Ghanaian fintech startup, SecondSTAX, receives a $1.6 million pre-seed round to expand its workforce
- Secondary Securities Trading and Aggregation eXchange (SecondSTAX), a Ghanaian fintech startup, has announced its public launch today, September 21, 2022.
- In addition, the company has announced $1.6 million in pre-seed funding from private investors and venture capital firms, including LoftyInc Capital and STEMeIn.
- The company will use the funding to expand to other countries by the end of the year and carry out the associated activities, particularly regulatory and licensing issues.
The company, launched by Eugene Tawiah (CEO) and Duke Lartey, will allow broker-dealers, asset managers, pension funds, and institutional investors to access markets outside their home country.
SecondSTAX allows you to trade debt and equity securities on other African bond and stock exchanges.
Similarly, the company will help investment firms outside Africa who want to invest in the continent’s emerging and frontier economies.
The B2B capital markets infrastructure platform says investment firms can also hold assets in multiple currencies, reducing single currency risk and volatility in returns, whether in Africa or elsewhere.
Moreover, once the company’s infrastructure is operational, it claims it will consider expanding its capabilities to support B2C investment management apps.
Retail investors in and outside Africa will then be able to access and trade cross-border stocks and bonds via white-labeled apps launched by brick-and-mortar brokers and powered by SecondSTAX or third-party wealth tech apps such as Bamboo and HashApp.
The company plans to expand into capital markets in Ghana, Kenya, Nigeria, South Africa, Morocco, and Egypt.
However, it will launch in the first two countries, allowing for market orders for all stocks across Ghanaian and Kenyan exchanges and cross-border transactions within both capital markets via its sponsoring broker partnerships.
The company also plans to expand its staff and strengthen its technology by developing more features requested by its clients.