Utorg raised $5 million in a seed round led by Dragonfly.
TA Ventures and Hypra fund also participated in the round, according to a statement from the company. The new funds are expected to secure new licenses, expand the team and build out new revenue sources.
The startup’s business model currently relies on transaction fees. However, it is aiming to build a «super app» that merges the old and new worlds of finance, the company said. Talinn, Estonia-based Utorg is a payments gateway for fiat-to-crypto purchases in more than 187 countries.
Building a super app
«Alongside modern web3 functions, such as a non-custodial wallet, swaps, NFT integration, portfolio and yield-saving accounts, Utorg’s upcoming super app will also provide regular banking features, such as credit cards and IBAN numbers, to make the app the most accessible solution on the market,» Utorg said.
The super app is slated for release by the end of 2022.
Utorg’s most successful product currently is an embeddable widget for apps and websites that enables people to purchase crypto without hidden fees by using more than 15 different payment methods, according to the statement.
Growing in a bear market
“Eventually, we want to build a service that could become the sole financial hub for any person on the planet, powered by blockchain technology,» the founding team said. «And it should be as simple in use as a calculator simultaneously.»
The startup, which was founded in 2020, currently has a team of 35 and has legal entities in Estonia, Lithuania, Singapore, Abu-Dhabi, Canada and Thailand.
«Crypto has a lot of room to grow, especially when it comes to fiat-onramps like Utorg that allow users to take their first step onto the blockchain,» said Haseeb Qureshi, a managing partner at Dragonfly. «They’ve managed to grow at an exceptional rate even in a bear market, and we’re eager to see them grow into even greater success as they are integrated into more products.”