BitPesa, a bitcoin payments startup that launched in Kenya in 2013 before expanding in Africa and beyond, has announced a $2.5 million round of funding.
The Series A funding round is led by Silicon Valley-based industry investor Draper VC, along with participation from existing investors, Cryptocoins News reported.
Existing investors in BitPesa include the New York City-based Digital Currency Group, San Francisco-based Blockchain Capital, San Francisco-based Pantera Capital Management, Hong Kong-based BnkToTheFuture, New York City-based Zephyr Acorn and New York City-based FuturePerfectVC.
Based in Los Angeles and New York City, venture capital firm Greycroft LLC joins as a new shareholder and investor.
Series A investors are venture capital funds or angel investors willing to invest and take on the high risk common when investing in startup or early-stage companies, according to Investopedia.
Series A financing is the first round of financing given to a new business once seed capital has already been provided. Typically, this is when external investors are given company ownership for the first time. Funding is commonly offered in the form of preferred stock.
Usually, Series A financing is given when the new venture is generating revenue from its business model, but isn’t yet making a profit.
BitPesa will use the funds for customer acquisition and growing the company in Nigeria — its largest market —…