- Volume raises $6 million in a seed round led by United Ventures, after previously securing $2.4 million in pre-seed funding.
- The startup aims to disrupt online payments with a one-click, account-to-account (A2A) checkout solution that reduces transaction fees significantly.
What happened: Volume secures funding to transform account-to-account payments
Volume, an Italian-origin startup focused on revolutionizing online payments, has raised $6 million in a seed funding round led by United Ventures. This investment follows a pre-seed round of $2.4 million in 2022. The company plans to use this new funding to obtain FCA approval in the U.K. and expand internationally. Volume aims to challenge traditional payment giants like PayPal, Apple Pay, and Stripe by offering a one-click checkout solution that eliminates intermediaries, reducing transaction fees to under 1%. In an industry where online merchants often pay up to 8% of every sale to payment providers, Volume’s account-to-account (A2A) payment system promises a significant cost-saving advantage. The company’s platform allows merchants to process payments directly from the customer’s bank account to the merchant’s account, without the need for intermediaries.
Simone Martinelli, founder and CEO of Volume, emphasized that the solution simplifies the user experience by compressing the complex process of providing bank account details into just one click. “We’ve built the ‘Apple Pay’ of the A2A space,” Martinelli claimed, positioning Volume as a key player in the future of digital payments. The company has also expanded its team, bringing in top talent such as Justin Sebok, former head of product at Curve, Richard Frenken from iZettle, and Shannon Krishna, who previously worked at WorldRemit and Luno. These strategic hires reflect Volume’s ambition to scale its operations and enhance the user experience of its innovative payment solution.
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Why it’s important
Volume’s breakthrough in the account-to-account (A2A) payment space could reshape the online payment industry. Online merchants have long struggled with high transaction fees, often paying up to 8% on every sale to major payment providers like PayPal, Apple Pay, and Stripe. Volume’s model cuts these costs significantly, making it more affordable for merchants and consumers alike. The company’s innovative solution uses a simple, one-click checkout process, eliminating the need for multiple intermediaries. This streamlined approach could be a game-changer in reducing friction and improving the overall customer experience.
Moreover, the global push towards more cost-effective and efficient payment systems is evident in Volume’s international expansion plans. With funding from top investors and new leadership appointments, the company is positioning itself to challenge established players in the payments ecosystem. If successful, Volume’s A2A solution could become the go-to payment method for online merchants, especially as it expands into new markets and gains traction in the U.K. and beyond. Volume’s flat-rate pricing model and its partnership with Yapily for transaction processing provide additional benefits for both merchants and customers. As the company grows, its ability to streamline the payment process while reducing costs will be an attractive proposition for the growing number of businesses seeking more efficient payment solutions.
