Conduit, a cross-border payments platform, has secured USD 6.5 million from Helios Digital Ventures to expand across Africa and boost its B2B money transfer system. Since its inception in 2021, the startup initially linked cryptocurrencies and neobanks. However, after the 2022 slump in some cryptos, Conduit remodeled its operations in August 2023 to tap into the B2B sector.
The startup was founded in 2021 by Kirill Gertman and Michael Gregson, and hired Eric Wainaina, a fintech executive, to lead their Africa unit. The firm is prominent Latin American region, dominating markets such as Brazil, Mexico, Colombia, and Argentina.
In 2022, Conduit raised Ksh. 2.1 billion (USD 17 million) in seed funding in a round led by Portage Ventures. It recorded a 25% month-on-month revenue growth since December last year when it resorted to focus on expansion efforts. According to Airwallex forecasts, the value of cross-border payments will stand at USD 250 trillion by 2027, representing a 60% growth. B2B transactions are slated to retain dominance in these transactions, accounting for 97% of that figure.
“We see even greater potential in Africa, with impressive early growth and volumes we think might surpass Latin America by early next year,” said the CEO, who owes Conduit’s numbers to the vast market opportunity across both markets. We identified this as a much more pressing and tangible pain point than the bubble of decentralized finance. These are real-world issues faced by traditional businesses that need a better, faster, and more transparent way to transact with their suppliers and partners across borders,” Kirill Gertman, said CEO and co-founder of Conduit.