ABRA CLOSES SERIES A FINANCING; HAS RAISED OVER $14 MILLION TO DATE TO DISRUPT THE GLOBAL MONEY TRANSFER MARKET

www.goabra.com

MOUNTAIN VIEW – SEPTEMBER 10, 2015Abra, the company changing how people use cash and their smartphones to send and receive money around the world, announced today that it has closed its Series A financing round and has now raised over $14 million in venture financing. Investors in the Series A financing round include Arbor Ventures, RRE Ventures and First Round Capital.  The round was highly oversubscribed.

Abra won the Launch Festival in March as Best Overall Company and has since been testing its services for storing digital cash, sending that money to any smartphone and using a new netFind an Abra Tellerwork of human ATM’s, called Abra Tellers, who are individuals or businesses earning money by buying and selling digital cash to and from any consumer via the Abra App.

Abra will soon announce the general availability of the Abra App in its initial launch markets. To date, pre-registrations for consumers and Tellers have come from over 80 countries. Wei Hopeman of Arbor Ventures commented, “Arbor sees huge potential for the Abra business model globally, but especially in China and Southeast Asia, which are traditionally large cash economies but leapfrogging into mobile payments and bypassing traditional banking and card infrastructure at an accelerating rate. Making cash mobile will unlock a lot of opportunities in these markets and across the region.”

An investor in several digital currency companies, RRE Ventures Managing Partner and Abra Co-Founder Jim Robinson is particularly excited about the potential of Abra to disrupt the global money transfer market. “As early proponents of Blockchain technology, we believe that Abra is one of the companies that’s fully leveraging the potential of the technology by reducing friction in financial services. It’s not about Bitcoin for the sake of Bitcoin – it’s about how the technology can solve problems for consumers worldwide, even if they don’t know what the Blockchain is.”

Abra investors include Arbor Ventures, Blockchain Capital, Carthona Capital, Cyanotype, Digital Currency Group, First Round Capital, Future Perfect Ventures, Haystack, Jungle Ventures, The Launch Fund, Lehrer Hippeau Ventures, Liberty City Ventures, NYCA, Pantera Capital, and RRE Ventures.

About Abra

Abra is making cash mobile. We enable anyone to store digital cash, valued in any currency, directly on your phone with no bank required. Send cash instantly to anyone with a smartphone, anywhere in the world. Our network of Abra Tellers — individuals or businesses who facilitate the buying and selling of digital cash – makes financial services more accessible for consumers and creates new business opportunities around the world. Abra will soon be available on Android and iPhone.

For press inquiries, please contact: press[at]goabra.com

12 thoughts on “ABRA CLOSES SERIES A FINANCING; HAS RAISED OVER $14 MILLION TO DATE TO DISRUPT THE GLOBAL MONEY TRANSFER MARKET

    1. Hi Frank. When users add or withdraw money to and from their Abra wallet, they pay a commission which is split between the Teller and Abra. Additionally, when the transaction involves foreign exchange, we charge a small markup on the mid-market fx rate.

      If you have additional questions, don’t hesitate to contact us at press[at]goabra.com

  1. I noticed you’re launching usa and Phils …am just curious why. I’m Filipino and just wondering if any of the founders have roots here. Have some ideas that you might find useful so perhaps we may collaborate. Excellent model by the way, congrats and best of luck.

    1. Thanks for signing up! Initially, we’re launching on a country-by-country basis (haven’t launched anywhere yet) so when we’re ready to launch where you live, we’ll update your app and you can begin using Abra.

  2. When will you publish the role of Teller, the operating model and the cash conversion procedures?
    What are the risks for the Teller when the dollar has much fluctuation in the country?

  3. Hi Liz, at approximately which level will the wallet transaction commission and foreign exchange markup be? And did I understand correctly that I would, as a teller, get 50 % of the commission, or of both? And how much local currency capital will a teller be required to have at all times?
    -Tom

    1. Hi Tom. The transaction commission is set by the tellers, and will vary by market, but in most cases the majority of the transaction fees will go to the Teller, as Abra’s share will be a small fixed percentage. Abra does not set a requirement for the amount of local currency capital a teller must hold, but the individual teller should make his/her determination depending on projected total volumes as well as the anticipated ratio of buy/sell transactions.

      As for the foreign exchange fee, we intend to charge a very low markup. In this case, since Abra takes on 100% of the foreign exchange risks and hedging costs for all transactions, the teller does not share in the foreign exchange markup.

      We also think this structure benefits consumers by making pricing more transparent. The Teller fees are clearly displayed in the app before a consumer selects a Teller, and since the foreign exchange fees are set by Abra and thus consistent across Tellers, there’s no “hiding” fees in fx rates and consumers can make a fair pricing comparison.

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