(Ecofin Agency) - After splitting from parent company Appzone in 2022, Nigerian fintech firm Zone has secured its first round of funding from a group of investors. This capital injection of $8.5 million will be used to expand its blockchain network, aimed at facilitating transactions between banks and financial service companies.

Zone, a Nigerian fintech leveraging blockchain technology to process payment operations for banks and fintech firms, has successfully raised $8.5 million to fuel its growth. The funding round was led by Flourish Ventures and the British firm TLcom Capital, with contributions from investors such as Digital Currency Group, Verod-Kepple Africa Ventures, and Alter Global. The company plans to use this investment to extend its blockchain network across Nigeria, connecting more banks and financial service firms.

Part of the new funding will be allocated to conducting a pilot program intended to launch a fund transfer product by 2025. The company explained that it will now focus on developing national capabilities in terms of technology and use cases. This fundraising marks the first financial boost for the fintech since its split from Appzone in 2022. Zone operates a blockchain network that supports transaction flows between financial service providers and is currently in collaboration with about fifteen banks utilizing its network for payment processing.