Cashfree Payments, a leading Bengaluru-based payment solutions startup, has announced a successful $53 million (approximately Rs 450 crore) funding round led by South Korean gaming giant Krafton. This significant investment also saw continued participation from Apis Growth Fund II, managed by Apis Partners Group. This marks Cashfree’s first external funding since June 2021, bringing their total raised capital to approximately $95 million over their nine-year journey.
Fueling Growth and Innovation
Cashfree Payments plans to utilize this substantial capital injection to accelerate its product offerings and significantly expand its market outreach. The company emphasized the strategic importance of this collaboration with KRAFTON, highlighting the potential for synergistic innovation across various digital sectors. Specifically, the funding will be instrumental in strengthening Cashfree’s presence within India and driving its ambitious global expansion plans, with a particular focus on the Middle East and the United Arab Emirates.
Strategic Expansion and Enhanced Security
Akash Sinha, CEO and co-founder of Cashfree Payments articulated the company’s vision for the newly acquired funds. He emphasized the focus on strengthening cross-border payment capabilities, enhancing security innovations, and promoting international expansion. Sinha underlined the company’s commitment to sustainable and profitable growth as they embark on this next phase of development. “This investment will help us accelerate our key efforts—across cross-border payment solutions, security innovations, and international expansion—as we enter the next phase of our growth journey. Growing sustainably has been integral to our identity and how we operate at Cashfree Payments. We are dedicated to driving profitable growth as we scale,” Sinha stated.
Robust Infrastructure and Advanced Solutions
Cashfree boasts a robust payment infrastructure capable of handling an impressive 12,000 transactions per second during peak demand, making it a reliable solution for businesses of all sizes. The company has also introduced innovative solutions like Embedded Payments, which allow platforms, ERPs, and SaaS businesses to seamlessly integrate payment functionalities while maintaining regulatory compliance.
Moreover, Cashfree has tackled the increasing concerns of fraud by launching Secure ID, an advanced identity verification stack that includes a complete range of APIs and KYC components. This all-encompassing solution enables fintech firms and other startups to optimize user onboarding, minimize drop-offs, and efficiently identify fraudulent activities. Cashfree reports that Secure ID has already facilitated over one billion identity and user verifications, showcasing its impact and effectiveness.
Investor Confidence and Strategic Partnership
Sean Hyunil Sohn, CEO of KRAFTON India, expressed his confidence in Cashfree’s potential. “India’s FinTech industry is experiencing remarkable growth, and we believe Cashfree Payment’s dominant position in India can be replicated globally,” Sohn commented. He also highlighted the increasing importance of full-stack payment systems in the evolving Indian media and entertainment landscape, emphasizing their crucial role in enhancing user experience. Sohn further explained that this investment aligns with KRAFTON’s strategy of supporting innovative solutions that drive growth and contribute to a thriving startup ecosystem. “We look forward to further strengthening this partnership and exploring future opportunities,” he added.
Cashfree Payments currently holds three key licenses, including an online payment aggregator license, a cross-border payment aggregator license, and a prepaid payments instrument (PPI) authorization. This regulatory foundation, combined with its robust technology and customer-centric approach, has allowed Cashfree to build an impressive clientele, including prominent brands like Swiggy, redBus, Zepto, Big Basket, and Bajaj Finance. This latest funding round positions Cashfree Payments for continued growth and innovation in the dynamic fintech landscape.
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