Trends driving investments in cross-border payment startups in 2023:
### Cross-Border Payment Startups See Continued Investment Despite Challenging Conditions
In the face of macroeconomic challenges and a tougher investment climate, cross-border payment startups have managed to secure funding in 2023. The report, authored by Joe Baker and Lucy Ingham, offers extensive research and analysis on the global cross-border payments industry, including an industry-leading newsletter.
One of the startups that have received significant funding is Aspora, a London-based company that raised $93 million across three funding rounds between September 2024 and May 2025, valuing it at $500 million. Prominent investors like Sequoia Capital and Greylock Partners led the funding.
Though XFX did not secure funding in 2023, its $9.1 million seed round in 2025 demonstrates ongoing interest in improving cross-border settlements and infrastructure.
The report identifies key trends in investment within the cross-border payments sector. One such trend is the increased transaction volume, with the cross-border payment volume reaching $190 trillion in 2023 and projected to hit $290 trillion by 2030. This growth has driven investor interest.
Innovation in infrastructure is another trend, with startups focusing on improving efficiency in legacy FX and settlement systems by leveraging smart-routing technologies and credit facilities. Remittance services have also seen funding, as companies like Aspora provide accessible financial services for immigrant diaspora.
Strategic investments have been made to enhance institutional-grade infrastructure for cross-border payments, with firms like BAT VC investing in startups like Payall.
B2B payments have received the largest share of investment in cross-border payments startups in 2023. The report also identifies the countries where cross-border payments startups are receiving funding, and covers regions and focuses attracting the most interest.
Despite the challenges, investors are capitalizing on the demand for faster, less costly cross-border payments worldwide. However, investment levels in 2023 have been potentially lower than in previous years, with a small number of high-value late-stage fundraises in the cross-border payments startup space. Notably, Stripe, a cross-border payments startup, raised more than $6.5bn in a Series I round in 2023, but its valuation was halved in the process.
The report examines the cross-border payment startups that have received the most funding in 2023 and discusses trends in cross-border payments startups. It also investigates funding for crypto-enabled payments startups and discusses the funding stages at which companies are attracting investments.
Overall, the report provides valuable insights into the current state and future prospects of the cross-border payments industry, making it an essential resource for investors, startups, and industry professionals.
In the context of cross-border payments, technology innovations like smart-routing technologies and credit facilities are being leveraged by startups to improve efficiency in legacy FX and settlement systems. Financing is a crucial aspect, as a London-based startup, Aspora, raised $93 million, demonstrating that investors continue to show interest in companies that aim to provide accessible financial services for the immigrant diaspora.
