Nilos, a global payment platform powered by stablecoin, announced its strategic expansion into West Africa on Monday.
This move aims to simplify cross-border transactions by offering instant payouts in XOF (West African CFA franc) and facilitating last-mile termination through mobile money services. The expansion will initially focus on the Ivory Coast, Senegal, Benin, and Togo.
In 2021, Raphael Fettaya and Eytan Messika founded Nilos to simplify financial operations for multi-currency firms.
Read also: Swiss-based Centi partners with Yellow Card for seamless, low-cost transfers to 20 African nations
The platform offers a unified solution that enables businesses to manage fiat and cryptocurrency payments seamlessly. After raising $5.2 million in its first year, the business issued new Virtual EU IBANs for European Bitcoin companies in 2023.
Nilos aims to simplify West African cross-border payments
Nilos’ expansion into West Africa addresses the challenges associated with traditional cross-border payments, such as high fees, currency volatility, and slow processing times. By leveraging stablecoins, Nilos provides a more efficient and cost-effective solution for businesses and individuals. The platform offers named top-up accounts in EUR, GBP, and USD, instant bank payouts in XOF, mobile money integrations, and automated exchange rate quotes, eliminating manual trading.
Nilos’ services cater to various users, including remittance apps, importers and exporters, and fintech companies in Nigeria and Kenya. For instance, remittance apps can now enable those in the diaspora to send money instantly to XOF-based accounts. Importers and exporters will benefit from streamlined currency conversions when purchasing goods across different regions. Additionally, fintechs in Nigeria and Kenya can unlock NGN-to-XOF transactions, expanding opportunities for digital finance players.
Read also: After years of hype, Pi coin’s price plummets within 24 hours of launch
Market opportunities and challenges
The West African region presents opportunities and challenges for financial services providers like Nilos. The region attracts investment due to its natural riches and expanding middle-class consumer base. However, it also faces geopolitical tensions, climate change impacts on agriculture, and political uncertainties.
Despite these challenges, West Africa is poised for industrial transformation, with multi-billion dollar investments in projects like the Petroleum Hub Project in Ghana and the Baleine field development in Côte d’Ivoire. The upcoming West Africa Industrialisation, Manufacturing & Trade Summit in Lagos, Nigeria, will convene key stakeholders to discuss sustainable industrial development and trade strategies.
