'Hacked!' Chinese backed Opay at risk of losing most customers amidst new $400m funding

OPay, an Africa-focused digital payment startup founded by a Chinese entrepreneur, said it has secured $400 million in its latest funding round led by SoftBank Vision Fund 2, valuing it at $2 billion.

Investors in the funding round include Sequoia Capital China, Source Code Capital, Meituan-backed fund Long-Z, Redpoint China and 3W Capital, said in a statement on Monday, “We want to be the power that helps emerging markets reach a faster economic development,” said Zhou Yahui, founder and chief executive of OPay, in the statement”.

With over 160 million active users across Africa since its inception and launch in 2018 and still counting, the platform is one of the most renowned social service platform in Nigeria.

It is shocking to have come off with such a great momentum only to end up being hacked up by fraudsters.

The platform has suffered its biggest backlash yet after fraudsters gained access into the company’s wallets and made unauthorised deduction of cash, unknown to the agents as well as customers.

With a big reputation to fight for, the company are tying this to a system malfunction which has allowed access to unrecognized visitors.

There have been recent serious outcry by agents as well as customer over the unauthorized deduction from their accounts

According to facts available to Freelanews, small quantities were stolen from clients’ accounts with their knowledge at first, and then larger sums were removed from their accounts without their knowledge.

Although several customers became aware of the situation and began making calls to others who later confirmed same, the company blamed it on a momentary technical malfunction.

An agent, who bitterly narrated the incident, claimed they became concerned after huge sums were withdrawn from their accounts within 48 hours in quick successions.

It was after the authorities of the platform refused to address the issues raised by its agents, the victims decided to demonstrate at the company’s headquarters in Lagos.

Under the excuse that they were not authorized to speak to the media about the matter, Opay personnel refused to speak to their customers who had picketed their premises days before.

In response to the numerous complaints and accusation, the company’s managing director, Iniabasi Akpan, issued a statement saying that the management team has handled unhappy consumers by treating their complaints with the utmost priority.