Pesos & crypto: an Argentinian fintech uniting the two currencies has received investments of $ 16 million and is preparing its regional expansion

Argentinian fintech Lemon, with its virtual wallet Lemon Cash that combines pesos and cryptocurrencies in a plan to “unite the two ecosystems”, raised $ 16.3 million in a funding round in which it brought together big investors. The arrival of capital, as explained by the company founded only two years ago by three young people under the age of 30, will allow it to land in the region along with the arrival of new products. The main one, which will soon arrive in Argentina, is a double prepaid Visa card, Lemon Card, with which you can pay for a coffee and choose whether you want to do it with pesos or cryptocurrencies.

“Our goal will always be to unite the two ecosystems, by expanding our range of solutions and products. And always thinking of real usability. The distrust of a part of the market towards cryptocurrencies occurs because it is not something tangible. The strategy is to entice the client to enter the crypto world with tools they are used to, like a digital wallet, ”he told Infobae. Marcelo Cavazzoli, who runs the company with Borja Martel. They both founded the company in 2019 (with Alan boryszanski, who came out of the project) with $ 50,000 from family and friends. A year later, as Infobae reports, they had already reached their first million dollars.

The investment cycle was a success not only in quantity but also in quality. Beyond the amount, Lemon has put together some strong names. The operation was carried out Kingsway Capital, a major British investment fund. Global investors such as Draper Associates, Valor Capital, Cadenza Ventures, Draper Cygnus (integrated with Ignacio Square, president of the Argentinian Chamber of Fintech), Coinbase Ventures, Draper University Ventures, the Supervielle bench Yes Andres Bilbao, one of the founders of Rappi.

The first destination of the investment will be “to seek the the best talents, in Argentina or abroad, to form the best team. “The company started with 5 people, it now has 35 and will end the year with 70. At the same time, the focus will be on on product development and adding functions to the application. Visa Lemon Card Prepaid Card Already Has 60,000 Waiting List Users And Sums Up Company Philosophy To Unite Both Worlds: with a card from an international issuer you can pay in more than 50 million companies around the world from an account in pesos or from another in one of the crypto-currencies marketed by Lemon.

The idea is “to simplify access to complex products”, explains Cavazzoli, who anticipates that the world of blockchain can provide financial services of all kinds such as insurance, loans or investments that are completely new for a market like Argentina.

The next step for Cavazzoli and Martel, with an injection of capital and strategic allies, is to softland in various markets in the region. The first objective is Peru, where it will already be operational in the coming months. In Uruguay Yes Ecuador he had already done some operations. At this stage also appear Chile Yes Colombia. Once gymnastics has been acquired to develop in new markets, the two major challenges of the region remain on the list: Brazil, facilitated by the incorporation of Valor Capital as a partner, and Mexico.

“To have Bitcoin is to have a piece of the future”, explains Cavazzoli, downplaying the extreme volatility that the most famous cryptocurrency has shown in recent months. “In 12 years, there have only been 3 months of falls. In the short term, it can go up or down. Imagine being able to buy this little piece of the future in the 90s. teleprinter it exists, ”he said.

“We are fortunate to be Argentines, because there is an impressive and unique adoption of cryptocurrencies here. We manufacture products in Argentina that will be useful in the future throughout the region. Argentina, in addition to having great talents, has an economic situation that requires getting used to the changes», Underlined Cavazzoli.

Among its new investors, it emerges that Tim draper, a star among venture capitalists on the global fintech scene, will be the “philosophical leader” of the project, as it supports them in “the future we envision with the decentralization of finance”.

Lemon owners found Draper on a dizzying tour of virtual classes and lectures during the pandemic in which they showed off their project and garnered support that now translates into dollars. In December 2020, they explained that they were very proud of the advancement of Lemon Cash, their e-wallet, but that it was not who they wanted to be. They indicate a new virtual ecosystem in which new currencies interact with traditional currencies, both to pay and to invest.

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