Kredete, a pioneering financial software platform aimed at supporting African immigrants in building credit scores and facilitating money transfers back home, has successfully raised $2.25 million in seed funding. This funding milestone is set to bolster the company’s efforts to scale its operations across the continent, where it already has a presence in 20 African countries.
A Vision to Support African Immigrants
Founded in 2023, Kredete was established with a mission to bridge the financial gap faced by African immigrants in their new countries of residence. The platform enables users to send money to over 20 African countries with minimal fees, while each transaction also helps improve their credit score in their new country. By leveraging blockchain technology, Kredete offers a seamless and cost-effective solution that allows users to establish a solid financial foundation in unfamiliar financial systems.
Rapid Growth and Impact on Financial Inclusion
Since its inception, Kredete has seen remarkable growth, with its user base surpassing 300,000 and transaction volumes exceeding $100 million. The platform’s unique approach to financial inclusion has had a tangible impact, as users have reported an average increase of 23 points in their credit scores within just six months of using the platform. This underscores Kredete’s role in enabling African immigrants to access financial services that were previously out of reach, helping them integrate more effectively into their new environments.
Seed Funding to Accelerate Expansion and Product Development
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The $2.25 million seed funding round was led by Blockchain Founders Fund and included participation from prominent investors such as Techstars, Tezos Foundation, Polymorphic Capital, Launch Africa, Neer Venture Partners, and DNA Fund. Angel investors with a history of backing successful payment platforms like Wise and Western Union also contributed to the round.
With this infusion of capital, Kredete plans to expand its money transfer services to all African countries, extending its reach beyond the 20 countries it currently serves. In addition to expanding geographically, the startup intends to introduce new financial products tailored specifically for African immigrants in the diaspora. These products will include credit cards, auto loans, and mortgage loans, offering a more comprehensive suite of financial tools to meet the unique needs of their target market.
Building a Comprehensive Financial Ecosystem
Kredete’s long-term vision is to create a holistic financial ecosystem that caters to the specific needs of African immigrants. The platform aspires to be more than just a remittance service; it aims to empower its users to build a secure financial future, no matter where they are migrating. By providing access to essential financial products and services, Kredete is positioning itself as a key player in the financial inclusion of African immigrants globally.
Empowering Financial Inclusion
“Kredete is more than just a remittance service; it’s a gateway to financial inclusion for African immigrants in the diaspora,” said Adeola Adedewe, founder and CEO of Kredete. “Our goal is to empower our users to build a secure financial future, no matter where they are migrating into.”
As Kredete continues to grow, its impact on the financial well-being of African immigrants is expected to increase, helping them navigate and thrive in their new financial environments. The successful seed funding round marks a significant step forward in Kredete’s journey to becoming a leading financial platform for African immigrants worldwide.
