The cryptocurrency platform Yellow Card has raised $33 million in a Series C funding round led by Blockchain Capital. It’s worth noting that Blockchain Capital is an investor in Coinbase, Kraken, OpenSea, and Worldcoin.
The funding round also saw participation from Winklevoss Capital, Polychain, Block, Inc, Third Prime Ventures, Castle Island Ventures, Galaxy Ventures, Blockchain Coinvestors, and Hutt Capital. With this new funding round, Yellow Card’s total investment has reached $89.5 million.
Overview of the Venture’s Activities
Founded in 2019, Yellow Card is a U.S.-based cryptocurrency exchange focused on the African continent. Initially targeting individual users, the venture decided to attract businesses around two years after its establishment.
In 2021, the company reached 1 million customers but realized that managing individual users on the platform came with high costs. In terms of volumes, the margins were too low to sustain business with small individual users. On the other hand, small and large businesses carried more significant volumes and paid higher transaction fees. To address this, Yellow Card raised its minimum transaction amounts.
Key Data of the Venture
Yellow Card serves approximately 30,000 businesses in Africa and internationally. The venture provides support to these companies in payment and treasury management. According to Chris Maurice, co-founder and CEO of Yellow Card, the venture’s trading volume surged from $1.7 billion to over $3 billion in early last year, aided by stablecoins.
Yellow Card plans to use the investment to develop new products, strengthen its team and systems, and maintain its engagement with regulators on the continent.
Source
Arwen Volkov, A graduate of the University of St. Gallen in Switzerland with a degree in International Finance, Arwen specializes in sustainable finance and green investments. She began her career at an investment bank in London, where she developed financing models for environmentally friendly projects. Known for her analytical and strategic thinking skills, Arwen is a sought-after financial consultant. In her spare time, she mentors fintech startups, contributing to their growth strategies. She is also a nature enthusiast and an amateur photographer.
