A significant advancement has been achieved by a Turkish fintech company, which has successfully raised $80 million in Series B funding, further exemplifying the expansion of the nation’s financial technology landscape. This milestone has attracted interest from global investors who recognize the potential of the Istanbul-based investment platform.
The funding round was spearheaded by QED Investors, which welcomed several new participants, including the International Finance Corporation, HSG, QuantumLight, Spice Expeditions, and George Rzepecki. Existing investors such as Spark Capital, Portage Ventures, and Bek Ventures also contributed to the funding. This latest infusion of capital boosts the company’s total funding to over $140 million.
A representative from QED Investors acknowledged the platform’s capability to provide Turkish users with extensive domestic and international investment options through advanced fintech tools. The firm has developed a compelling product and established a robust performance culture.
Launched in 2020, the fintech platform has successfully garnered a user base of 3.5 million individuals, offering commission-free access to various investment options, including Borsa Istanbul, U.S. equities, mutual funds, and cryptocurrencies. Recently, the platform eliminated local stock trading commissions and significantly reduced U.S. trading fees, leading to an estimated saving of $50 million in transaction costs for users.
Looking to the future, the company has plans to invest the newly acquired capital into expanding its offerings, particularly in derivatives trading and innovative tools designed for active investors. U.S. options trading is set to launch in September, soon to be followed by Turkish equity derivatives. Recent product additions include margin investing and advanced analytical tools to enhance user experience and decision-making capabilities.
Part of the funding also aims to bolster the company’s infrastructure, emphasizing operational robustness and data security. With this substantial fundraising, the firm is positioning itself as a crucial player not just in the Turkish market but also across the broader region.
Reports indicate a growing international interest in Turkey as a destination for investments, with billions of dollars being channeled into various sectors. A recent study showed a notable increase in foreign direct investment (FDI) in Turkey, attributed to improved credit ratings and significant infrastructure projects.
Fintech has been highlighted as a particularly attractive industry for international investors, with several local firms emerging as potential unicorns. Turkey’s commitment to promoting innovation within financial services is making it a focal point for global investors seeking new growth opportunities.