$4.5 million for MoneyHash to expand its payment orchestration platform for merchants in MENA

💸 Meet MoneyHash! An Egyptian fintech that provides a unified payment orchestration platform to simplify complex payment processes for MEA merchants.

And, they've just secured $4.5 million in seed funding!

• Launched in 2020 by Nader Abdelrazik and Mustafa Eid, MoneyHash offers a unified API, customisable checkouts, and advanced fraud and failure rate optimisation.

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💰 Investor lowdown: The round was led by COTU Ventures and Sukna Ventures, and supported by RZM Investment, Dubai Future District Fund, VentureFriends, and GitHub co-founder Tom Preston-Werner, along with other backers.

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🌐 Payment complications

When launching platforms, merchants typically start with a couple of payment processors. However, expanding necessitates integrating more providers, a process complicated and prolonged by technical and operational hurdles, often extending over weeks.

• The MEA's digital payment landscape is notably fragmented, with each country's unique challenges—different currencies, payment methods, and separate financial systems—adding to the complexity.

Although the pandemic increased digital payment usage in MEA, infrastructure still lags, evidenced by payment failure rates tripling the global average and fraud and cart abandonment exceeding other regions by over 20%.

• The result? Merchants end up regarding payments as more as a risk than a strategic opportunity.

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⚙️ Break it down

Payment orchestration platforms, like MoneyHash, streamline payment processes for merchants through unified payment APIs.

Merchants integrate their systems with MoneyHash’s unified API, which then connects them to over 200 pre-integrated payment service providers and methods, from cards and wallets to BNPL and even crypto, across more than 80 markets.

• What's the cost? MoneyHash charges $500 monthly plus a transaction fee of 0.4%.

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🧲 What’s the draw for merchants?

Merchants see a simpler, faster integration process, leading to a potential 10-20% increase in revenue and a 90% reduction in development costs.

• Since its beta launch in 2022, MoneyHash has not only tripled its revenue but also grown its processing volume by 30-fold. They have a customer base of 50 active paying customers, with over 100 potential clients in the assessment stage. 

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🔮 Flashforward

The fresh funding will be used to expand their business team and growth capabilities while maintaining technological progress.