[Digital Today reporter Chi-gyu Hwang] Venture capital firm Paradigm led Eldorado’s $9 million Series A funding round, The Block reported on June 16 local time. Eldorado is a Latin America cross-border payments app.
Coinbase Ventures and Verda Ventures also participated in the round, the report said.
“Cross-border payments in Latin America are one of the most undervalued and lesser-known opportunities in global finance,” Ricardo de Arruda (리카르도 데 아루다), an investment and research partner at Paradigm, said. “More than $100 billion crosses borders annually in this region alone, but payments infrastructure is slow, expensive and opaque. Eldorado is building the payments layer this market has long needed,” he said.
Guillermo Goncalves (기예르모 곤살베스), Eldorado’s co-founder and CEO, estimated the Latin America cross-border payments market at close to $1 trillion annually. He said the region lacks effective payment rails.
“Most transactions are funds flowing from the United States to Latin America, and about 60 percent of that is pure business-to-business payments, namely import and export transactions,” Goncalves said. “The most untapped opportunities are in some intra-regional payment corridors,” he added.
Chi-gyu Hwang
delight@d-today.co.kr