Philippines-based PayMongo, an online payments platform, has secured $12 million in capital through a Series A investment round led by payments processor Stripe
PayMongo provides an online payments API for businesses in the Philippines. The Fintech firm has taken part in Y Combinator’s Accelerator program. Y Combinator and Global Founders Capital (an existing investor) also took part in PayMongo’s latest funding round. BedRock Capital, a new investor, made contributions as well.
PayMongo works cooperatively with various financial institutions. Its products mainly include a payments API that may be integrated into e-commerce websites and apps. This allows merchants to take digital payments from customers’ bank cards and online wallets such as GCash and GrabPay.
For social commerce sellers and others who sell mainly via social messaging apps, the Fintech startup provides PayMongo Links, which allow consumers to send payments by simply clicking on these URLs. PayMongo’s platform is equipped with a fraud prevention and risk detection system.
Established in June 2019 with a $2.7 million seed investment, PayMongo has now raised nearly $15 million (to date).
The company has processed around $20 million worth of payments since it began offering services. The Fintech firm’s management claims that their payments platform has grown at about a rate of 60% since the beginning of 2020. PayMongo claims that significantly more consumers are using its payments services following the COVID-19 outbreak.
In addition to more consumers and businesses adopting e-commerce and digital payments solutions, the Central Bank of the Philippines has been exploring investment opportunities to streamline the country’s digital banking and overall financial system.
Fintech has emerged as a “game changer” during COVID for consumers in the Philippines, and traditional businesses must now catch up, an industry executive had argued earlier this year.