London-based Vyne, a challenger payments service using open banking APIs for instant account-to-account transactions has secured $15.5 million (nearly £11.3 million) in a funding round. Notably, this is the largest seed funding round in the UK open banking market to date.
Focuses on growth
The investment round involves leading fintech investors, including Hearst Ventures, Entrée Capital, Triplepoint, Seedcamp, Venrex, Founder Collective and Partech alongside angel investment from Alex Chesterman, founder of Zoopla and CEO of Cazoo, Charlie Dellingpole, CEO and founder of ComplyAdvantage and Will Neale founder of Grabyo.
Vyne will use the funds to elevate its ambitious growth trajectory, attack the global opportunity, increase international coverage and bring new use cases to market, thereby forging the path to a future of account-to-account payments.
Megumi Ikeda, Managing Director at Hearst Ventures, commented: “The global financial ecosystem is moving rapidly away from traditional payments systems and towards open banking and real-time payments. Vyne sits at the bleeding edge of this revolution, by improving the payment experience for all stakeholders.”
Reshma Sohoni, Partner and co-founder at Seedcamp, added: “As leading payments experts, Vyne are the perfect team to capitalise on the new opportunities for innovation brought about by open banking. Upon first meeting the team we really bought into their vision of delivering a frictionless, more secure end-to-end payments experience for consumers – all while saving merchants money.”
Avi Eyal, co-founder and Managing Partner, Entrée Capital, added: “Vyne fills a complementary and unmet need in the market for seamless, fast, and direct payment solutions. Their payments expertise is unmatched and their vision of disruption is so significantly large that we believe they will become a leader in the payments market over the next few years.”
Karl MacGregor, CEO at Vyne, commented: “This seed round will further propel Vyne on its mission to make account-to-account payments the best way to pay and get paid around the world. The calibre of investment we have received is testament to not only the team’s hard work to date but also the opportunity open banking presents to overhaul the traditional banking and payment infrastructure that merchants and consumers have been beholden to for decades.”
Offers full-stack payment solutions
Founded in 2019 by Karl MacGregor, Damien Cahill, Adam Rowland, and Nick Daniel, Vyne offers an innovative full-stack solution. Vyne uses open banking to power account-to-account payments for online businesses, setting the course for the future of payments. By transforming the checkout experience payments that can be completed by consumers and merchants can engage customers through more digital channels such as QR codes and pay-by-link, which can be sent by email, SMS or in person.
Vyne empowers business growth by increasing conversion, reduces cost per transaction, streamlines business operations with quick, easy invoicing, and provides a real-time view of cash-flow, which cannot be offered today.
The company that uses open banking processes millions of pounds worth of transactions each month at a growth rate of 95 percent month-on-month. In the last quarter, Vyne made a number of strategic hires including ex-Klarna and Laybuy heavyweight Luke Flomo as Chief Revenue Officer and Ors Kardos, previously of booking.com, as Director of Engineering. Also, the business opened its headquarters in Holborn, London.