Gigbanc Winds Down Operations Amidst Tough Funding Environment

Nigerian fintech startup Gigbanc, known for its cross-border payment solutions catering to freelancers and remote workers, is officially winding down operations after three years. The decision comes as early-stage startups increasingly face challenges securing venture capital.

The company cited a difficult fundraising climate as the primary reason for shutting down, noting that high Know Your Customer (KYC) compliance costs and infrastructure requirements for cross-border payments proved unsustainable. While Gigbanc explored pivoting its business model, it was unable to secure sufficient funding to support such a transition.

“We built Gigbanc with a simple belief: that Africa’s talent deserves financial infrastructure worthy of its ambition,” said co-founder and CEO Paul Omoregie Okundaye. “Looking back, we are incredibly proud of what our team, our community, and our users achieved together.”

Key Facts About Gigbanc:

  • Founded in 2023 to serve Africa’s growing freelance economy
  • Offered multi-currency wallets (USD, EUR, NGN) and virtual cards
  • Processed over $7.2 million in payments across 150,000+ users in 30+ countries
  • Provided community initiatives like the Global Talent Fellowship for freelancers

Customers have until July 31 to convert their balances and withdraw funds from the platform.

The shutdown highlights a growing pattern across the African startup ecosystem. While funding did increase slightly in H1 2026 (up 1.4% year-over-year), the number of deals declined significantly (from 252 to 146). This suggests investors are becoming more selective, favoring established companies with clear paths to profitability.

Gigbanc’s situation echoes that of other recent closures like Chimoney and FoodCourt, all struggling to secure fresh capital in a tighter market. The company is currently pursuing acquisition by an undisclosed Nigerian fintech infrastructure provider.