UK-based fintech firm Currencycloud has raised $80 million in funding round spearheaded by key investors such as Visa Inc., SBI Group, the International Finance Corp., Siam Commercial Bank, and the BNP Paribas SA. Reuters revealed the results of the fundraising round on Sunday, January 26, 2020.
Visa Spearheaded the Project
As reported earlier, Currencycloud CEO Mike Laven stated that the company collaborated with Visa to enable its clients to access products. Noting that Currencycloud is redefining how money moves within the global economy, the CEO highlighted that the company is committed to “embedding it into platforms of the future.”
“Transfer of value is fast becoming the newest layer in the modern technology stack, and Currencycloud is positioned to provide the infrastructure to make this happen. With these new strategic investors, we are well placed to be the go-to provider for the next wave of Fintech innovation,” the CEO further noted.
Equally involved in the funding round were Currencycloud existing investors such as Notion Capital, GV (formerly Google Ventures), and Saphire Ventures. Since its launch in 2012, Currencycloud has facilitated more than $50 billion in payments and generated over $140 million from investors.
— Currencycloud (@Currencycloud) January 27, 2020
The CEO further revealed that Currencycloud would use the proceeds from the latest funding round to develop its range of products. The money will also help “dramatically increase our footprint in North America.” Currently, the company has offices in Europe and has plans to venture into Asian territory.
While the company has not realized huge profits yet, its focus right now is on how it can improve its offering and expand to other markets. Currencycloud plans to open an office in Singapore by the end of 2020.
Operating in “embedded finance”
Contrary to other payment apps that simply target consumers, Currencycloud works in a sector it calls “embedded finance.” According to the CEO, the company does not “have a strategy where we compete with our customers.” In a clarification, he said:
Targeting Companies Instead of Front-end Users
Currencycloud focuses on selling payment apps for businesses that process international payments. With 85 APIs, it covers virtually everything from foreign exchange and inbound money collection to multi-currency crypto wallet services. According to Laven, nearly 350 businesses were using the APIs by the end of 2019. While Currencycloud collaborates with peers such as Monzo and Revolut, it only ‘provides some of the crucial plumbing’ that enable the apps to operate.
Visa’s decision to steer the Currencycloud funding project comes just a few days after the giant payment processor acquired Plaid for a whopping cost of $5.3 billion.