Félix Pago secures USD 15.5 mln funding for cross-border money transfers

Wednesday 29 May 2024 10:33 CET | News

Startup Félix Pago has recently secured a USD 15.5 million Series A funding round to enhance its operations in LATAM and US.


The company's primary interface is WhatsApp, using a chatbot to facilitate cross-border money transfers, even via voice messages. WhatsApp currently supports peer-to-peer transactions and business payments in Brazil and India. A broader rollout could benefit solutions like Félix Pago, as users could make remittances more easily if they can use their cards on WhatsApp.

Félix Pago differentiates itself by not requiring users to download a separate app; transactions are managed through the WhatsApp chatbot. Users in the US complete most transaction details via the chatbot and finalize the process by securely entering debit card information through a link. Recipients can collect money instantly in local currency either as a bank deposit or in cash at designated pickup locations in Mexico, Guatemala, and Honduras.


The company has formed partnerships to facilitate cash pickups, recognizing the preference for cash among many recipients. For an additional USD 1.99, senders receive a receipt with a unique ID for the recipient to use at the pickup location.

Working on compliance and efficiency

Behind the scenes, Félix Pago employs various tools for compliance and operational efficiency, including KYC, AML, fraud prevention, and the use of Circle’s USDC stablecoin. Utilizing USDC helps the company reduce foreign exchange costs and pre-funding needs, allowing it to offer the first transaction free and charge lower fees for subsequent transactions compared to traditional methods.

Boston-based crypto fund Castle Island Ventures led the startup’s recent funding round, with participation from previous investors such as Switch Ventures, HTwenty, Contour, and MELI Capital. Partnerships with Mercado Libre and Nubank have also contributed to Félix Pago's growth.

Félix Pago aims to expand its services beyond remittances to include credit-building tools and eventually credit itself. The new funding will support expansion into El Salvador, Nicaragua, the Dominican Republic, Colombia, and other Latin American countries, as part of its strategy to become a trusted financial companion for Latino immigrants in the US.

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Keywords: remittances, funding, cross-border payments, expansion
Categories: Payments & Commerce
Countries: Latin America, United States
This article is part of category

Payments & Commerce