VeelPay, a new fintech platform is set to launch to enable instant money transfers from anywhere to anywhere around the globe with state-of-the-earth encryption technology for secure transactions.
The platform, which has been in stealth mode for a while, aims to allow users to send and receive money, store funds, pay bills via credit card or M-Pesa and buy airtime across major mobile networks in Africa and is in the process of introducing affordable medical insurance packages across Africa. In addition, it will have an investment platform connecting investors to companies that are investor-ready.
The burden of high transaction fees
Speaking to TechMoran, Vivian Kang’ethe, the Kenyan-based co-founder said the firm currently has 10 employees and is on-boarding users by day to ease them the burden of high transaction fees incurred on money transfer platforms, help their businesses accept digital payments and give them proper investment opportunities or enough capital to start their own businesses.
“Yes,in as much as the company is new,it is solving what we intended it to. People are able to transact affordably, able to make reliable investments, able to get access to business loans/capital for their projects, able to get affordable healthcare and much more,” Kang’ethe said. “We do have plans to expand geographically and product wise. Currently we are in Kenya, we want to expand to Africa and the world at large,I mean… VeelPay is global!”
VeePay sees mobile money firms and telcos and banks as its biggest competitors because most of them are running to offer this services on their platforms ut VeePay aims to be the mother super-app with all financial services in one platform. it also looks to accept cryptocurrencies in the near future. VeePay is yet to raise any external capital but is open to investors from around the world.
Cryptocurrency is becoming more mainstream
According to Kang’ethe, cryptocurrency is becoming more mainstream, and business owners need to consider offering this as a payment option to customers. Cryptocurrency offers better payment security because cryptocurrencies do not need third-party verification. She adds that when a customer pays with cryptocurrency, their data isn’t stored in a centralized hub where data breaches commonly occur. Crypto, to her, will end the scenario where customers reverse transactions fraudulently but cryptocurrency will eliminate all that,as once a cryptocurrency payment goes through, it is permanent.
“Transactions can be refunded only by the party receiving the funds,” Kang’ethe said. “Businesses that accept cryptocurrency should be prepared for the possibility of customers requesting refunds, and keep track of how much money each customer has paid. Cryptocurrency payments have the potential of creating a more borderless and globalized economy, as well as fighting financial inequality by bringing fast and secured financial services to people without access to a bank.”
Fintechs are powerful tools
Fintechs are powerful tools in democratizing finance in advanced and developing economies, and they are also increasing customer retention for merchants through speed and convenience, whilst providing customers with personalized experiences through AI and machine learning.
Kang’ethe believes Veepay will play a huge role in the Kenyan ecosystem if it picks up. “Fintechs in Kenya have become catalysts for traditional banking. Fintechs in Kenya are offering solutions to traditional banking by leveraging connectivity, mobile technologies and data analysis. So I would say Fintech companies in Kenya are on track in keeping up with modern trends in the financial digital world.”