Nigerian fintech startup HolamPay is developing a platform that links digital payments to agreements between buyers and sellers, amid concerns about undelivered goods, incomplete services, and other disputes in online transactions.
The company’s co-founders, Richard Okolie, Chief Executive Officer, and Denis Okolie, Chief Technology Officer, began exploring the idea after losing ₦100,000 to an online vendor who failed to deliver shoes they had paid for.
The experience prompted them to consider how technology could help address disputes arising when one party fails to meet the terms of a transaction.
Unlike conventional payment systems that primarily facilitate fund transfers, HolamPay is being developed to incorporate agreed terms and fulfilment conditions into the payment process.
The proposed model could apply to online shopping, freelance services and business transactions involving suppliers, where disagreements may arise over payment, delivery schedules or the completion of agreed tasks.
For instance, a transaction could be structured around project milestones or the delivery of goods, allowing the parties to establish their obligations before payment arrangements are completed.
The startup is also exploring how to integrate its technology into existing digital platforms, potentially allowing businesses to add transaction-management features to their services.
Under its proposed structure, regulated financial partners would handle payment processing and safeguard funds, while HolamPay’s technology would manage transaction agreements and related processes.
However, the model’s effectiveness will depend on the company’s financial partnerships, dispute resolution procedures, security measures, and the safeguards available to users.
HolamPay is in the early stages of development, with Nigeria as its initial target market. Its areas of focus include milestone-based payments, recurring transactions, split payments and transactions involving multiple parties.
The platform’s adoption will depend on whether it can provide a practical, reliable way to manage transaction terms, resolve disagreements, and protect users against potential losses.
Its development comes as consumers and businesses increasingly use digital platforms to buy goods, engage service providers, and transact with people they may not have met in person.
