Global Fintechs Secure US$165m in Cross-Border Growth Push

A trio of significant funding rounds announced in mid-January signals potential renewed confidence in the fintech sector, following Brex's US$235m credit facility reported by FinTech Magazine earlier this week. 

The latest deals, totalling over US$165m across three continents, span digital asset banking, cross-border payments and healthcare administration, suggesting an appetite for both established fintech verticals and emerging specialised solutions.

These investments come as the sector navigates a period marked by higher interest rates and increased regulatory scrutiny, with funding levels still working to recover from the peaks of 2021. 

However, the geographic diversity and strategic focus of these rounds, alongside Brex's facility with Citi and TPG Angelo Gordon, point to evolving opportunities in the global fintech landscape. 

As Brex's Chief Financial Officer Ben Gammell notes, such deals demonstrate “continued momentum” in the fintech sector.

Digital Asset Banking Leads the Way 

The largest funding round comes from Swiss digital asset banking group Sygnum, which has secured US$58m in its Strategic Growth Round, achieving unicorn status with a valuation exceeding US$1bn. 

The oversubscribed round, with cornerstone investor Fulgur Ventures, comes as Sygnum reports significant growth in its trading volumes, with 2024 revenues for trading products surpassing the previous year's total in Q3.

The company's growth trajectory has been particularly notable in its core business operations. Total annual trades in 2024 increased by more than 1,000% year-on-year, driven by strategic partnerships including PostFinance and over 20 banks on its B2B platform, which now provides regulated crypto services to more than a third of the Swiss population.

Mathias Imbach, Sygnum's Co-founder and Group CEO, views the achievement as “a strong validation by our business model, strategy and team”, while noting concerns about Switzerland's position in the digital asset space. 

“As Switzerland is currently losing ground to other jurisdictions as a preferred digital asset hub, it is our obligation to highlight the need for Switzerland to not ignore the importance of continuous innovation in the financial sector,” he says.

The funding will support Sygnum's 2025 expanded EU/EEA market entry and launch of its regulated presence in Hong Kong. 

The company also plans to broaden its institutional infrastructure and expand its product portfolio with a focus on Bitcoin technology. 

Recent innovations include the July 2024 launch of Sygnum Connect, a 24/7 multi-asset settlement network, and Sygnum Protect, a platform enabling institutional clients to trade on major crypto exchanges while maintaining secure, bank-grade custody.

Cross-Border Innovation Expands 

Following closely behind, Nigerian cross-border payments company LemFi has raised US$53m in a round led by Left Lane Capital with participation from Y Combinator. 

The fundraise, which follows its US$33m round in 2023, will support the company's expansion into European markets, particularly the UK and Germany, where substantial African immigrant populations reside.

“Our mission is to redefine how money moves across borders, and this funding allows us to extend our impact to even more communities,” says Ridwan Olalere, LemFi's Co-founder.

The company's European expansion follows its successful entry into Asian markets including China, India and Pakistan.

Founded in 2020, LemFi has distinguished itself through competitive exchange rates, zero transaction fees and instant transfer capabilities, positioning it to address the persistent challenges of high costs and delays in international money transfers.

Market Evolution and Innovation 

“Our mission is to redefine how money moves across borders, and this funding allows us to extend our impact to even more communities,” says Ridwan Olalere, LemFi's Co-founder.

The company's European expansion follows its successful entry into Asian markets including China, India, and Pakistan.

Founded in 2020, LemFi has distinguished itself through competitive exchange rates, zero transaction fees and instant transfer capabilities, positioning it to address the persistent challenges of high costs and delays in international money transfers.

Market Evolution and Innovation 

These fundraises, alongside Berlin-based healthcare fintech Nelly's €50m million (US$54.5m) Series B round led by Cathay Innovation and Notion Capital, suggest early signs of recovery in the fintech sector following a challenging 2024 marked by higher interest rates and increased regulatory scrutiny. 

While funding levels remain below the peaks seen in 2021, investors are showing renewed interest in companies with clear paths to profitability and strong sector expertise.

The focus on European expansion, particularly from African fintechs, indicates a shift in the global fintech landscape. 

Companies are increasingly looking to tap into the European market's regulatory framework and established financial infrastructure while bringing innovation from emerging markets. 

This trend is exemplified by Nelly's recent expansion into Italy, where it aims to address similar healthcare administration challenges, and LemFi's strategic move into key European markets.

Sector-specific solutions are also gaining traction, as evidenced by Nelly's growth. Since its Series A round, the company has doubled its customer base to 1,200 medical practices serving over 2 million patients, while digitising more than 30 million paper documents. ​​​​​​​

“We are excited to continuously automise administrative workflows and innovation to build the largest fintech in healthcare,” says Niklas Radner, Co-founder and CEO of Nelly.

The convergence of traditional finance and digital assets continues to shape the sector's evolution, with institutional adoption playing a key role. 

“We are proud to be the cornerstone investor for the final close of Sygnum's Strategic Growth Round, which coincides with a potential inflection point for Bitcoin's institutional adoption and regulatory clarity,” concludes Oleg Mikhalsky, Partner of Fulgur Ventures.

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