Xend Finance, the first decentralized finance (DeFi) platform for credit unions and cooperatives, has announced that it has raised an additional $500,000 investments from new investors, led by NGC Ventures and HashKey.
This brings the total raised in the company to $2 million. Previous investors include Binance Labs, Google Launchpad, AU21 Capital, and TRG Capital.
The startup also announced a product integration and business partnership with TechFusion Africa, a Software as a Service (SaaS) provider in Africa.
TechFusion Africa counts nearly 5,000 credit union members across their suite of products who will gain access to Xend Finance’s DeFi credit union platform.
The startup gives TechFusion Africa’s members access to the global money market so members can save and invest in stable cryptocurrencies while earning higher interest rates.
“We’re very excited to be forming practical and tangible business partnerships that can provide immediate dividends for people who need it in developing countries,” said Aronu Ugochukwu, CEO of Xend Finance.
“TechFusion is one of the leading providers of solutions for cooperatives and credit unions in Africa and partnering with them ensures that we can spread the rewards of DeFi faster across the continent.”
TechFusion will integrate the startup’s SDK (Software Development Kit) to give their members access to stable currencies and up to 15% annual percentage yield on member’s savings.
Integration will be completed at the beginning of Q2 2021 along with the Xend Finance mainnet. Xend, the parent company of Xend Finance and a traditional fintech company, has 55,000 members that will also be integrated into the DeFi platform.
“Traditionally, credit unions offer an interest rate of 1% APY compared to the possible 15% available through Xend Finance,” said Marilyn Modupe Jiwalde, Head of Sales & Marketing of TechFusion Africa.
“This is an excellent opportunity for our members and the African community. Xend Finance has built real-world solutions that make it easy to understand the complexities of decentralized finance and cryptocurrency opportunities.”