PayPal Holdings, the US-based online payments firm, announced that the company is planning to invest an additional $50 million in 11 Black and Latinx-Led venture capital funds. In October 2020, the company announced a $50 million investment in 8 Black and Latinx-Led venture capital funds.

According to an official announcement, the recently supported venture capital funds include Aperture Venture Capital, Collab Capital, Interlace Ventures, Kapor Capital and MaC Venture Capital. The latest investment by PayPal is a part of the company’s $535 million commitment to support black-owned businesses in a fight against racial and economic inequality.

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PayPal is planning to provide necessary resources to the early-stage funds. The company’s venture capital arm (PayPal Ventures) supports different startups working in the financial services and payments infrastructure sectors.

Commenting on the latest announcement, Dan Schulman, President and CEO of PayPal, said: “Venture capital funds led by Black and Latinx managers expand wealth creation opportunities for diverse founders. Over the long-term, the $100 million we are investing in 19 exceptional venture capital firms will help to foster the next generation of diverse founders that are building products and services that empower a more inclusive economy. These investments grow from our commitment to advance a more just and equitable society.”

PayPal reported strong financial results during the first three months of 2021. The company saw a record payment volume of $285 billion along with the addition of 14.5 million net new active accounts during the first three months of 2021.

PayPal’s Support for Innovators

The US-based company aims to support Black and Latinx-led startups to increase racial equity in society. “We’re excited to have PayPal join us as partners, as we work together to tackle the access to the capital problem that has plagued Black innovators for generations. While our fund alone will not solve the wealth gap, we do see our work as an important piece to the puzzle and believe PayPal will be integral to this work for many years to come,” Jewel Burks, Managing Partner at Collab Capital mentioned in the press release.