Chipper Cash, an African Cross-border fintech company has announced the resumption of its operations in the United States three months after halting its services due to a restructuring exercise.
Following the resumption, US customers can now send funds to Chipper Cash’s African markets, which include Nigeria, Ghana, Rwanda, and Uganda.
Announcing the resumption, Chipper Cash wrote,
Tekedia Mini-MBA edition 14 (June 3 – Sept 2, 2024) begins registrations; get massive discounts with early registration here.
Tekedia AI in Business Masterclass opens registrations here.
Join Tekedia Capital Syndicate and invest in Africa’s finest startups here.
“We are delighted to announce that Chipper Cash is fully operational and excited to serve you once again in the United States. Thank you for your patience as we worked to transition to a new US banking partner and further enhance our services. Our team has worked tirelessly to upgrade our platform, ensuring that we offer you an unparalleled transaction experience. Our newly optimized account top-up experience now provides you with your own dedicated bank account details, making it easier than ever to send money from the US to your family and friends across Africa.”
The fintech company has asked customers to head over to the Apple Store or the Play Store to ensure they have the latest version of the app to effect the changes.
Chipper Cash’s resumption of operations in the U.S. is coming months after it suspended its international money transfer services in the country after it informed users of the plans to halt operations due to a terminated bank partnership.
One week after suspending its services in America, Chipper Cash eliminated roles based in the UK and US to its other African business regions. Twenty people were laid off as a result of that decision, according to the company’s blog post. The decision also affected at least two executives, people familiar with the matter disclosed.
The fintech company, backed by Jeff Bezos’s Bezos expedition, laid off 15 people and slashed salaries by 25% for its UK and US employees in December 2023 but insisted its business was doing very well. While Chipper told US customers to withdraw their funds urgently, Serunjogi noted that the suspension had a “very small impact on very few people.”
Commenting on the downsizing of the workforce in the US, Chipper Cash co-founder Ham Serunjogi disclosed that the company’s core focus has always been its African markets, where it has some of the largest consumer products.
Chipper Cash launched in the United States in December 2022, and through Chipper’s US licensing program, the company obtained money transmitter licenses in 80% of the states, with banking partnerships supporting operations in the remaining 20%.
According to the statement, expanding its US licensing program (which began in 2021 through 2023 now includes money transmitter licenses for 40 individual states. Besides, the 40 licenses, combined with the 15 it holds across the continent, bring its global licensing portfolio to 55. It also said it aims to obtain all 53 US money transmitter licenses by 2024.