Fintech company Conduit, initially focused on crypto-backed earning products, has realigned its strategy, securing a $6 million seed extension round led by Helios Digital Ventures. This investment paves the way for Conduit’s expansion into Africa, following its successful B2B platform launch in Latin America.
Pivoting Strategy: From Crypto to Traditional Finance
Originally targeting the fusion of traditional finance and decentralized finance, Conduit shifted course due to the volatility in the crypto market. Recognizing the significant challenges businesses face with cross-border transactions, particularly in emerging markets, Conduit pivoted to focus on B2B cross-border payments, a shift that has proven immensely effective.
Addressing Payment Hurdles in Latin America
Conduit’s initial B2B platform launch in Latin America addressed the struggle for US dollar access, reliable SWIFT connections, and affordable payment rails. By transitioning to traditional finance, Conduit simplified cross-border payments, providing a more efficient platform for global transactions.
Tackling Challenges in African Markets
Expanding into Africa, Conduit is targeting markets such as Kenya and Nigeria, where businesses face similar obstacles accessing US dollars and managing international transactions. By partnering with local banks, Conduit’s platform has gained rapid traction, and the company anticipates African transaction volume to surpass that of Latin America.
Leadership in Africa
Eric Wainaina, formerly of The Kenyan Wall Street, is at the helm of Conduit’s African operations, with plans to extend the company’s reach to countries like Ghana and South Africa. Conduit aims to compete with established players, offering a streamlined solution for cross-border transactions.
Global Expansion and Profitability
Conduit’s expansion plans include offering its services in Asia and other emerging markets, aiming to help businesses in frontier markets compete globally. With a focus on profitability and a strong team, including compliance expert Mark Graves and operations lead Andre Masse, Conduit is poised for sustained growth and continued market expansion.