Instant payments API developer Devengo has secured €1.2m for its seed funding round to help it grow its team.
The capital injection was led by TheVentureCity, a global venture capital fund that invests in early-stage technology companies. Also joining the round were angel investors, including Felipe Navío and Leo Soto.
With the funds, the instant payments API developer hopes to help more companies gain access to real-time payments. As part of this, it is hiring more staff, with openings in its marketing, compliance and development teams.
Based in Spain, Devengo has developed an instant payment API that allows clients to orchestrate mass payments on a scheduled and instant basis.
The company’s platform allows payroll companies to develop salary propositions and salary advances in real time. Insurers can accelerate claims payments and lenders can make quicker credit payments.
The company is currently in the process of getting a payment entity license from the Bank of Spain.
In a joint statement, Devengo’s co-founders Fernando Cabello-Astolfi and Alberto Molpeceres said, “We live in a real-time world. Payments should be too. This is just the beginning of exciting times to come. Anything short of an instant payment will be considered ancient history for years to come.
“Money shouldn’t sit in limbo for a business day or two. It is not Pareto optimal. Money in real time increases efficiency and allows the development of new value propositions.”
Devengo explained that this investment comes at a time when only 11% of payments in SEPA regions are instant. In Spain, this figure jumps to 46.89%, it said.
Speaking on the investment, TheVentureCity general partner Andrés Dancausa said, “There is an instant payments revolution underway and Devengo has the secret key to it. We are confident that Fernando and his team have found the crucial factor to develop a new era of real-time mass banking.
Spain’s FinTech market is kicking off. Currencycloud recently released a report explaining why the country is set to be the next FinTech powerhouse.
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