July 31, 2024
Toronto-based Layer2 Financial has successfully closed a $10.7 million Series A funding round, led by Galaxy Ventures with participation from Accomplice and Sapphire Ventures.
The company specializes in providing the infrastructure for seamless cross-border payments, facilitating the transfer of billions of dollars in both fiat and digital currencies annually.
Project | Latest Raise | Latest Raise Date | Stage | Total Raise | Lead Investor | Category |
|---|---|---|---|---|---|---|
Layer2 Financial | $10.7M | Jul 31, 2024 | Series A | $10.7M | Galaxy Ventures | FinTech |
Layer2's platform caters to a diverse clientele, including non-bank financial institutions, traditional banks, fintechs, enterprises, and other payment companies. By leveraging its API, customers can effortlessly collect and send payments, as well as convert currencies between digital and fiat formats, utilizing various payment methods such as ACH, Fedwire, Swift, SEPA, and tokenized assets. The platform is currently regulated in 34 U.S. states and holds licenses in both Canada and Europe.
The company's ambitious goal is to replace the traditional SWIFT system within the next decade by establishing a robust global presence. Layer2 aims to create a blockchain-based infrastructure that eliminates the need for SWIFT, enabling faster, more secure, and cost-effective cross-border transactions.
A prime example of Layer2's impact is its partnership with AngelList, where the platform facilitates efficient fund transfers between international investors and U.S.-based funds. By utilizing Layer2's services, AngelList can expedite the transfer process, reducing transaction times significantly compared to traditional SWIFT methods.
The newly acquired funding will be instrumental in accelerating Layer2's product development initiatives, expanding its operational footprint into new jurisdictions, and bolstering its team. The company's innovative approach to cross-border payments, coupled with the support of prominent investors, positions it as a formidable competitor in the financial services industry.
Galaxy Ventures expressed enthusiasm for Layer2's potential to disrupt the traditional payments ecosystem, highlighting the company's ability to leverage digital assets and stablecoins alongside fiat currencies to create a more efficient and transparent payment system.
About Layer2 Financial:
Layer2 is building a next-generation payments infrastructure that creates a faster, cheaper, and more seamless alternative for cross-border payments. Leveraging stablecoins and digital asset infrastructure, Layer2 customers can experience a quantum leap in terms of cost and efficiency that cannot be realized with the existing traditional financial plumbing.
Website: https://layer2financial.com/
X Account: https://x.com/layer2financial
X Followers today: 264
About Investor
Investor: Galaxy Ventures
Description: Galaxy is a digital asset and blockchain leader providing access to the growing digital economy. We connect financial sophistication with technological expertise, institutions with web3 innovations, and Silicon Valley agility with Wall Street savvy.
Since 2018, Galaxy has been building a holistic financial platform spanning three complementary operating businesses: Global Markets, Asset Management, and Digital Infrastructure Solutions. Our offerings include, amongst others, trading, lending, strategic advisory services, institutional-grade investment solutions, proprietary bitcoin mining and hosting services, network validator services, and the development of enterprise custodial technology. The company is headquartered in New York City, with global offices across North America, Europe, and Asia.
Location: NYC, USA
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