Cross-border money transfer company TransferGo has chosen to build products on a cloud-based banking platform from financial technology (fintech) firm Thought Machine to expand its business.
As customers were increasingly demanding to complete more transactions within its ecosystem, the company decided to add a digital wallet to its app.
The wallet, which TransferGo described as an anchor product for future additions, will be built on Thought Machine’s Google-inspired cloud platform, known as Vault.
Set up eight years ago, TransferGo’s cross-border payments business, which offers lower exchange rates than banks, focused on European migrants. It recently hit the three million customer mark, and it processed around five million transactions in 2020, a 60% increase on the previous year, worth about £1.5bn.
The company is now expanding its offering. “We are moving more and more into new consumer use cases that everybody can use. A wallet is the anchor product for that, which many of our customers are asking for,” said the company’s CEO, Daumantas Dvilinskas. “Customers will be able to store money in the wallet and reduce friction.”
He added that the wallet was a logical extension for the company: “Customers are using us to send money across borders on different networks, which remains very much our business, but more customers want to keep their money in our ecosystem. Cross-border payments can be completed on our ecosystem.”