Mansa: The $10M Fintech Revolutionizing Cross-Border Payments

by

Mansa, a Dubai-based fintech that’s shaking up the world of cross-border payments, has just secured a whopping $10 million in funding. And guess who’s backing them? None other than Tether and Polymorphic Capital!

Founded in 2024, Mansa is a liquidity solutions provider for global payments. They’ve also got some other big names on their investor list, including Faculty Group, Octerra, and Trive Digital.

Mansa, which is currently focused on providing payment services to the Africa region, plans to use this new funding to expand into Latin America and Southeast Asia. These regions have been plagued by delayed processing of cross-border payments due to liquidity issues – perhaps Mansa can swoop in and save the day!

Mansa: Real-time Liquidity Payments Solution

Stablecoins, those pesky digital coins that are pegged to a stable asset like the US dollar, are now worth a $205 billion market. They’re growing fast as a method for cross-border payments, offering real-time settlement and hussle-free transactions. Mansa provides liquidity to the largest companies across the payments ecosystem, including B2B/remittance companies, OTC Desks & Forex, Virtual Card Processers, and Stablecoin infrastructure.

In less than a year since its launch, Mansa has processed over $27 million in transaction volume, with nearly $11 million occurring in January 2025 alone – that’s a 574% growth since August 2024!

One of the investors, Polymorphic Capital, highlighted the key features of Mansa that the investors have found innovative and futuristic:

  • Mansa focuses on real-time payments liquidity as it directly finances the underlying payment, providing a short-term revolving line of credit in stablecoins.
  • Its innovative approach enables LPs to earn with higher APYs, and have in-house underwriting and legal claims.
  • It uses stablecoins and DeFi to provide access to onchain funding and streamline settlements.
  • It combines blockchain technology with a meticulous risk management approach, ensuring transparency and security to enable instant liquidity.

Stablecoins: The Future of Cross-Border Payments?

Cross-border payments using stablecoins are settling transactions in minutes on Blockchain networks. The lagging caused by banking hours and different timezones? Gone! Since international transactions are associated with high fees, transactions by stablecoins have much lower fees. The average cost for a $200 transfer costs 6.25% indicating $12.70 per transaction by conventional channels. However, using stablecoins for remittances significantly reduces fees, averaging between 0.5% to 3.0% of the transfer amount. This means a $200 transfer could cost as little as $1.

According to a Coinbase report, in 2023, stablecoins facilitated approximately $10.8 trillion in transactions with $2.3 trillion of this volume attributed to organic activities, including payments and cross-border remittances. As of November 2024, the combined market capitalization of stablecoins reached a record $190 billion, marking a 46% increase from the previous year.

Popular Stablecoins for Cross-Border Payments remain USDT (Tether), USDC (USD Coin), and DAI. Countries such as Mexico and Brazil are receiving significant amounts of remittances ( $63.3 billion) processed by stablecoins, thus, benefitting Businesses, merchants, remote workers, investors, migrants, among others.

With projects like Mansa aiming for further expansion and development, the cross-border payment solution can indeed ‘transform the way money moves’.

Read More

2025-02-20 15:31