Nigerian crypto and Web3 company Lazerpay shuts down after failing to raise funds and advises users to withdraw before April 30.
Nigerian crypto and Web3 company Lazerpay announced on April 13 that it is shutting down its operations.
According to a statement released on Twitter by Lazerpay founder and CEO Emmanuel Njoku, the decision to shut down the startup was necessary after the company could not raise funds in a funding round.
In the statement, Njoku said, “We are immensely grateful for the connection we have made and the impact our platform has made in the crypto ecosystem. We fought hard to keep the lights on for as long as possible, but unfortunately, we are now at the point where we need to shut down.”
The shutdown comes just months after announcing layoffs in November 2022. The company’s layoffs were due to its inability to raise funds after a lead investor pulled out.
The startup has announced its renewed focus on ensuring a seamless transition for its users by resolving any outstanding issues. To this end, it has been recommended that merchants use the bank or crypto payout options and withdraw their funds from the platform before April 30, 2023. Additionally, the startup is now inviting companies to make offers to purchase its intellectual property.
Njoku launched Lazerpay as a teenager and co-founded the company with Abdulfatai Suleiman and Prosper Ubi in October 2021 to drive crypto adoption globally. The company helps businesses accept stablecoin payments from customers globally.
According to Njoku, Lazerpay has onboarded over 3,000 businesses, processing over $1 million in transactions.
Related: Nigerian crypto foreign investment is at a record low: Study
The African crypto space has recently been hit with a wave of upheaval. Just last week, Bitcoin
$30,404 peer-to-peer marketplace, Paxful, announced that it would cease operations.
However, certain crypto payment startups in the continent are still thriving. For example, NairaEx is an active Bitcoin exchange in Nigeria serving as a medium for Nigerian traders to purchase or sell the country’s fiat currency, nairas, for cryptocurrency.