• Zone’s aspirations for regulated DeFi signal a broader trend toward embracing cutting-edge technologies to overcome longstanding financial challenges.

• It harbours ambitious plans to reshape the financial landscape through regulated decentralized finance.

• The fintech’s rebranding led to the creation of two distinct entities: Qore, representing Appzone’s cloud-based Software-as-a-Service (SaaS) platform, and Zone, the blockchain-based payment gateway.

Zone, Africa’s leading licensed blockchain payment infrastructure company, is poised to introduce a groundbreaking remittance product in 2025. CEO Obi Emetarom unveiled the product in a recent discussion.

The fintech firm is developing this product to address three pivotal challenges remittance providers and International Money Transfer Operators (IMTOs) encounter: distribution, liquidity, and licensing.

One of the critical hurdles in the remittance landscape is the necessity for robust distribution networks, particularly for startups delivering funds to recipients without direct links to local banks.

Additionally, managing liquidity across diverse local currencies can be a costly endeavour. The third challenge involves navigating complex licensing requirements across various jurisdictions, adding a layer of complexity to the operational landscape.

Zone strategically positions itself to tackle these challenges head-on. Leveraging its existing connections with banks as a switch, the company plans to facilitate fund delivery without requiring direct links to local banks.

Notably, its infrastructure boasts instant settlement capabilities, effectively addressing concerns related to liquidity management. In terms of licensing, the company is committed to obtaining all necessary licenses to operate seamlessly in diverse markets.

A significant regulatory development occurred in December 2023 when Nigeria’s Central Bank lifted a two-year ban on crypto-related bank accounts.

The lifting of the ban, coupled with stringent rules for banks opening crypto accounts, has opened new avenues for cross-border payments. Emetarom views this as a “fantastic development,” foreseeing increased opportunities for the fintech firm in this evolving landscape.

Beyond its current role as a payments processor and switch, it harbours ambitious plans to reshape the financial landscape through regulated decentralized finance (DeFi).

The company envisions a future that combines the strengths of blockchain technology with the legitimacy of traditional finance. Emetarom disclosed that a white paper is being written to outline this future, positioning Zone as the foundation for this transformative shift.

Zone Fintech gears to dominate Africa’s fintech industry

Established in 2008 by Emeka Emetarom, Obi Emetarom, and Wale Onawunmi, Zone underwent a significant transformation in 2022, rebranding from a fintech software provider to a blockchain payment infrastructure company.

This strategic shift led to the creation of two distinct entities: Qore, representing Appzone’s cloud-based Software-as-a-Service (SaaS) platform, and Zone, the blockchain-based payment gateway.

As a licensed payments switch by the Central Bank of Nigeria, it operates a blockchain network that facilitates direct transactions between financial service providers without intermediaries. Notably, thirteen Nigerian banks utilize its blockchain network to process ATM transactions.

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The fintech’s revenue model charges a fee for each transaction processed through its channels. Since 2023, the startup has witnessed an increase in its daily transaction processing volume, although Emetarom did not disclose specific numbers.

Looking ahead, Zone has extensive plans to expand the use cases of its blockchain payment technology, including venturing into online payments and direct debit services.

Financial institutions anticipate that the imminent launch of Zone 2.0, a new blockchain infrastructure based on the Ethereum standard, will offer instant settlements. The startup is strategically eyeing entry into Global South markets, focusing on Latin America, Southeast Asia, and the Middle East.

Its proactive approach positions it as a catalyst for financial inclusion. By focusing on robust distribution networks, efficient liquidity management, and navigating complex licensing requirements, the fintech aligns itself with the broader goal of promoting seamless financial transactions across borders.

Its innovative approach could lead to more reliable and faster cross-border transactions in a region where remittances are crucial in supporting households and fostering economic stability. The ability to deliver funds without direct links to local banks and instant settlement capabilities position the firm as a transformative force in the remittance landscape.

Moreover, its aspirations for regulated DeFi signal a broader trend toward embracing cutting-edge technologies to overcome longstanding financial challenges. This forward-looking approach positions Zone as a pioneer and sets a precedent for other financial institutions to explore innovative solutions in the ever-evolving financial technology landscape.

As Africa seeks to position itself as a player in the global financial arena, its strategic moves contribute to shaping the narrative of a technologically advanced and financially inclusive continent.

The integration of blockchain technology and the commitment to obtaining necessary licenses for diverse markets signify a progressive step toward establishing Africa as a hub for innovative financial solutions.

The fintech’s upcoming foray into the remittance landscape reflects its commitment to addressing critical pain points in the industry. With a robust infrastructure, strategic positioning, and ambitious plans for the future of decentralized finance,

The Zone is poised to play a pivotal role in shaping the financial landscape in Africa and beyond. Integrating blockchain technology with traditional finance signifies a bold step towards a more inclusive and efficient financial ecosystem.

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