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A Quick Glimpse Into the Past: The Founding of Dash

A Ghanaian Digital Entrepreneur, Prince Boakye Boampong, founded the startup in 2019. However, before then, in 2016, he had co-launched a media startup known as OMG Digital. The fintech’s vision of connecting mobile money wallets and bank accounts across Africa to facilitate cross-border transfer and create payment solutions attracted many investors. Through the effort of investors, Crunchbase reported that the company was able to raise $86.1 million within five years of its existence.

In 2021, the fintech startup had Africa’s second most successful seed round. Insight partners led the seed round, and through it, the company raised $32.8 million. From the last quarter of 2021 to 2022, Dash got extra funding from debt capital financing and convertible notes. They were making giant strides in the fintech sector.

By October 2021, Dash claimed to have processed transactions worth $1 billion with users from Ghana, Nigeria, and Kenya. These claims imply a 4x transaction increase and a 5x user base increase within five months.

From Climax to Nadir: The Fall of Dash

In February 2033, suspicions arose about the metric growth reported by Dash. When internal audits occurred, it was discovered that the CEO, Prince Boakye Boampong, exaggerated the numbers. Then, in March, the Bank of Ghana (BOG) ordered the company to stop its operations in Ghana as it has been operating without regulatory approval.

After a while, allegations of financial misconduct arose, and Boampong was temporarily suspended from his role as CEO. According to Wee Tracker, internal audits exposed a deficit of about $25 million, after which the board placed him on indefinite administrative leave. Kenneth Kinyua, former CEO of Kopo Kopo, was later appointed interim CEO. Aside from the $25 million shortfall, financial difficulties arose from Dash’s burn rate of $500,000 per month without revenue and a high overhead as its operations were spread across four countries.

To top it up, Prince Boakye Boampong earned $50,000 monthly as CEO. Aside from that, he was also alleged to have diverted $8 million from the company, which he used to buy luxury cars and property. However, Mr Boampong has been silent and has not spoken about these allegations.