Shinkansen, the Chilean fintech startup, has closed a seed investment round of US$3 million led by ALLVP, a Mexican venture capital firm.
The investment aims to support Shinkansen’s expansion into Mexico, Peru, and other parts of Latin America. Salkantay, Chileventures, and Pedro Pineda, co-founder of Fintual and acting as a Sequoia Scout, also participated in the round.
Named after Japan’s high-speed rail network, Shinkansen aims to provide a solution for fast money transfer and transactions in the banking and fintech sectors.
The company offers a unique and simple API integration that facilitates money movement in the fragmented Latin American market, avoiding the complications of country-specific integrations.
Shinkansen utilizes Artificial Intelligence to automate operations and integrate its APIs with banks in Chile, Colombia, Mexico, and soon Peru.
Additionally, its business model is “regulator-friendly” as it does not handle the flow of money directly, ensuring security and traceability in every transaction.
Among Shinkansen’s early clients are fintech companies like Xepelin, Buk, and Buda, as well as stockbrokers, insurance companies, and retail chains.
The technological focus and technical prowess of Shinkansen in utilizing AI have been highlighted by investors, who see great potential in this new generation of companies that prioritize AI from the start.
ALLVP has successfully invested in Chilean teams in the past and sees promising similarities with the Shinkansen team, driving their support for its growth in the region, in line with their obsession with user experience and regulatory compliance.
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