[Funding alert] Fintech startup Neokred raises additional $500k in seed round
Neokred, a Bengaluru-based tech startup that provides open banking stack, has extended its seed round to raise an additional $500,000 in funding from Virenxia Group, Rajesh Jain, and Nitin Agarwal.
Neokred plans to use the new funding to grow its workforce, accelerate the development of its technology and data platform, and broaden its product offerings to cater to the needs of both prepaid and credit card consumers.
This round of funding takes the total amount of capital raised by NeoKred to over $1.2 million.
Founded by Tarun Nazare and Rohith Reji in 2019, Neokred is a fintech infrastructure company that allows corporates, fintechs and startups to start their own banking services with the help of modified tools.
NeoKred wants to become the key infrastructure provider to enable any company to provide open banking services with the help of the fundraise.
On the new funding, Rohith Reji, Co-founder and CBO of Neokred, said, "Indian banking landscape tells us that accessibility to financial services is still a lot to be caught up with. This extension of capital brings us a little closer to fulfilling that vision for corporates and customers.”
On the investment, Rajesh Jain, investor, serial entrepreneur, and Founder of Veeraa Ventures and IndiaShoppe said, “The way financial services are available and accessed in India is changing dramatically. The reason I'm thrilled about Neokred is that it has the potential to drastically alter people's perceptions of banking services. Neokred has an amazing tech stack and a talented management team that will enable the continual delivery of banking innovations to customers."
The fintech segment has witnessed very strong interest from the investor community as the pandemic has increased the pace of digitisation. The platform of UPI and Aadhar has given a big boost to the fintech ecosystem. The introduction of the account aggregator system is expected to be a game-changer similar to the UPI.
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Edited by Kanishk Singh