Nigerian digital lending startup Carrot has raised US$4.2 million in seed funding to help it expand access to credit for African businesses and individuals.
Carrot provides users with access to credit by allowing them to leverage assets like stocks, fixed-income products, crypto and other alternative investment products as collateral. Since launch, the company has originated more than US$2 million in credit and served beyond 10,000 users.
“Access to credit shouldn’t be limited by geography or legacy infrastructure,” said Bolu Aiki-Raji, founder and CEO of Carrot. “People in Nigeria and across Africa are already investing in digital assets – but there’s no ecosystem to help them unlock liquidity when it matters. Carrot is building that bridge, helping users leverage their investments and take cash out when they need liquidity the most.”
Carrot’s US$4.2 million seed funding round was led by MaC Venture Capital, with participation from Partech Africa and Authentic Ventures. The funding will be used to grow Carrot’s team, scale operations and accelerate product development.
“What excites me about this investment is how Carrot is leveraging digital assets to create a seamless, low-barrier credit solution in markets where credit has traditionally been out of reach,” said Marlon Nichols, co-founder and partner of MaC Venture Capital. “We see the fintech space evolving rapidly, especially in regions like Africa, where traditional credit systems have struggled to keep pace with innovation. This investment not only strengthens our portfolio but also positions us in one of the most exciting but underserved sectors in global fintech.”
