Jack Dorsey’s Block Joins $41 Million Funding for Japanese Fintech Kyash

Kyash, a Tokyo-based digital wallet, announced an increase of $41.2 million USD or 4.9 billion yen in a Series D round. Since its launch in 2015, total funding for the cashless mobile app and associated credit card has grown to an estimated $108 million, or 12.8 billion yen.

Both international investors and Japanese banks participated in the round, including Japan Post Investment Corporation, Jack Dorsey’s Block, formerly known as Square, as well as Altos Ventures Goodwater Capital and StepStone Group in the United States. Additional investments came from Greyhound Capital in the UK, SMBC Nikko Securities, JAFCO Group, Mitsui Sumitomo Insurance Capital and others. According to According to a report from Nikkei, Kyash is the first Asia-based company Block has invested in.

According to for the company, the startup will use the proceeds to hire more employees, expand its product offerings and strengthen its service business. Shinichi Takatori, president and CEO of Kyash, revealed that “it has been difficult to create a sustainable business model based solely on the payment and settlement business,” and that he hopes these funds will position the company because of its ” high capital efficiency”. He also expressed gratitude for Block’s new investment, which he called “a leader in financial innovation in the US and other countries.”

Taikuma Baba, general manager of Japan Post Investment Corporation, also made a statement regarding his investment: “Kyash’s user-first, mobile-first philosophy and design is an important part of the global, irreversible trend to unbundle and reinvent traditional financial institutions. bundling with technology.”

Kyash can be considered a neobank or online bank, similar to Robinhood, Chime, SoFi and Revolut. His previous Series C round raised $45 million in 2020.

Related: Block Hits $1.18 Billion in Fourth Quarter Gross Revenue, Up 47% Year Over Year

Jack Dorsey retired from Twitter in November. Shortly after, Square turned himself into Block in December, announcing the inclusion of several Bitcoin (BTC) companies in his portfolio. Block continues to operate Square and CashApp, as well as the music platform Tidal. Dorsey has since focused primarily on scaling Block’s crypto initiatives.

The quotes used in this article have been translated from Japanese to English.

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