HoneyCoin Raises $4.9M Funding to Drive Cross-border Payments with Stablecoin

News World

Published by Stephen Oluwadara at August 12, 2025

Honeycoin, the Same-Day Settlement Fintech Startup

The fintech startup was founded by David Nandwa at the height of the COVID-19 pandemic in 2020. This made Nandwa, 19 years old at the time, one of Africa’s youngest fintech CEOs and a leading blockchain engineer on the continent.

HoneyCoin acts as a financial operating system merging fiat and blockchain infrastructure. This infrastructure connects to banks, mobile money systems, and global payment partners, enabling same-day settlements at lower costs than traditional systems. This hybrid approach addresses inefficiencies in global money movement. Businesses in frontier markets benefit the most.

The Nairobi-based startup processes over $150 million in monthly transaction volume. It currently serves more than 350 enterprise customers and 326,000 consumers with most revenue from B2B settlement services. Through its consumer app, Peer, it reaches hundreds of thousands of users. Collectively, it powers payments for millions across four continents.

What The Investors Are Saying

This is a follow-on investment for Flourish Ventures after initially backing the startup in 2021. The venture capital firm manages an $850 million fund. Their focus is on fairer financial systems in Africa, with cross-border payments and remittances as the top priorities.

Efayomi Carr, Principal at Flourish Ventures, commended the startup. “We first backed HoneyCoin in 2021 based on David’s technical expertise and regulatory vision,” Carr said. “Since then, he’s built a licensed, profitable, and high-growth infrastructure platform powering nearly 300 financial institutions and processing billions in transactions annually.”

Carr added, “This follow-on investment reflects our deep confidence in HoneyCoin’s results to date and potential to lead the next generation of compliant, blockchain-enabled finance across Africa.”

Visa’s involvement also underscores the platform’s innovation. Cuy Sheffield, Head of Crypto at Visa, commented, “HoneyCoin is tackling real-world challenges in cross-border payments and financial access across Africa. It’s a strong example of how stablecoins can unlock more efficient and inclusive payment solutions in emerging markets.”

How Honeycoin’s New Investment Will Be Deployed

The investment will fuel HoneyCoin’s mission to transform cross-border payments using stablecoin technology, driving faster, cheaper, and more compliant financial solutions across Africa and global markets.

The company plans to launch several new products in Q3 2025 to expand its technology and service offerings to businesses and consumers. These products include a stablecoin-backed debit card with Visa and a cross-border liquidity solution for African corporates in partnership with Interswitch.

HoneyCoin holds Money Service Business (MSB) and Payment Service Solutions Provider (PSSP) licences in Canada, a virtual asset service provider (VASP) licence in Europe, and MSB approval in the United States of America.

In Africa, it has received Letters of No Objection (LNOs) from regulators in Nigeria, Kenya, and Tanzania, plus direct partnerships with mobile network operators and payment service providers (PSPs).

Additionally, the company will introduce a banking-as-a-service (BaaS) product in Ghana, Malawi, and Tanzania, as well as a software POS solution for East Africa.

Main Image: HoneyCoin Team. Image Credit: HoneyCoin