Nigerian fintech company Kredete has expanded into South Africa after acquiring a company holding a Crypto Asset Service Provider licence from the country’s financial regulator.
The acquisition gives Kredete a regulated foothold in South Africa as the fintech moves to expand its stablecoin-powered payment and remittance services for individuals and businesses.
The deal was completed through a Kredete subsidiary focused on stablecoin infrastructure and was structured as an all-share acquisition.
Kredete said the South African licence will allow it to develop its digital asset-powered payment services in the country, including faster cross-border transfers and remittances.
The expansion comes as South Africa strengthens its regulatory framework for cryptocurrency and other digital assets, making the country one of Africa’s more established markets for regulated crypto businesses.
Kredete’s move also builds on a $22 million Series A funding round raised about a year ago. The round was led by AfricInvest, with participation from Partech and Polymorphic Capital.
At the time, the fintech said the funding would support expansion into Canada, the United Kingdom and other European markets, while scaling its stablecoin-powered remittance infrastructure and financial products for Africans living abroad.
Kredete has increasingly made stablecoins a central part of its cross-border payment system, using the digital assets to help users move and settle money across different countries.
The company said its regulatory expansion is being pursued on a market-by-market basis.
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Its existing regulatory footprint includes virtual asset service provider and payment service provider authorisations in Argentina, as well as an International Money Transfer Operator licence in Ghana.
Tobi Adebowale, Head of Legal at Kredete, said the South African acquisition was part of the company’s strategy to build regulated infrastructure around stablecoins.
He said the move would help Kredete provide faster and cheaper payments while maintaining compliant financial services for customers and businesses.
Founded by Adeola Adedewe, Kredete operates a cross-border payments platform that enables consumers, businesses and financial institutions to move, convert and settle money internationally.
The company said its platform now supports payments to more than 60 countries and that it has raised $24.75 million in total funding.
The South African expansion positions Kredete to compete for a larger share of the continent’s growing cross-border payments and digital asset market.
About the Author
Cecilia Attah is a tech analyst with a degree from Benue State University. She covers tech news and startups at TechRegard with a focus on how technology is transforming Africa and shaping the global landscape.
