International peer-to-peer mobile payment app TANGGapp officially closed a $2.5 million seed funding round led by both global and Philippine investors, bringing their total funds raised to date to $4 million.
The round was led by leading global consumer tech venture capital funds such as TEN13 and Goodwater Capital, regional investors such as North Fifth Asia, and Philippine investors from Foxmont Capital and the Manila Angel Investors’ Network (MAIN).
Founded in 2020 by Filipina-Dutch Harvard graduate Rebecca Kersch, TANGGapp aims to be the Venmo equivalent for 1.5 billion unbanked globally and migrant workers, starting with the Philippines. The app’s name comes from ‘tanggap’, the Filipino word for ‘receive’, but the TANGG also stands for Tap and Go Global—emphasizing its focus on international payments.
The app allows users to send money as easily as they would send a text, while charging zero transfer fees and low $5 minimums. Customers in the Philippines are able to connect most local banks and e-wallets for seamless transactions, covering more than 90% of the local adult population. The app’s features have led to a surge in organic growth, with TANGGapp reporting a 48% repeat usage rate.
“At TANGGapp, we believe that digital mobile payment services can improve, starting with offering this to Filipinos. That’s why we’ve set out to create more than just a remittance app. One day like today, sending money overseas, paying for groceries, and supporting a cause will be as easy as texting—all on the same easy-to-use mobile app,” said Kersch.
Aside from the recent funding round, TANGGapp’s work has been recognized in Forbes Asia’s 100 To Watch List for 2023, demonstrating the increasing demand for a new way to send money internationally.
In the future, the TANGGapp team aims to capture more market share of the more than $40 billion market of remittances coming into the Philippines annually. They are also looking to underserved portions of the market, including enabling remittances from the Philippines to the US.
The company’s long-term vision is to democratize access to payments and to improve the lives of not only Filipinos, but eventually migrants and the unbanked all over the world. Though TANGGapp is focusing on servicing the needs of Filipinos today, the platform has plans to one day become a game changer for financial inclusion globally.