How Does OPAY Make Money

How Does OPAY Make Money

Official Payments Corporation

OPay is a mobile payment platform that was founded in 2018 in Nigeria. Since its launch, it has become one of the fastest-growing payment platforms in Africa, and it has expanded its services to other African countries such as Kenya, Ghana, and Egypt. OPay offers a wide range of financial services, including bill payment, money transfer, and airtime recharge. In this blog post, we will discuss how OPay makes money.

  1. Transaction fees

One of the primary ways that OPay makes money is by charging transaction fees. Whenever a user makes a transaction using the OPay platform, OPay charges a fee. The fee varies depending on the type of transaction, but it is usually a percentage of the transaction amount. For example, if a user sends N10,000 to another user using OPay, OPay may charge a transaction fee of 1% of the transaction amount, which would be N100. These transaction fees can quickly add up, especially as more and more people use OPay for their financial transactions.

  1. Interest on deposits

OPay also makes money by earning interest on deposits. OPay offers a digital savings account called OWealth, which allows users to save money and earn interest on their deposits. OPay invests the money deposited in OWealth in low-risk investment vehicles such as government bonds and earns interest on those investments. OPay then shares a portion of that interest with the users who deposited the money. While the interest rates are not high, the volume of deposits can make this a significant source of revenue for OPay.

  1. Marketing and advertising

Another way that OPay makes money is by partnering with businesses and offering them marketing and advertising services. OPay has a large user base, and it can use that user base to promote businesses that partner with them. For example, OPay can send targeted ads to its users based on their interests and location. Businesses that partner with OPay can pay for these targeted ads, and OPay earns revenue from these partnerships.

  1. Partnerships with banks and financial institutions

OPay also partners with banks and other financial institutions to offer their services on the OPay platform. For example, OPay has partnered with several banks in Nigeria to offer their customers the ability to transfer money to and from their bank accounts using the OPay platform. OPay earns revenue from these partnerships by charging the banks and financial institutions a fee for using the OPay platform.

  1. Ride-hailing and food delivery commissions

OPay operates ride-hailing and food delivery services in Nigeria and other African countries. The company earns revenue by taking a commission on every ride or food delivery made through its platform. For example, if a user orders food through the OPay app, OPay may charge the restaurant a commission on the sale. Similarly, if a user takes a ride using OPay’s ride-hailing service, OPay may take a percentage of the fare as its commission.

  1. Lending fees

OPay offers microloans to its users through its OLoan service. Users can apply for loans of up to N500,000 (~$1,200) using the OPay app. OPay earns revenue from these loans by charging interest on the loans and taking a processing fee on every loan application. While the interest rates may be high, OPay’s microloan service provides access to credit to many people who may not have been able to access traditional loans.

  1. E-commerce partnerships

OPay has partnered with several e-commerce platforms, such as Jumia and Konga, to offer payment and delivery services to their customers. OPay earns revenue from these partnerships by charging the e-commerce platforms a fee for using its payment and delivery services. Additionally, OPay can cross-sell its own services, such as ride-hailing and food delivery, to the e-commerce platform’s customers.

In addition to the revenue streams mentioned above, OPay also makes money through strategic investments in other companies. OPay’s parent company, Opera Limited, is a publicly-traded company that invests in tech startups around the world. Through Opera, OPay has made several investments in African startups, such as OKash, a Kenyan digital lending platform, and ORide, a Nigerian ride-hailing service.

OPay also earns revenue through foreign exchange transactions. The company facilitates international money transfers for its users, and it earns revenue by charging a fee for converting foreign currencies to local currencies. For example, if a user sends money from the United States to Nigeria using OPay, OPay may charge a fee for converting the US dollars to Nigerian naira.

Another way that OPay makes money is through strategic partnerships with telecom companies. OPay has partnered with several telecom companies in Nigeria to offer mobile airtime recharge services to their customers. OPay earns revenue from these partnerships by charging a fee for every airtime recharge made through its platform.

Lastly, OPay is exploring the potential of blockchain technology to expand its services and generate additional revenue. In 2020, OPay launched a blockchain-based payment platform called OKExChain, which allows users to make cross-border payments using digital currencies. While the platform is still in its early stages, it has the potential to revolutionize cross-border payments and generate significant revenue for OPay in the future.


Q1.How much does OPay charge per transaction?

 Ans.0.6% and then 0.5%

Q2.Which bank owns OPay?

Ans.Kunlun Tech Co., Ltd.

Q3.What is OPay and how does it work?

mobile-based platform for payments, like Gpay and all

Q4.Does OPay allow international transactions?

Ans.Yes,OPay allow international transactions

Q5.Is OPay in India?

Ans.Opay Finance India Private Limited is an private Company

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