After Chipper Money ended 2021 as considered one of Africa’s most valued fintechs, the FTX-backed startup’s valuation dropped from $2 billion to $1.25 billion after it reportedly acquired a $35 million easy settlement for future fairness (SAFE) grant from the now-collapsed crypto change FTX. Chipper Money has additionally reportedly laid off 50 staff because it seeks to deal with the deteriorated macroeconomic atmosphere.
FTX’s Easy Settlement for Future Fairness
Chipper Money, one of many a number of African fintech startups to obtain funding from FTX, noticed its valuation drop from $2 billion to $1.25 billion after it secured extra funding from the now-collapsed crypto change, a Techcrunch report has mentioned. The newest revelation got here simply as Chipper Money was reported to have retrenched as many as 50 staff.
As beforehand reported by Bitcoin.com Information, Chipper Money, which was launched in 2018 by Ham Serunjogi and Maijid Moujaled, noticed its valuation rise to over $2 billion after it acquired $150 million in a Sequence C extension spherical that was led by FTX in late 2021. Earlier than that, the fintech had raised $100 million by way of its Sequence C spherical.
Nevertheless, based on the Techcrunch report, the drop within the fintech’s valuation stems from the $35 million it acquired from FTX. Chipper Money wanted the brand new funding, which reportedly got here within the type of a easy settlement for future fairness (SAFE) grant, to assist it cope with a troublesome macroeconomic atmosphere, the report added.
Chipper Money the Newest African Fintech to Lay Off Staff
In the meantime, in what has seemingly develop into a customized adopted by fintechs after they lay off staff, Erin Fusaro, the vp of engineering at Chipper Money, urged tech companies on the lookout for proficient staff to contemplate hiring her former colleagues.
“This morning [Dec. 5] a big quantity of Chipper employees had been let go in a layoff. Whereas I used to be not amongst them, lots of my shut colleagues and associates had been. Should you’re on the lookout for proficient engineering management, engineers, technical program managers, analysts, or IT employees,” Fusaro mentioned in a Linkedin put up, “please remark right here and I’ll do my greatest to start out connecting folks.”
Quidax and Nestcoin are two African fintechs to have equally requested their better-positioned business friends to contemplate recruiting their former staff.
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