, a South African-based exchange, secured $50 million in funding. Pantera Capital led the series B round funding.
Despite continued investment in the African crypto space, crypto funding remains small compared to other regions. This presents a great investment opportunity for the future.
