ACQUISITION | Nigerian Crypto Platform, Bitmama, Reportedly Acquires PayDay for an Undisclosed Sum

Bitmama is expected to assume PayDay’s customer deposits and liabilities. It is also set to absorb several PayDay’s key personnel across various departments, including marketing, customer service, and engineering.

According to local reports, BitMama, the Nigerian crypto platform, has closed a deal and acquired cross-border payments app, PayDay.

BitMama, led by CEO, Ruth Iselema, purportedly extended an offer to PayDay investors, providing them with $1 million worth of equity in the cryptocurrency company at a valuation of $30 million.

“Favour [CEO, PayDay] reached out to me because we’re building products beyond crypto; one of those products is Changera, and it made sense to me,” said Iselema.

While Bitmama started as a crypto exchange, it now focuses on global services, including remittance.

The move means Bitmama won’t have to develop a new software stack or allocate resources to acquire new users for the relatively new product, Changera.

“The deal is a work in progress,” maintained Favour Ori, the CEO and founder of PayDay.

“If the deal goes through, the result will be a strong team with much more efficiency.”

This development is coming soon after PayDay announced a $3 million seed round led by Nigerian fintech, Moniepoint (formerly TeamApt).

The startup was launched in June 2021 to support African remote workers, freelancers, and digital professionals with frictionless, borderless payments, enabling global payment processing from over 130 countries.

PayDay makes it possible for those on the African continent and in the diaspora to send and receive money in USD, GBP, Euros, and 20 other currencies allowing Africans to work remotely for international organizations and be paid and withdraw money in the currency of their choice regardless of location.

The startup was recently announced as the official payment processor of SpaceX’s Starlink in Rwanda.