Backed by an additional funding round of $2.1 million, Filipino-owned financial technology firm BayaniPay is expanding its services in North America to better serve more Asian American immigrants.
Speaking to reporters on Wednesday, BayaniPay CEO Winston Damarillo said the company will leverage the large concentration of Filipinos in Canada to grow its reach.
Filipino immigrants in Canada recorded a population of almost one million in 2021, while Filipino immigrants in the United States or US numbered around 2 million, comprising more than 4 percent out of over 45.3 million US immigrants.
"We aim to sustain this momentum and explore new territories. Our commitment towards improving and growing our platform is driven by the desire to make the lives of Filipinos easier, wherever they may be found," Damarillo said.
BayaniPay currently serves customers in California, Hawaii, New Jersey, and Alaska by allowing them to remit funds to their loved ones and make direct payments to service providers in the Philippines.
Its platform allows customers to have easy access to a digital checking account, a debit card that maximizes their spending power, zero fee remittance fees, and market-leading forex rates.
According to Damarillo, the company will utilize its new funding, which brought the total seed round of BayaniPay to $6.6 million to date, for the planned expansion.
BayaniPay previously raised $4.5 million in seed funding, allowing it to scale its product features and explore new territories.
During the first half of the year, BayaniPay saw its average transaction value surge to over P100 million per month, a huge jump from only P30.64 million in average transactions last year.
Damarillo attributed this to the strong demand for cross-border payment solutions, including remittances as well as bill payments.
BayaniPay thus targets to reach P1 billion in total transaction value before the end of the year.
"We are on track to meet this milestone, as we continue to acquire more customers each month. The demand for BayaniPay continues to grow as more and more Filipinos see the value and benefit of convenience while allowing them to enjoy zero fees and competitive foreign exchange rates," Damarillo said.
Early this year, BayaniPay, in partnership with BDO Remit USA, launched its Buena Mano Rate program of $1 = P60 forex rate for its first-time remitters, which exponentially increased BayaniPay's customer acquisition.
The Buena Mano Rate program is applicable for up to $500 of every first remittance or first remittance in six months.
BayaniPay plans to launch its loyalty program for active users this fourth quarter, which would grant them preferential high forex rates as incentives.
As of end-June, BayaniPay recorded a 36-percent growth in new users. It is also strengthening its partnerships with other institutions to further expand its portfolio of services.
BayaniPay targets to increase its current 10,000 user base to 100,000 in the next two years.