Fincy receives US$11m injection from parent GBCI Ventures

SINGAPORE-BASED fintech startup Fincy on Friday said it has received US$11 million from its parent company GBCI Ventures.

In addition to this capital injection, Fincy will be finalising an external funding round in the coming weeks, it added.

Newly launched in Singapore this month, Fincy aims to use its multi-currency wallet to "facilitate seamless and contactless currency exchange across Asia".

The startup said its app allows users to top up their e-wallet via local bank transfer, and exchange currencies at wholesale exchange rates and with transaction fees as low as 0 per cent.

It told The Business Times (BT) that allowing transaction fees to go down to zero at this juncture was a strategic decision, so that it can focus on driving user acquisition and transaction volumes.

Douglas Gan, chief executive of GCBI Ventures and co-founder of Fincy, said that "by leveraging a secure financial infrastructure built on blockchain technology and by offering round-the-clock customer support, Fincy can provide an affordable, contactless alternative to existing financial services, especially in a post-Covid world".

A NEWSLETTER FOR YOU

Monday, 3.30 pm

Garage

The hottest news on all things startup and tech to kickstart your week.

Sign Up

Fincy will use the fresh funds to expand its market presence, build new headquarters, expand its data centre network across Asia and make 50 "strategic"  hires. About US$1 million from the funding will be allocated for talent acquisition.

The company has set its sights on a 6,700 square foot office in Singapore's central business district to house its technology, product development, compliance and sales and marketing teams.

First set up in Cambodia last year, Fincy now employs over 500 people across Asia and partners thousands of merchants.

GBCI Ventures in late 2018 raised US$100 million for its Smart City Fund, before launching the development fund in 2019 for technologies such as robotics, artificial intelligence and virtual reality. Since then, the venture capital firm has invested in several Internet of Things early-stage companies, as well as in other fintech businesses offering capabilities that are strategic to the expansion of its ecosystem, GBCI said.

The Fincy investment is the second capital injection that GBCI has made into a startup co-founded by its chief executive Mr Gan. The venture capital firm previously set aside US$10 million to invest in projects developed under its venture-built company, Building Cities Beyond (BCB) Blockchain.

On Friday, Fincy co-founder and chief technology officer Vanessa Koh said the latest investment is a "massive vote of confidence for Fincy as a fintech solution that will solve real-world money problems".

"We look forward to taking Fincy to new heights in Asia and building a strong core team in Singapore," added Ms Koh, who is also the chief technology officer of GBCI Ventures.

Fincy is built upon the Building Cities Beyond (BCB) blockchain protocol, which also powers Myanmar's Yatai City, a smart city spamming 120 square kilometres.

Fincy is the exclusive provider of financial infrastructure to Yatai City's 40,000 residents, who can use the startup's app to make purchases, perform transactions, receive salaries and manage their expenses digitally.

The money app is also fully licensed in Phnom Penh, Cambodia, where it is accepted at more than 700 merchants and used by over 40 companies for payroll, Fincy said.