Kredete secures $22M series A to scale african diaspora credit solutions with stablecoin technology

African fintech startup raises funding to expand credit-building platform for immigrants across Canada, UK, and Europe. The company combines remittance services with proprietary credit infrastructure, serving over 700,000 monthly users.

African fintech startup Kredete has completed a $22 million Series A funding round to expand its credit-building platform for African diaspora communities across international markets. The round was led by AfricInvest through their Cathay AfricInvest Innovation Fund and Financial Inclusion Vehicle, with participation from Partech and Polymorphic Capital.

The funding brings Kredete's total capital raised to $24.75 million since its 2023 founding by entrepreneur Adeola Adedewe. The company plans to use the investment to enter Canadian, UK, and European markets while enhancing its core platform that combines international money transfers with credit-building services.

Kredete addresses a significant gap in financial services for African immigrants who often struggle to establish credit histories in their host countries. The platform enables users to send money to over 30 African nations while simultaneously building credit scores in the United States and other markets through its proprietary scoring engine.

The company's expansion strategy includes introducing rent reporting capabilities, credit-linked savings products, and goal-based lending options specifically designed for immigrants with limited or no credit files. A key component of this growth plan involves launching Africa's first stablecoin-backed credit card across more than 41 African countries, allowing users to make purchases while building credit and avoiding foreign exchange fees.

Additionally, Kredete is developing interest-bearing USD and EUR accounts to help African users globally preserve value and hedge against local currency volatility. The company is also building comprehensive API infrastructure that provides businesses with a unified platform for secure, real-time cross-border payments into Africa.

"We believe that supporting family members financially should contribute to creditworthiness assessment," explained Adedewe. "Our goal is creating a system that recognizes financial responsibility across international borders. This funding enables us to scale our infrastructure globally and ensure African diaspora communities receive proper recognition and service."

Khaled Ben Jilani, Senior Partner at AfricInvest, noted that Kredete uniquely addresses multiple challenges simultaneously, serving both African consumer clients and major payment operators conducting business across the continent. "The company has successfully tackled key bottlenecks in African payment infrastructure while focusing on diaspora communities," he commented.

Partech Principal Lewam Kefela highlighted the transformative potential of Kredete's approach to remittance and cross-border payment infrastructure, expressing enthusiasm for the company's role in enabling improved financial services for African diaspora populations.

Since launch, Kredete has attracted over 700,000 monthly active users and facilitated $500 million in remittance transactions. The platform has demonstrated measurable impact on users' financial standing, with participants experiencing an average 58-point improvement in US credit scores.

The company's mission supports United Nations Sustainable Development Goals related to economic growth and inequality reduction, positioning financial inclusion as a pathway to broader economic empowerment for African communities worldwide.