Microsoft and Uber Alum Launches Munify, a Y Combinator-Backed Neobank for Egyptians Abroad with $3M Seed Round

Munify, a newly launched fintech startup, has raised $3 million in seed funding to build a cross-border neobank for the Egyptian diaspora. Founded by Khalid Ashmawy, a former Microsoft and Uber engineer, the platform aims to transform how Egyptians abroad send money home and how local residents access global banking.

Ashmawy’s personal struggles with expensive, slow remittance services inspired him to create a solution that eliminates the pain points of traditional banking. “Sending money home was always costly and inefficient,” he explained. “We’re building Munify to deliver instant, affordable transfers and real banking access for Egyptians and others across the Middle East.”

A Remittance Problem Worth Solving

Egypt ranks among the world’s largest remittance markets, receiving nearly $30 billion annually. For decades, money transfers relied on wire services or providers like Western Union and MoneyGram, often with high fees and long delays. Munify addresses this gap by offering:

• Instant money transfers from the U.S., U.K., Europe, and Gulf to Egypt.
• U.S. bank accounts and debit cards for Middle Eastern freelancers, remote workers, and businesses using only a local ID.
• Protection from currency volatility, a major challenge in the region.

By building its own payment rails and connecting banking systems directly across borders, Munify is positioning itself as a first-choice neobank for the Egyptian diaspora.

Backed by Y Combinator and Regional Investors

Earlier this year, Munify joined Y Combinator’s Summer 2025 batch, one of the few startups outside the U.S. in a class dominated by AI companies. The $3M round included support from BYLD and DCG, alongside YC.

While recent YC batches have leaned heavily toward AI and developer tools, Munify stood out for tackling one of global finance’s most entrenched challenges: remittances. Previous YC investments in similar spaces include Stripe, Coinbase, LemFi, and Aspora, validating the fintech’s relevance and urgency.

Founder’s Journey: From Cairo to Silicon Valley and Back

Ashmawy grew up in Egypt, studied computer science, and later pursued master’s degrees in Germany and Switzerland. His career spanned seven years at Microsoft and Uber, where he worked on cutting-edge technology. In 2019, he co-founded Huspy, a proptech startup backed by Founders Fund, serving as CTO until 2022.

Munify marks his return to solving a deeply personal challenge—making cross-border banking accessible, fast, and affordable for millions of Egyptians abroad.

Early Traction and Future Plans

Despite launching only weeks ago, Munify has already gained thousands of sign-ups through word of mouth. On the B2B side, the startup has signed contracts with mid-sized enterprises, projecting over $50 million in monthly cross-border volume.

The business model combines:

• Remittance and banking services for individuals.
• APIs for enterprises to send and receive international payments.
• Revenue streams from FX spreads, interchange, and transaction flows.

Looking ahead, Munify plans to expand beyond Egypt, gradually building a unified banking network across the Middle East and neighboring regions.

Why Munify Matters in Fintech 2025

Munify’s emergence underscores three powerful fintech trends in 2025:

1. Diaspora banking is a massive untapped market.
2. Cross-border payment rails are being rebuilt to cut costs and delays.
3. Neobanks in emerging markets are challenging legacy remittance players with faster, cheaper digital solutions.

By focusing on Egyptians abroad and businesses in the region, Munify is positioning itself as a category-defining player in the Middle East fintech ecosystem.