A Nigerian fintech startup, Grey, which provides virtual international bank accounts for freelancers and remote workers across Africa, has secured $2 million in seed funding to bolster its cross-border payment services and expand its operations within the continent.Founded in July 2020 by Idorenyin Obong and Femi Aghedo, Grey initially offered an instant currency exchange service for Nigerians, enabling users to convert foreign currency in their domiciliary accounts to naira.
The startup has since grown, joining Y Combinator’s winter batch in 2022 and gaining pre-seed backing last year.Building on its early success, Grey expanded to East Africa, starting with Kenya. CEO Obong revealed partnerships with Cellulant, a payments company, and Moringa, an edtech firm, to facilitate this growth. Through these collaborations, users in Nigeria and Kenya can receive payments from over 88 countries via USD, GBP, and EUR accounts, convert them into local currencies, and withdraw funds to their bank accounts or mobile wallets. The platform now also supports Ugandan shillings and plans to expand to Tanzania in the near future.
With a user base of around 100,000 individuals and a 200% increase in transaction volumes this year, Grey recently introduced a business-focused product, Grey Business, aimed at providing affordable cross-border payment solutions for micro and small enterprises. This addition aims to address the inefficiencies in using foreign currencies for intra-African transactions by offering a streamlined platform for sending and receiving local currencies within the continent.
The $2 million funding round included participation from Y Combinator, Soma Capital, Heirloom Fund, True Culture Fund, and angel investors such as Alan Rutledge, Samvit Ramadurgam, and Karthik Ramakrishnan. Grey plans to use the funds to publicly launch Grey Business in Nigeria and Kenya and expand its product offerings further.Grey’s vision, according to CEO Obong, is to enable seamless international payments for freelancers, remote workers, and businesses. “We aim to make cross-border payments as simple as sending an email,” he said. “Our mission is to enhance Africa’s financial connectivity and ease of doing business across borders.”
