Chipper Cash, a pan-African fintech business that allows cross-border payments in seven key Sub-Saharan African nations, has had a banner year. Chipper revealed earlier this year that it had begun operations in the United Kingdom, followed by a $100 million Series C fundraising round in June. Following up on the investment blitz, the company announced a $150 million Series C extension earlier this month, bringing the total funding round this year to $250 million.
Chipper, meanwhile, has begun operations in the United States as part of a global expansion strategy geared at facilitating diaspora remittances to Africa. BI Africa spoke with Ham Serunjogi, the company’s co-founder and CEO, to discover more about this development plan. Take pleasure in the discussion.
Africa Business Intelligence (BI): Mr. Serunjogi, it’s great to speak with you finally. Congratulations on Chipper Cash’s debut in the United States.
Serunjogi Ham: Thank you for taking the time to read this. Chipper was founded by my co-founder Maijid and me to solve the intra-Africa remittances problem, and our product offering has since substantially increased. Our ambition was always to launch in the United States and facilitate two-way payment flows between the United States and Africa, and we’re thrilled to have accomplished that goal in just three years.
Thanks to its introduction, Africa Business Intelligence (BI): Chipper Cash now allows remittances to Africa from two key diaspora markets. What effect do you think this will have on your overall growth?
We believe that to serve Africa effectively, you must develop globally. Ham Serunjogi: Connecting the African diaspora in the United Kingdom and the United States is a huge step forward in this endeavor. It will considerably extend Chipper’s utility for Africans on both sides of the Atlantic.
Africa Business Intelligence (BI): We realize that sending money from the United States to Nigeria is free. Is this a calculated move? If so, how did it come to be?
Ham Serunjogi: The US-Nigeria remittance corridor is vast, and CBN laws mandate that payments received in Nigeria from the US be in USD. As a result, this was partly strategic, as we would have made it free for a limited period, and Nigeria’s current regulatory environment also influenced it.
Africa Business Intelligence (BI): Let’s start with Twitter Tips: what is it, and what is the nature of your collaboration with it in terms of US payments to Africa?
Tips are an easy way for anyone to contribute money to another Twitter user, according to Ham Serunjogi. While it is aimed at artists and fans, it is a very strong worldwide payment network that accepts Cash and cryptocurrency. We’re thrilled to be the sole payments app supported for African users today because Twitter is a highly inclusive and forward-thinking company that was open to unlocking this possibility for African producers and followers.
BI Africa: In June of this year, Chipper Cash announced a $100 million Series C, which we believe has added to the company’s growth since then. Is there any chance of a future capital raise?
Serunjogi Ham: Yes! We just announced a $150 million Series C extension led by FTX, bringing the total Series C funds raised to $250 million. FTX founder Sam Bankman-Fried, Maijid, and I share a common goal reflected in our partnership. We’re ecstatic to have FTX on board!
Africa Business Intelligence (BI): Talk to us about your expansion ambitions for 2022. Your service is still unavailable in a number of African nations. What are your plans for them?
2022 will be a year of continuing expansion and growth in both new and existing markets, according to Ham Serunjogi. More countries in Southern Africa and a few significant Central and West African countries are on the horizon. Our compliance and regulatory teams have been working nonstop to strengthen our relationships with regulators, which will continue apace in 2022.
Africa Business Intelligence (BI): A follow-up question: despite the efforts of organizations like yours to make remittance to Africa easier, some people still find it difficult to do so, particularly freelancers seeking to receive payments from outside. What can be done to change this situation?
Ham Serunjogi: With Chipper available in the United States and the United Kingdom, and eight African nations, we believe it is well-positioned to address the needs of freelancers. Chipper is an immediate and low-cost alternative for getting paid if a Kampala-based designer works for a US company. And now, thanks to Twitter tips, you can not only interact with the top creators and freelancers on the planet, but you can also pay them directly through the site.
Africa Business Intelligence (BI): Let’s take the time to talk about you. You and Maijid co-founded chipper Cash in 2018, and it has only been three years since it became this successful. So, how does that make you feel? What variables do you believe are beyond your control?
Ham Serunjogi: While I’m always amazed by how beautifully Chipper has been welcomed, Maijid and I were well aware of how painful the problem was. Our worldwide team has done an outstanding job of staying in touch with our customers, shipping globally while optimizing locally. Chipper’s sustained success results from the team’s foresight and execution on a variety of fronts, including product, partnerships, and compliance, to mention a few.
Africa Business Intelligence (BI): Have you encountered any difficulties when conducting business between continents? If so, how do you deal with these difficulties?
Serunjogi Ham: Many obstacles have arisen due to operating in multiple countries with varying regulatory regimes; the key is to constantly learn and improve and ensure that we engage closely with our ecosystem partners and authorities. We’re developing Chipper for the long haul. While we don’t expect it to be easy, we recognize the importance of providing essential financial services to billions of people across Africa.
BI Africa: Could you please offer some business advice to budding entrepreneurs who are currently facing difficulties?
Ham Serunjogi: My cooperation with Maijid has been extremely beneficial to Chipper’s growth and my development as a CEO. I believe entrepreneurs must collaborate with co-founders who have the same vision yet have complementary skills.
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