Reports on the present state of Chipper Cash present that its valuation is all the way down to $1.25 billion from the preliminary $2 billion. Whereas the discount within the worth of the African unicorn occurred earlier than FTX filed for chapter, Chipper Money shedding 12.5% of its workers a number of days in the past attests to the drop.
Additional particulars on Chipper Money present that after elevating $100 million in H1 of 2021 courtesy of SVB Capital, FTX led a spherical in H2 of the identical yr to lift $250 million, which introduced the worth of the cost platform to $2 billion.
Once more, FTX got here to the rescue of the African Fintech agency, in line with findings, giving the staff $35 million in SAFE at a $1.25 billion valuation. The yr 2022 has been a bearish season for many Fintech corporations and the crypto house, which has seen a whole lot of firms shut down, lay off workers, or slash their valuation.
African startups affected by FTX
Chipper Money was launched in 2018 as a peer-to-peer cost platform the place Africans can perform cross-border monetary actions, together with crypto-related transactions.
Like different Fintechs that begin in Africa with plans to increase globally, Chipper Money is utilized in Nigeria, Ghana, Tanzania, South Africa, Kenya, Uganda, and Rwanda, with plans to succeed in the UK and US. Nonetheless, these plans may not be applied quickly due to the present downward market pattern.
This pattern has affected a number of African startups, particularly these linked with the now-defunct FTX trade. Companies like OVEX, a South African digital asset trade; Bitnob, a Nigerian crypto trade startup; Nestcoin, a Nigerian web3 platform, and Jambo, a Congolese Web3 firm, to call a number of.
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