Nigerian Fintech Cleva, Founded by AWS and Stripe Alumni, Secures $1.5M in Seed Funding

Cleva, a Nigerian fintech startup founded by AWS and Stripe alumni, has secured $1.5 million in seed funding. Led by 1984 Ventures, with participation from Y Combinator and others, Cleva aims to develop a banking infrastructure allowing Africans to accept foreign payments by opening USD accounts. The founders, Tolu Alabi and Philip Abel, bring expertise from large tech firms and plan to expand in the US, opening an office in New York. Cleva, distinct in its business model and customer experience, sets a $20 fee ceiling on USD account deposits, differentiating itself from competitors.

Despite competition, Cleva focuses on addressing challenges faced by Africans in receiving international payments, estimating an $18 billion opportunity in the market. The fintech has facilitated thousands of USD accounts in four months, with a 100% increase in income month over month. Cleva plans to diversify revenue streams with upcoming products like USD cards and savings in U.S. assets, aiming to tap into the growing market of fintechs targeting African diasporans and independent contractors.

Cleva's founders, familiar with both the African and US markets, express a global vision for the platform, considering future expansion and the issuance of APIs to distribute services across Africa and beyond. The startup's unique approach and successful early growth showcase its potential in the competitive fintech landscape, addressing a worldwide need for efficient international payments.