Skip to main content

Report: Africa Fintech Startups Raised $2 Billion in 2021

Africa’s fintech startups are reported to have raised $2 billion in the past year alone. This amount dwarfs the $231 million that was raised in the year 2020. Nigerian startups continue to account for the biggest share of funds raised by the continent’s fintechs in 2021.

2021 Has Highest Number of Reported Deals

The capital raised by Africa-based fintech startups in 2021 shot to $2 billion, a figure that is almost ten times the $231 million that was raised in 2020, data from Crunchbase News has shown. The figure, which is also the new all-time high, dwarfs the previous high of $773 million that was recorded in 2018.

In terms of the number of deals that were concluded, the Crunchbase data also shows that 2021 has the highest number of deals recorded in a single year — about 198. This is an increase of almost 30% from the 155 deals that were recorded in 2020, the data suggests. The 2021 deals are also more than double the 96 that were recorded in 2017.

A further breakdown of the data suggests that Nigerian payments infrastructure giant Flutterwave is now one of the African continent’s most valued fintech startups. The startup’s valuation of $3 billion follows Flutterwave’s successful funding rounds that culminated with the announcement of a $250 million capital raise in early 2022. Still, in its report, Crunchbase News clarifies that Flutterwave’s latest capital raise is excluded from the $2 billion that was raised in 2021.

Main Sources for Africa’s Fintech Funding Activity

As the data also shows, another Nigerian startup, Opay, was able to top Flutterwave’s raise after it raked in $570 million. The funding rounds give the Lagos-based mobile payments fintech startup a valuation of $2 billion.

Senegal-based Wave Mobile Money is one of the few non-Nigerian fintech startups that also reported successful funding rounds in 2021. According to the data, the company was able to raise $200 million in 2021 thus giving it a valuation of $1.7 billion.

Meanwhile, another report said the main sources for Africa’s fintech funding activity during the past year were U.S. venture capital (VC) funds, large corporations, and Asian investors.

What are your thoughts on this story? Tell us what you think in the comments section below.



from Bitcoin News https://ift.tt/8dDAo3O
Labels:

Comments

Post a Comment

Popular posts from this blog

Mt Gox Creditors Updated, Trustee Says Rehabilitation Custodian Is ‘Currently Preparing to Make Repayments’

On August 31, 2022, the Mt Gox trustee Nobuaki Kobayashi explained in a recent letter that the rehabilitation custodian is “currently preparing to make repayments” to Mt Gox creditors. Trustee Updates Mt Gox Creditors — Repayment Date and Exchange Still Unknown Last week speculation and rumors concerning the release of 140K bitcoin ( BTC ) from Mt Gox littered social media platforms and headlines. Bitcoin.com News covered the situation six days ago as a number of people and Mt Gox creditors called the rumors “ fake news .” During that same period of time, a bitcoin whale transferred 10,000 BTC to unknown wallets, and a 2018 annotation , heuristics, and clustering methods show the funds likely originated from the June 2011 Mt Gox hacks. Following the mysterious whale transfer, last Wednesday, Mt Gox published an official update from the court trustee Nobuaki Kobayashi that explains the court is “currently preparing to make repayments” to creditors. Mt Gox creditors have been wait...
Post a Comment
Read more

Economists Discuss Russia, China Potentially Developing Gold-Backed Currency That Could Undermine US Dollar

Economists have weighed in on reports that China and Russia may be developing a new gold-backed currency that could undermine the U.S. dollar’s status as the world’s primary reserve currency. Russia and China May Be Developing Gold-Backed Currency Several experts have shared their views on Russia and China potentially creating a new gold-baked currency, Fox Business reported Saturday, emphasizing that China has been buying up huge quantities of gold while Russia was forced off the U.S. dollar due to sanctions imposed on the country following its invasion of Ukraine. The news outlet noted that some experts have cautioned that these moves, along with the closer relationship that has developed between Moscow and Beijing, point to the likelihood of China attempting to launch a gold-backed currency. However, neither Russia nor China has officially confirmed plans for such a currency. Craig Singleton, senior fellow at the Foundation for Defense of Democracies and a former U.S. diplomat,...
Post a Comment
Read more

Fidelity Discusses Bitcoin as Portfolio Insurance — Could Soon Stand in ‘Stark Contrast’ to Path Fiat Currencies Take

Fidelity Digital Assets, a subsidiary of Fidelity Investments, says that bitcoin could be considered portfolio insurance. The firm notes that the cryptocurrency “may soon stand in stark contrast to the path that the rest of the world and fiat currencies may take — namely the path of increased supply, additional currency creation, and central bank balance sheet expansion.” Fidelity Says Bitcoin Could Be Portfolio Insurance Fidelity Digital Assets, a subsidiary of Fidelity Investments, recently published a research study titled “The Rising Dollar and Bitcoin.” The research outlines “how bitcoin could be considered portfolio insurance” as the rising dollar impacts global currency markets. “The strengthening U.S. dollar is wreaking havoc among other countries and may put pressure on the Federal Reserve to soon reverse its tightening monetary actions, something that has precedent based on 1985’s Plaza Accord,” Fidelity explained. In addition, “more monetary debasement may be needed to ...
Post a Comment
Read more