In an recent announcement in the financial technology sector, Layer2 Financial has announced the successful completion of its $10.7 million Series A funding round.
Galaxy Ventures is leading the round with significant participation from Accomplice. The funds will be pivotal in advancing Layer2’s mission to revolutionize global money movement.
About Layer2 Financial
Layer2 Financial is a global, regulated payments infrastructure that makes cross-border money movement fast, simple, and secure.
Their multi-partner platform is designed to provide businesses with compliant payments for multiple currencies. With just one API, businesses can access a range of services, including collections, payouts, FX, and more.
![](https://www.causeartist.com/content/images/2024/08/Payments-as-a-Service-Layer2.png)
Growth and Innovation
Layer2 Financial has experienced remarkable growth, thanks to its innovative approach to payment infrastructure.
By leveraging both fiat and digital currencies, Layer2 securely facilitates billions of dollars in transactions annually.
This approach has led to a consistent 20% month-over-month increase in transaction volumes, as businesses seek more efficient, transparent, and compliant ways to manage cross-border payments.
The company caters to a diverse clientele, including non-bank financial institutions, traditional banks, neobanks, enterprise organizations, and other payments companies.
Leadership’s Vision
“This Series A funding is a significant milestone for Layer2, and for cross-border payments,” said Bhanu Kohli, CEO and Founder of Layer2 Financial. “Global payments infrastructure can finally match the speed of business by combining the transparency and immediacy of digital currency with the security of fiat — we’re thrilled to be leading this change.”
Use of Funds
The new funding will be directed towards several key areas:
• Product Development: Enhancing the existing platform and developing new features.
• Market Expansion: Reaching new markets to expand the customer base.
• Technological Infrastructure: Investing in cutting-edge technology to improve transaction processing.
• Talent Acquisition: Bringing in top talent to drive innovation and growth.
Industry Impact
“Cross-border B2B payments are fundamentally complex, and Layer2’s approach to solving these challenges is groundbreaking,” added Mike Giampapa, General Partner at Galaxy Ventures. “The evolution of the payments system, especially leveraging digital assets and stablecoins alongside fiat, presents a unique opportunity that we are very excited to be a part of. Layer2’s platform is uniquely positioned to disrupt the traditional payments ecosystem, making international money movement faster, more transparent, and cost-effective.”
Unique Market Position
Layer2 Financial stands out in the market due to its comprehensive support for a wide range of use cases as a single-source provider.
The company’s extensive partner network includes financial institutions and payment processors, enabling it to address the complexities of global, cross-border payments.
This includes:
• International Support: Multiple currencies and high-capacity transaction processing.
• Virtual Account Naming: Configurable conventions for seamless transactions.
• Third-Party Payments: Facilitating secure payments on behalf of clients.
• Tokenized Payments: Efficient conversions and exchanges of digital assets.
Potential Impact
Layer2 Financial’s innovative approach to cross-border payments has the potential to create significant positive impacts worldwide.
By combining the strengths of fiat and digital currencies, Layer2 ensures faster, more transparent, and cost-effective international transactions.
This can greatly benefit businesses by reducing transaction costs and improving cash flow, enabling them to operate more efficiently across borders.
Moreover, Layer2’s commitment to regulatory compliance and security ensures that businesses can confidently navigate the complex landscape of international finance.
This is particularly important for non-bank financial institutions, neobanks, and other emerging financial entities that rely on robust and secure payment infrastructures.