Lazerpay, a Nigerian crypto startup, has announced plans to shut down operations. The web3 and cryptocurrency startup was founded by prodigy blockchain guru Njoku Emmanuel at 19. The startup has grown into one of Nigeria’s most recognized cryptocurrency and web3 startups. But it will be shutting down due to its inability to gain sufficient funding to promote operations and growth.
The company was established in 2021 to assist merchants in converting their cryptocurrency to fiat and vice versa and is said to have helped over 3,000 businesses accept stablecoin payments. Handling streams of transactions worth over $1 million
The company announced its closure via a tweet by the founder and CEO, stating, “We announce the difficult decision to cease operations at Lazerpay. Despite our team’s tireless efforts to secure the necessary funding to keep Lazerpay going, we could not close a successful fundraising round.” He also stated that despite all the efforts put in place to keep the company going, they have reached the point where they must shut down.
The business declared that it will now concentrate on assisting users with a smooth transition by resolving unresolved issues. It advises merchants to use the bank or cryptocurrency payout option to withdraw their money from the platform by April 30, 2023.
The company also stated that it is opening its doors to companies interested in purchasing LazerPay’s intellectual property and building the future of crypto payments. They will offer their technology and assistance to help them use or integrate with it.
The closure of Lazerpay is the most recent in a string of changes in the African cryptocurrency business, as Paxful, a peer-to-peer Bitcoin marketplace, recently announced its closure.
The demise of these organizations serves as a sharp reminder of the challenges faced by startup companies in the cryptocurrency industry, particularly the need for continual investment to maintain operations and experience growth.
How will the African tech industry be able to tackle this funding challenge and still be relevant in the market?
Image from lazerpay