Tap Send, the creator of a money transfer app of the same name, revealed that it raised $65 million in a Series B funding round. The fintech plans to use the funds to build a cheaper and faster cross-border money transfer platform.
Remittances to neglected countries
The fintech startup behind the remittance app, Tap Send, recently said it raised $65 million in a Series B funding round. According to the startup, the funds raised will be used to boost remittances to the most neglected countries in Africa and Asia.
As stated in a Techcrunch report, Tap Send’s latest fundraising — which topped the Series A total round of $13.4 million — was led by Spark Capital. Other participants in the round included Unbound, Reid Hoffman, Canaan Partners, Slow Ventures, Breyer Capital, Wamda Capital, Flourish Ventures and other anonymous investors.
The market would be crowded
In comments after the funding round, Tap Send co-founder and CEO Paul Niehaus explained why his company chose to focus on remittances, even though it now appears to be a crowded market. Niehaus explained:
It’s easy enough to say that remittances are congested, but you could have said that for social media or video conferencing before TikTok or Zoom came along. Remittances are a deceptively simple product on the surface, with extremely complicated execution under the hood. There are 1,000 coins to settle, and when you do, you can deliver more value to users through price, speed, and reliability.
As a result of this latest funding round, Tap Send has now raised over $80 million, which translates to a valuation of $715 million according to data from Pitchbook.
What do you think of Tap Send’s perceived market valuation? Let us know what you think in the comments section below.
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