Joshua Olatunji, founder of Dependly, has outlined an ambitious roadmap to build what he calls "the infrastructure of verifiable trust" across Africa's rapidly expanding digital economy. Speaking at a technology summit in Nairobi, Olatunji argued that without robust verification systems, the continent's $180 billion digital market will remain inaccessible to millions of legitimate businesses and consumers.
The Trust Deficit Stalling Africa's Digital Growth
Dependly's research suggests that roughly 67% of cross-border digital transactions in Sub-Saharan Africa fail at the verification stage, creating bottlenecks that cost the region an estimated $2.3 billion annually in lost commerce. Olatunji pointed to fraudulent identity claims, unreliable credential verification, and fragmented regulatory frameworks as the primary culprits.
The problem is particularly acute for small and medium enterprises seeking to participate in regional supply chains. "A trader in Accra cannot easily prove their business credentials to a buyer in Johannesburg," Olatunji told attendees. "That is not a technology problem. That is a trust infrastructure problem."
How Dependly's Verification Engine Works
At the core of Dependly's approach is a decentralized verification protocol that allows businesses and individuals to authenticate credentials without surrendering raw data to third parties. The system relies on cryptographic proofs, meaning sensitive information never leaves the user's control.
The platform currently supports verification across seven African jurisdictions, with coverage for business registration documents, professional licences, and financial standing certificates. Dependly plans to expand to 15 countries by the end of next year, focusing on the East African Community and the Southern African Development Community trading blocs.
The technology has already attracted attention from major financial institutions. First National Bank South Africa confirmed it is piloting the Dependly protocol for supplier onboarding processes at its Johannesburg headquarters.
Investor Appetite for Digital Identity Solutions
The global market for digital identity verification is projected to reach $32.7 billion by 2027, according to research firm Acuity Market Intelligence. For Africa-focused funds, the opportunity lies in tailoring solutions to the continent's specific challenges, which include high informal employment rates, limited formal identification coverage, and multilingual populations.
Dependly has raised $12 million in seed and Series A funding from investors including Pan-African Venture Capital and the International Finance Corporation's startup investment arm. Olatunji declined to disclose the company's current valuation but indicated that a Series B round is planned for early next year.
Competing for the African Verification Market
Dependly faces competition from established identity verification providers and emerging African startups. Smile Identity, headquartered in Lagos, offers facial recognition and document verification across 47 African countries. Ghanaian fintech company Wapi.Gh provides a mobile-based Know Your Customer platform that has gained traction with mobile money operators.
What distinguishes Dependly, according to Olatunji, is its focus on institutional verification rather than consumer-facing identity checks. "We are not building another e-KYC app for banks," he said. "We are building the rails that allow institutions to trust each other at scale."
Regulatory Hurdles and Cross-Border Coordination
Perhaps the biggest obstacle to Dependly's vision is the lack of regulatory harmonisation across African markets. Data protection laws vary significantly between countries, and no continental framework for cross-border digital trust exists. The African Union's Convention on Cyber Security and Personal Data Protection, adopted in 2014, remains unsigned by several major economies.
Olatunji acknowledged that navigating this patchwork of regulations requires careful legal architecture. Dependly has hired a dedicated regulatory affairs team and is engaging with the African Development Bank's digital economy working group to advocate for common standards.
The company is also working directly with national data protection authorities in Kenya, Nigeria, and South Africa to ensure its verification protocols comply with local requirements.
What This Means for Businesses and Investors
For businesses operating across African borders, reliable verification infrastructure could unlock new markets and reduce transaction costs. Logistics companies, in particular, stand to benefit from streamlined customs documentation when trading partners can authenticate credentials instantly.
For investors, the verification space represents a high-growth segment within Africa's broader digital economy. Companies that successfully establish trust networks may capture significant network effects, making early investment positions particularly valuable.
The economic stakes are substantial. The African Development Bank estimates that improving digital trade facilitation could boost intra-African commerce by $57 billion by 2035. Verification infrastructure is a prerequisite for realising that potential.
Timeline and What to Watch
Dependly is scheduled to launch its expanded verification protocol in Uganda and Tanzania by the third quarter of this year. A partnership announcement with a major African e-commerce platform is expected within the next six weeks, according to sources familiar with the matter.
Investors and business leaders should monitor how Dependly navigates regulatory approvals in key markets, particularly Nigeria, where the Central Bank's recent fintech regulations have created new compliance requirements. The outcome of the company's Series B fundraising will also signal whether institutional capital views verifiable trust infrastructure as a strategic priority.
