Better Tomorrow Ventures bets big on Africa's fintech with Smile Identity deal
Better Tomorrow Ventures (BTV), a venture capital firm with $300 million in assets, has backed Smile Identity, a startup specialising in data processing and KYC services. The company supports major crypto exchanges like Binance across Africa. This latest move follows BTV's earlier investment in Chipper Cash, another fast-growing fintech on the continent.
Co-founder Sheel Mohnot recently shared his views on Africa's fintech sector, highlighting both opportunities and persistent challenges for startups in the region.
BTV focuses on early-stage fintech companies, often entering at the pre-seed or seed stage. The firm believes these investments offer the highest potential for growth and long-term impact. Their approach prioritises simplicity, aiming to fund startups through the path of least resistance.
Mohnot has spoken openly about the importance of innovation and risk-taking. He encourages founders to experiment without fear of failure. At the same time, he stresses the need for clear, effective pitches when seeking investment.
The firm's interest in Africa stems from its broader global strategy. While BTV has backed only two known African startups—Chipper Cash and now Smile Identity—its decisions weigh multiple factors, from market potential to regulatory hurdles. Mohnot's personal perspective on the region's fintech landscape suggests a mix of optimism and caution, noting that common obstacles include infrastructure gaps and regulatory uncertainty.
Smile Identity's work in KYC and data verification aligns with BTV's focus on financial inclusion. The startup's services help crypto platforms comply with regulations while expanding access to digital assets in underserved markets.
BTV's investment in Smile Identity reinforces its commitment to early-stage fintech in emerging markets. The firm's strategy remains centred on identifying high-growth opportunities while navigating the complexities of local ecosystems. For African startups, securing backing from investors like BTV could provide both capital and credibility in a competitive landscape.
