CoreChain Technologies, the “first” digital B2B payments network built on blockchain, has announced that it acquired $4.2 million in seed funding.
CoreChain’s investment round was reportedly led by Ulu Ventures along with contributions from other existing investors such as Connecticut Innovations, Bloccelerate VC and New Form Capital, as well as new investors, Motivate Venture Capital, SaaS Venture Capital, Next Coast Ventures, and Angeles Investors.
To date, CoreChain has secured $5.5 million in total capital, “including $1.25 million in pre-seed funding announced in August 2021.”
Since its launch in September 2020, CoreChain has processed more than $1 billion in B2B payments “for enterprise buyers, including channel customer transactions.”
In October of last year, the firm “announced a partnership with Scanco Software, the leader in warehouse, manufacturing and supply-chain management solutions for Sage, to co-develop an integration of the CoreChain payments network with Scanco’s software products.”
Available as a white label platform, CoreChain “allows any ERP or Business Process Automation software company – or even banks and other payment networks – to offer blockchain-based B2B payments and financing solutions to its enterprise clients.”
The CoreChain Network “enables simple and secure digital B2B payments between buyers and their suppliers, leveraging enterprise Blockchain DLT (Distributed Ledger Technology) to help companies operate more efficiently.”
By transitioning companies away from inefficient legacy “paper check” based solutions to a modern digital payments tech stack, CoreChain “is simplifying business procedures and helping companies boost profits through automation and enhanced security.”
CoreChain supports “a broad choice of digital payments solutions, including ACH, eChecks, Virtual Cards, and digital assets such as stablecoins, ensuring that it can be leveraged for all partners and customers, regardless of their preferred payment type.”
CoreChain also “unlocks lending opportunities to finance the working capital being held in unpaid invoices that age toward settlement due dates, frequently 30 to 120 days in arrears.”
Chris Aguas, CoreChain Founder and CEO, stated:
“The Seed funding will allow us to greatly accelerate all areas of the business – from product development to sales and marketing – and continue to grow our payments volume. Our time is now as the opportunity is great. Supply chains and cash flows have been disrupted and access to working capital can be difficult to source. Streamlining modern payment and lending processes and adapting to the future of finance is more important than ever.”
Steve Reale, CFO and Partner at Ulu Ventures, remarked:
“The landscape of enterprise finance has undergone massive change in just the last decade alone. Blockchain and distributed ledger technology has rewritten the B2B payments and financing script, ushering in new ways of doing business. CoreChain is connecting businesses with the modern financial mechanisms that are faster and more secure than what’s being used in today’s linear environments.”
Introduced in September 2020 and led by Fintech and blockchain entrepreneurs, CoreChain claims to be “the first digital B2B payments network built on blockchain, and is building a network of networks, which enables businesses to pay other businesses securely, quickly, and efficiently compared to legacy methods, while unlocking lending opportunities for suppliers to finance working capital tied up in approved, but unpaid invoices.”
CoreChain uses enterprise blockchain tech “to automate the exchange of transaction data and funds within a secure environment, using a trust network-of-networks, empowering B2B Marketplaces and B2B Software Platforms with $5 to $50 billion per year in existing commerce volume to offer payments and financing services to their buyers and suppliers via our API-centric, white-label platform.”