In a move to recognise the seemingly unfettered rise of fintech in Africa, Twitter has added Barter by Flutterwave, and Paga, as payment providers for Tips.
The feature, which the micro-blogging platform rolled out in 2021 as “Tips Jar” and mirrors ClubHouse’ “Send Money” which was released a month earlier, provides an option for influencers to make money, as users lament the need for a monetised reward system on the app, 15 years after its launch.
Paga and Barter join Chipper Cash which had been a payment option for Tips since last year.
Let’s go deeper: As part of its plan to expand its presence across the world, Twitter has been gradually increasing the reach of Tips, adding Paytm to the payment options for India-based users. Twitter has an office in Ghana and has plans to open another in Nigeria, having reached an agreement with the federal government.
“The inclusion of additional payment providers to Twitter’s Tips feature represents an expansion of access to pathways for people on the continent to get paid,” Twitter said in a statement. “It also marks a major step in Digital currencies that encourage more people to participate in the economy and help people send each other money across borders and with as little friction as possible.”
Twitter said that it takes no cuts on the Tips sent to creators.
The CEO and founder of Africa’s most valued fintech company, Flutterwave, Olugbenga Agboola said, “we’re excited to be partnering with them to create a safe, fast and easy way to tip these amazing creators through Barter by Flutterwave.”
“As a frequent Twitter user, creators, artists and businesses add immense value to my experience on the platform —creating an avenue to reward or tip them is a good step in the right direction by Twitter. We have the reach and abilities to enable creators from Africa to receive tips from parts of the world. I will likely be one of the biggest users of Tips, and that’s because it’s an awesome feature that has huge potential for the creator economy in Africa.”
Olugbenga Agboola
This announcement comes only hours after Flutterwave announced that it has raised $250 million in series D funding that tripled its valuation to $3 billion, immediately making it the most valuable startup in Africa.
The Paga Story
Paga founder and CEO, Tayo Oviosu said that he is “thrilled” that Twitter has made this decision.
“Our mission at Paga is to simplify payments for individuals and businesses. Through this partnership with Twitter, via Tips, we can create an effective way for Creators to get paid into their Paga accounts, directly from Twitter. As an avid Twitter user, I’m thrilled about this partnership. Creators are a key demographic we are building for at Paga, and this partnership allows us to enable them to effectively monetize their work. We are really excited about solving payments in the most innovative ways, especially with companies such as Twitter.”
Tayo Oviosu
Paga has maintained a steady rise in the past year, accounting for a huge swat of POS transactions last Christmas.
The two fintech powerhouses have taken very aggressive strategies to expand their reach across the continent, in part by raising money and rolling out new products to rival competitors’ offerings. Two years ago they entered into a partnership that enables users to make payments with Paga on the Flutterwave app.
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