SureRemit, a non-cash remittance platform has raised $7Mn on the initial coin offering (‘ICO’) which saw several prominent cryptocurrency investors, such as Hashed, South Korea’s largest cryptocurrency fund, participate.
SureRemit, is a non-cash remittance platform using blockchain technology to help immigrants earmark and send funds home. Using a digital voucher platform and network of local merchants across African and other emerging markets, SureRemit offers an affordable, non-cash alternative for sending money to family and friends at home.
SureRemit says it charges users 0% transaction fees, making it a cheaper option than Moneygram. The platform also gives the sender ability to purchase digital vouchers from specific local merchants can be purchased and settled instantly on the SureRemit platform. Whether funds are used for utility bills, medical treatment, or groceries, SureRemit ensures that sending a few hundred dollars to family is no longer subjected to fees of 7.45% — the global average. Using blockchain, SureRemit can bypass the traditional banking system and connect customers directly to local merchants, who pay a small commission fee on each transaction.
This development builds on GreenHouse Capital’s focus on identifying new ways for blockchain and cryptocurrency to transform African markets. In collaboration with current and prospective portfolio companies and public institutions, GreenHouse Capital plans to harness blockchain technology to accelerate Africa’s growth via the ICO market.
“The implications of growth capital outside of equity financing is huge. It means SureRemit can scale its operations without additional capital from existing shareholders. SureRemit is just one of our 10 fintech-enabled portfolio companies that can potentially leverage blockchain to address a specific market gap, particularly in Africa. We’re happy to take the lead on blockchain and cryptocurrency implementations on the continent,” says Kelechi Nwokocha, a member of the investment team at GreenHouse Capital.
The company foresees blockchain becoming a conduit to tackling Africa’s significant infrastructure challenges. Whether for payments, power, or identity, GreenHouse Capital envisions blockchain’s decentralized system as a critical tool for addressing some of Africa’s greatest market gaps.
SureRemit is re-engineering Africa’s remittance market and highlights the wide array of potential applications of blockchain to drive Africa’s development. The ICO raise is arguably the most successful offering in Africa to date and will likely propel future offerings on the continent.