Dynamic virtual accounts reduce payment errors significantly – Airvend CEO
The Managing Director and Chief Executive Officer of Airvend Payment Services Ltd (formerly Callphone Ltd), Precious Ekezie, in this interview with HENRY FALAIYE, speaks on the impact of fintechs on payments in Nigeria, and the role of regulation in driving innovation and protecting consumers
How can decentralised finance protocols help speed up cross-border settlements?
Decentralised Finance (DeFi) protocols have the potential to radically transform cross-border settlements by cutting out intermediaries, enabling near-instant transaction finality, and enhancing transparency. Unlike traditional systems that rely on layers of correspondent banks, clearing houses and suffer from time-zone delays, DeFi leverages blockchain and smart contracts to settle transactions in minutes or even seconds. Its open, permissionless, and interoperable nature eliminates the need for middlemen like brokerages or banks, significantly accelerating capital movement. For me, this means faster capital turnover, improved liquidity, and lower counterparty risk—key ingredients for a more efficient, inclusive global financial system. However, scaling DeFi responsibly requires a strong focus on regulatory compliance, seamless integration with legacy infrastructure, and building user trust. If these elements align, DeFi can serve as a catalyst for a truly borderless, efficient, and equitable financial ecosystem.
How does BVN and NIN integration help ensure secure transactions on your platform?
BVN and NIN are Nigeria’s key identity numbers, and following the CBN’s December 2023 directive, all Tier 2 and 3 individual accounts and wallets must be linked to both BVN and NIN, while Tier 1 accounts can use either. At Airvend, integrating BVN and NIN into our identity verification process is crucial for ensuring platform integrity, trust, and security. By tying user accounts to these verified, government-issued credentials, we significantly reduce the risks of fraud, identity theft, and unauthorised access. This integration not only helps us comply with critical regulatory mandates such as KYC and AML but also enhances the customer experience, enabling smoother, faster, and more secure transactions once verification is completed. Ultimately, robust identity verification is more than a compliance checkbox; it’s a strategic enabler that allows us to scale our operations securely and responsibly, while building a safer digital financial ecosystem for all users.
Tell us about dynamic virtual accounts and how this is revolutionising payment processes for businesses in Nigeria
Dynamic virtual accounts are revolutionising payment reconciliation for Nigerian businesses. Instead of using a single bank account for all customer payments, where manual tracking and matching are often required, businesses can now assign unique virtual account numbers to each customer or transaction. This system ensures that when a payment is made, it is automatically linked to the correct customer and transaction in real time. Dynamic virtual accounts are simplifying and transforming payment reconciliation. Previously, businesses had to manually match payments to the right customers or transactions, a process that was time-consuming, error-prone, and difficult to scale. Now, with dynamic virtual accounts, payment reconciliation happens automatically. Each customer or transaction gets a unique virtual account number, so when a payment is made, the system instantly identifies who paid and for what purpose. There’s no guesswork or digging through transaction histories or bank statements. This innovation is particularly valuable in Nigeria, where high transaction volumes and fragmented payment channels create operational challenges. Dynamic virtual accounts help businesses move from reactive accounting to real-time clarity, enhancing efficiency and fostering greater trust in the payment system, a significant advantage for both businesses and their customers.
How do regulatory sandboxes drive innovation while ensuring consumer protection?
Regulatory sandboxes play a vital role in strengthening Nigeria’s financial ecosystem by enabling innovation within clearly defined regulatory boundaries. These controlled environments allow fintechs and startups to develop and test groundbreaking products, services, and business models under the close watch of regulators, balancing innovation with consumer protection. A prime example is the Financial Services Innovators Industry Innovation Sandbox, launched in December 2019, which provides developers with access to APIs from NIBSS and participating banks. This platform allows innovators to test solutions in a live but controlled setting before seeking full regulatory approval, significantly lowering market entry barriers and speeding up product development cycles. The essence of regulatory sandboxes lies in their ability to support both licensed and unlicensed entities in experimenting safely. They offer temporary regulatory relief while mandating safeguards like limited user exposure, clear disclosures, and continuous monitoring. This structured flexibility accelerates time-to-market and fosters meaningful experimentation without compromising user trust or system integrity. By bridging the gap between innovation and regulation, sandboxes ensure emerging technologies are both viable and safe, making them instrumental in driving a secure, agile, and future-ready financial sector in Nigeria.
How is Airvend impacting the fintech space in Nigeria and globally?
My vision is to establish Airvend as a trusted enabler of inclusive, seamless, and scalable digital financial solutions across both emerging and developed markets. Globally, I aim to drive continuous innovation in real-time payment infrastructure, embedded finance, and open API ecosystems, delivering frictionless value to businesses and users. Rather than simply following trends, we will build adaptive technology platforms that solve local financial challenges with a global impact. This vision also includes strategic international expansion, forming alliances with global FinTechs, banks, and telecoms to co-create scalable solutions. I am committed to fostering a high-performance, innovation-driven, and fulfilled workforce while leveraging data-driven insights to develop tailored, intuitive financial products that elevate the user experience and support sustainable growth.
In what ways are you driving financial inclusion for the unbanked with the *174# USSD service?
The *174# USSD service has significantly improved access to financial services for the unbanked by eliminating the need for smartphones or internet access. With only a basic phone, users can easily check balances, pay bills, and perform other financial tasks anytime, anywhere. This service bridges the digital divide, particularly benefiting rural and underserved communities. We are building a solid infrastructure to support this initiative, and the official launch is approaching, bringing essential financial tools to even more people.
What challenges come with integrating national identity databases and fintech systems?
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