Emtech Raises $4M Seed to Build Central Banking Infrastructure for Fintechs

New York-based Emtech closed a $4 million seed round led by Matrix Partners India in August 2023 to scale its regtech and CBDC stack solutions for central banks and fintechs. The company's core offering is a 'CBDC Innovation Kit' launched in July 2023, which provides fintechs with a simulator wallet using a simulated token called 'Beyond Cash' built on Hedera Hashgraph and ERC-20 standards. The platform is accessible via APIs, allowing fintechs to test CBDC transactions and develop new business models in collaboration with central banks.

Emtech has established partnerships with six central banks, including those in Ghana, Nigeria, and the Bahamas. Approximately 200 fintechs are on a waitlist to access the platform. The funding will be used to deepen these central bank partnerships and expand the platform's capabilities despite broader market headwinds, as global VC fintech funding dropped 49% year-over-year to $23 billion in H1 2023.