Waave, an Australian open banking startup focused on account-to-account payments, has successfully completed a $4.7 million seed funding round. The investment was led by Menulog managing director Morten Belling and e-commerce investor Paul Greenberg.
Founded by Ben Zyl, Mark Connolly, and Peter Traianou—who bring extensive experience from companies such as PayPal, AfterPay, NAB, and Adyen—Waave aims to revolutionize payment processing with its Pay by Bank technology, positioning it as a cost-effective alternative to traditional credit card systems.
Co-founder Ben Zyl stated, “We believe the payment industry is archaic and the way we pay today is clunky and outdated. People have become complacent with card dominance; businesses shouldn’t be paying exorbitant fees to receive payments, and customers should have full control and visibility over their money. We’re here to drive change by reconnecting consumers and businesses.”
Waave’s Pay by Bank service offers a flat transaction fee of 28 cents, which the company claims is over 80 percent cheaper than typical card payment fees. This service provides instant authorization, quicker fund settlement, and eliminates dishonor charges and chargebacks. It functions with all Australian banks, requiring customers to go through a one-time sign-up to link their bank accounts for both online and in-store payments.
The startup plans to launch its services for enterprise e-commerce merchants in the first half of this year, targeting both online and in-store retailers across the nation.
For more information on payment innovations, consider registering for NextGen Nordics, taking place on April 25, 2023.