Baki Unleashed: Canza Finance Raises $2.3M for Innovative FX DeFi Platform

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  • The Nigerian Crypto startup secured $2.3 million in a strategic funding round.
  • Canza Finance has raised $5.5 million after closing a $3.27 million seed round in 2023.
  • Canza intends to use Baki to introduce stablecoins to help businesses swap their currencies to the dollar without the heavy forex fees.

Over the past decade, Africa has significantly improved within the Web3 franchise. In an unexpected twist of fate, because of Africa’s slow adoption rate of previous technology, its ecosystem has developed an acute adaptability to Web3 technology.

Due to these factors, Africa has showcased one of the highest cryptocurrency adoption rates, with entities like Nigeria, South Africa, Kenya, and Morroco inspiring and leading the frontier.

In the past few years, the progress of these visionary states has inspired many peers to rethink their verdict on blockchain technology. For instance, Nigeria’s crypto journey has inspired Kenya, Ghana, Tanzania, and many other West African nations to capitalize on its growing blockchain community.

The region has one of the highest numbers of African-based crypto startups, contributing further to its growth.

Recently, Canza Finance, a Web3 Neobank renowned for its cross-border payments, has closed a $2.3 million strategy fund. According to the report, Canza Finance is gearing up to overhaul the production of its innovative FX DeFi platform, Baki.

Canza Finance gains $2.3 million to domianate Africa’s DeFi franchise

Nigeria houses one of the most progressive ecosystems in Africa. After appearing as one of the top five regions with the highest crypto trading volumes, the region was among the first to mark its presence within the global crypto community.

This feat inspired the government and citizens to take up the mantle and pursue a future dominated by blockchain technology. The government would eventually launch Africa’s first CBDC and urge its citizens to pursue a future where Nigeria dominates Africa’s web3 community. 

Currently, Nigeria has top entities within the web3 sphere. The region houses several of the eleven African Union startups, including the continent’s leading crypto exchange, Flutterwave. The success of this Nigerian Crypto startup soon inspired many to take up the mantle of building up Nigeria’s massive crypt-based community we know today.

Also, Read Nigeria’s Crypto Triumph: Shattering CBN Restrictions Amid Global Crypto Winter.

Canza Finance is no different, as the Web3 Neobank has dedicated its efforts, time, and functionality to facilitate cross-border payments throughout Africa. The Nigerian Crypto startup secured $2.3 million in a strategic funding round.

According to the Web3 Neobank, this new feat will play a vital role in obtaining licenses from diverse financial regulators across the continent. This will, in turn, build the roundworms to launch its innovative FX DeFi platform, Baki.

Canza-finance
Pascal Ntsama[left] and Oyedeji Oluwoye[right] are the minds behind Canza Finance advocating for better cross-border payments throughout the continent.[Photo/Medium]
So far, since its founding, Canza Finance has raised $5.5 million after closing a $3.27 million seed round in 2023. According to the official report, the $2.3 million funding round was led by Polychain Capital, with participation from Protocol Labs, Avalanche’s Blizzard Fund, 99 Capital, Stratified Capital, Hyperithm, and others.

Africa is steadily transitioning into an age where cross-border payment will become a norm within day-to-day business life. Businesses and SMEs across African areas like Nigeria, Cameroon, Senegal, Kenya, Tanzania, and Uganda often need cross-border payments.

Unfortunately, the franchise only contains a few contenders, forcing many to rely on slow and expensive transitional methods for sending and receiving national payments. Furthermore, with many regions facing financial turmoil, most SMEs and startups have focused on international markets offering better pay.

Canza Finance seeks to outpace its competition and provides better deals on international payments and buying and selling stocks.

Pascal Ntsama, Canza’s co-founder and CEO, says, “Our goal is to make it easier for businesses to access financial services that are typically only available to large corporations.”

Introducing the FX DeFi PLatform, Baki

Canza Finance is known for its affiliation with FX agents to provide faster and cheaper methods for facilitating cross-border payments.

To accomplish this, the web3 neobank has established several functionalities, like the KYC/KYB system. In addition, it also has services that enable it to determine the exchange rate for a transaction, completing it within 24 hours.

At the time of writing, the Nigerian crypto startup makes money by charging 1% of the transaction process. However, with the new funding, the organization seeks to introduce a new FX DeFi platform, Baki, which will reduce its transaction fees to 0.2%. Baki will simplify the exchange process digitally without involving any fiat money.

Also, Read Nigeria’s Crypto Laws: CBN Revisits Laws to Fuel Transparency and Security in 2024.

Furthermore, Canza intends to use Baki to introduce stablecoins to help businesses swap their currencies to the dollar without the heavy forex fees. This strategic release comes in light of the recent stablecoin trend ongoing within the country. As mentioned earlier, 2023 presented a trying period for many economies.

This forced many businesses and citizens to turn to stablecoins, which offered a more stable option. The web3 neo bank seeks to embrace stablecoins and Defi via its FX DeFi platform, securing dollar stability and overcoming traditional Forex hurdles.

Oyedeji Oluwoye, co-founder and CTO of Canza, said, “We aim to significantly boost infrastructure development, particularly in Africa. With over 50 countries on the continent, we focus on expanding infrastructure and obtaining necessary licenses in suitable jurisdictions. Additionally, we will drive the growth of our DeFi infrastructure products.

Pascal Ntsama added, “We aim to secure a Money Services Business (MSB) license in the United States, obtain a Foreign Exchange (FX) license in Nigeria, and acquire three crucial Virtual Asset Licenses from the Financial Service Commission of Mauritius.

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Ken Mutuku
Ken Mutuku
Your Guide to the Future of Tech, Web3, and Digital Storytelling. With a keen eye for detail and a knack for concise communication, Ken Mutuku is your go-to professional for decoding the next wave of technological evolution. Whether through captivating videos, insightful articles, or engaging presentations, he masterfully crafts messages that deeply resonate with his audience, setting him apart in the digital landscape.