Shinkansen, a burgeoning FinTech start-up hailing from Chile, has recently celebrated the successful closure of a seed investment round.
The young company is known for its revolutionary approach to speedy financial transactions, reflecting the swift movement of Japan’s Shinkansen train network which inspired its name.
A considerable $3m was raised in this funding round, which was spearheaded by Mexico’s eminent venture capital firm, ALLVP, according to a report from Tech Gist Africa. Notably, the round also saw contributions from Salkantay, Chileventures, and Pedro Pineda, the co-founder of Fintual and a Sequoia Scout, who all threw their financial support behind Shinkansen.
The company, named after the famous Japanese high-speed railway system, has carved a niche in the FinTech sector by focusing on expediting money transfers and transactions. Its innovative application programming interface (API) integration system is a game-changer for the Latin American market, which has often grappled with the challenges of country-specific integrations.
The raised funding is set to underpin Shinkansen’s growth ambitions, with a particular focus on expanding its presence across Latin America, including markets such as Mexico and Peru. This move aims to streamline money movement in these fragmented markets, boosting efficiency and bypassing regulatory roadblocks.
An additional standout feature of Shinkansen is its adept use of artificial intelligence to automate operations, allowing for seamless integration of its APIs with banks in Chile, Colombia, Mexico, and soon, Peru. Further underlining its innovativeness, Shinkansen operates a “regulator-friendly” model that ensures security and traceability by not directly handling money flow.
The company’s early clientele list boasts notable names like Xepelin, Buk, and Buda, alongside stockbrokers, insurance companies, and retail chains. Its technical prowess and emphasis on AI have been commended by investors, marking Shinkansen as part of a new generation of companies that give priority to AI from the outset.
ALLVP partner said, “We have had successful investments in Chilean teams before and we see promising similarities with the Shinkansen team. Their focus on user experience and regulatory compliance aligns with our own values, leading us to support their growth in the region.”
Keep up with all the latest FinTech news here
Copyright © 2023 FinTech Global
