Block chain concept - Chain consists of network connections . 3d rendering
Riva Money has successfully raised $3 million in a pre-seed funding round aimed at advancing its blockchain-enabled technology for global money transfers. The funds will facilitate the company’s expansion into Europe, Asia, and North America, as well as support operational growth and enhance its engineering team, according to a press release issued on August 12, 2023.
Founded earlier this year, Riva Money is actively inviting businesses to join its waitlist, a move highlighted on its official website. The company’s innovative approach combines traditional payment methods with blockchain technology to optimize the speed and cost of each transaction. This dual-rail system is designed to modernize business-to-business (B2B) payments by tackling issues such as unfavorable exchange rates and slow settlement times often encountered in cross-border transactions handled by banks and financial institutions.
Riva Money’s solution employs blockchain technology, including stablecoins, alongside conventional fiat-to-fiat payment systems. This flexibility allows clients to choose the most efficient option for their money transfers, tailored to their specific location and circumstances.
Regulatory Compliance and Market Impact
The company is actively pursuing authorization as a payment institution in the United Kingdom and the European Union. It is also seeking a Markets in Crypto-Assets (MiCA) license in the EU and a virtual asset service provider (VASP) license in Switzerland.
According to Niklas Hoejman, co-founder and CEO of Riva Money, “By combining blockchain technology with a robust regulatory framework, we’re building a solution that offers businesses the speed, transparency, and cost-efficiency they need to thrive in today’s interconnected economy.”
The funding round was led by Project A, with partner and managing director Malin Posern emphasizing the timeliness of Riva’s approach. He stated that the current market conditions call for an “infrastructure rethink,” particularly as the adoption of stablecoins accelerates and regulatory frameworks continue to mature. Posern noted, “Riva’s dual-rail system for businesses elegantly solves for both speed and flexibility in a market that’s still reliant on legacy processes.”
As the landscape for cross-border payments evolves, a report from PYMNTS highlights that new solutions are emerging, providing cost-effective and real-time payment options with enhanced visibility for both senders and receivers. Riva Money is positioning itself at the forefront of this transformation, leveraging blockchain technology to reshape the future of global money transfers.
