Open banking payments platform Token.io has raised £33 million in a Series C funding round.
The financing was co-led by Cota Capital and TempoCap, with participation by Element Ventures, MissionOG, PostFinance and existing investors Octopus Ventures, Opera Tech Ventures and SBI Investment. Torch Partners advised on the financing.
The funding comes from a group of investors with deep expertise in FinTech and payments, with track records of backing disruptive payments firms on rapid growth trajectories.
Token says it will use the capital to continue driving the shift from traditional payment methods like cards and wallets to open banking-enabled account-to-account (A2A) payments.
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“In the next four years, the global value of open banking payments is expected to exceed $116 billion, with Europe accounting for 75% of all transactions,” said Todd Clyde, CEO of Token.io.
“Europe has become a world leader in open banking, open finance and real-time payments, and Token holds a unique position in the marketplace.
“With this investment, we will continue to expand open banking connectivity and push the boundaries of functionality beyond regulatory requirements to make A2A payments a mainstream payment method.”
Customers that plug and play, white-label or have used Token.io’s open banking infrastructure to build their own propositions include BNP Paribas, HSBC, Mastercard, Nuvei, Paysafe, Ecommpay, Rewire, Coingate, Sonae Universo, Volt and Vyne.
Kevin Jacques, partner at Cota Capital, added: “Token has enjoyed strong traction winning deals with major channel partners and some of the largest global merchant acquirers.
“We believe that payments present the biggest disruption and opportunity in open banking and that Token is well-positioned to benefit from the continued growth of low-cost, low-friction A2A payments. We are excited to work with the talented and experienced Token team as they scale.”