Nigerian Startup Solves Payment Bottleneck with New Partner

Getting tap-to-pay technology into Nigerian stores has been harder than actually building the technology itself.

CashAfrica, a startup founded just last year, created CashTap. The system lets customers pay by simply tapping their phone or card on a store terminal. The tech worked beautifully, but the company hit a wall with banks and regulators who needed proof of compliance credibility.

Banks like PalmPay, AltBank, and Sterling Bank wanted to work with CashAfrica. Each deal stalled during regulatory review because CashAfrica lacked a licensed switching partner to route transactions between banks.

Now CashAfrica has partnered with ChamsSwitch, an established payment processing company with the licenses and track record that banks trust. Under the agreement, CashAfrica handles the tap experience while ChamsSwitch routes transactions and updates account balances.

"The partnership directly removes the compliance friction that has been the single biggest blocker across capital raising, partnership launches, and partner integrations," said Malik Asamu, CashAfrica's CEO. Those previously stalled bank deals can now move forward.

Nigeria already has QR code payments through bank apps, but contactless tap payments remain rare. The Central Bank of Nigeria treats new payment infrastructure with intense scrutiny, recently restricting payment terminals to operate within just 10 meters of their registered address.

The Ripple Effect

This partnership could finally bring tap-to-pay technology to everyday Nigerians. The payment method that feels routine in cities like London or New York requires building trust brick by brick in markets where regulatory standards are high and compliance history matters deeply.

ChamsSwitch has spent years building that trust as part of Nigeria's payment infrastructure. By combining their credibility with CashAfrica's innovation, the partnership creates a path for contactless payments to reach corner stores, markets, and shops across the country.

Founders Malik Asamu and Bello Opeyemi launched CashAfrica in 2024 using Near Field Communication technology that lets devices communicate when placed a few centimeters apart. The technology was never the problem.

"This partnership reflects our commitment to enabling the next generation of digital payment experiences," said Mudiaga Umukoro, ChamsSwitch's CEO. Sometimes progress needs both innovation and institutional support to reach the finish line.