Kotani Pay
Overview
Kotani Pay is a fintech company based in Nairobi, Kenya, specializing in providing infrastructure that connects Web3 users to local payment channels across Africa. It was founded to bridge digital assets and fiat currency transactions through seamless on-ramp and off-ramp services. The company has been pivotal in facilitating blockchain integration with local payment systems, especially in underserved African markets. Kotani Pay has raised millions in funding from a variety of investors, including a recent strategic investment from Tether, highlighting its growth and significant role in digital finance within the continent.
Recent Developments
- October 2025: Kotani Pay recently secured a strategic investment from Tether, a major force in the digital asset industry. This investment is set to expand Kotani Pay’s infrastructure capabilities across Africa, aiming to improve access to digital assets and enhance the efficiency of cross-border transactions. Tether's investment aligns with its mission to promote financial inclusion via blockchain technology (Disrupt Africa, 2025).
- July 2024 - June 2025: Kotani Pay helped facilitate a significant increase in on-chain crypto transactions in Sub-Saharan Africa, with volumes reaching over $205 billion, a 52% year-on-year increase. This growth was primarily driven by retail usage and remittances (TechAfrica News, 2025).
- Late 2024: Kotani Pay expanded its services to Rwanda and Uganda, part of a strategic move to strengthen their presence in East Africa, aiding fintech and Web3 companies in overcoming barriers in digital payments (TechAfrica News, 2024).
- 2023: Kotani Pay’s acquisition of Fuhlstack, a Nigerian startup, was a significant step in its expansion strategy, adding new products like Reconset and Money Ledger to its offerings (TechCrunch, 2023).
Company Information
| Attribute | Information |
|---|---|
| Founding Date | 2021 |
| Headquarters | Nairobi, Kenya |
| Founders | Felix Macharia, Lemuel Okoli |
| Key Investors | Tether, Seedstars, Adaverse, PEER Venture Partners |
| Industry | Fintech, Blockchain |
| Number of Employees | Not publicly available (approx.) |
Early History
Kotani Pay was founded in 2021 in Nairobi, Kenya. The company began with a vision to facilitate seamless transactions between digital assets and local fiat currencies in Africa, addressing common hurdles like high transaction costs and limited financial access. Initial development included integrating blockchain technology with local payment systems via USSD (Unstructured Supplementary Service Data), allowing users without smartphones or internet access to transact easily. Kotani Pay initially gained traction through a Stellar grant and quickly established itself as a vital player in the African fintech scene, focusing on providing financial services to underserved populations.
Company Profile and Achievements
Kotani Pay operates a pioneering fintech platform that connects blockchain-based protocols to local payment systems through an API. This setup permits businesses and individuals to convert digital currency into local currencies and vice versa with ease. A few highlights from its journey include:
- Implemented USSD technology enabling transactions without needed internet access, significantly broadening its service accessibility.
- Integrated with major mobile money operators across several African countries.
- Facilitated $23 million in transactions, serving over 15,000 users including freelance workers and refugees through innovative financial inclusion strategies (UNICEF Venture Fund, 2023).
- Its recent partnership with Tether aims to leverage blockchain technology to overcome existing financial barriers and enhance transaction efficiency in Africa.
Current Operations and Market Position
Kotani Pay remains at the forefront of enabling financial inclusion via blockchain technology in Africa. It acts as a significant bridge between digital and traditional financial systems, offering services that lower transaction fees and settle payments swiftly. The company's strategic investments and partnerships have cemented its role in expanding access to digital finance solutions in Africa. Kotani’s system allows users, even those in remote areas, to access blockchain networks and convert stablecoins to fiat currencies efficiently. Together with key economic players like Tether, Kotani Pay is positioned to expand its influence by providing scalable, cost-effective solutions to the financial challenges in Africa.
Conclusion
Kotani Pay stands as a transformative figure in Africa's financial technology space, facilitating crucial links between digital blockchain-powered finance and traditional payment systems. With continuing investments and the strategic backing of major entities like Tether, Kotani Pay is poised to enhance its contribution to economic growth and financial inclusion in Africa. As blockchain and digital asset adoption grow, Kotani Pay is expected to play a pivotal role in reshaping financial transactions across the continent, bridging technological and financial access gaps. The company's forward-looking approach could serve as a benchmark for emerging markets globally.