NEW DELHI: Akudo, a learning-focused neobank for teenagers in India, on Monday said it has raised USD 4.2 million (about Rs 31 crore) in funding, led by Y Combinator, JAFCO Asia, Incubate Fund India, and AET Fund.
The seed round also saw participation from Tribe Capital, Cabra Capital, and marquee angels like Lalit Keshre (Groww co-founder), Rohit Taneja (Decentro co-founder) and others, a statement said.
The startup aims to utilise the funds to expand its team and further refine its product offering to reach millions of financially under-prepared and under-served teenagers in India, it added.
Currently, the company has over one lakh registered customers and has recorded a 75 per cent week-on-week growth in transaction volumes, the statement said.
"We are deeply grateful to have such experienced and established investors join our journey as we craft India's first learning-focused neobank for teenagers. This capital will help us hire the right team and build in-app intelligence and features which will make financial learning more enjoyable for teenagers," Akudo co-founder Lavika Aggarwal said.
Akudo wants every teenager to own their Akudo card as soon as they turn 13 and learn crucial lessons early on, Aggarwal added.
"Akudo is also bound to positively impact families of teens who will undertake their first step towards financial literacy and ultimately towards true financial empowerment," Aggarwal said.
Supriya Singh, Head of South Asia investments at JAFCO Asia, noted that personal finance for young users has largely been unaddressed.
Founded in August 2020 by Lavika Aggarwal, Sajal Khanna, and Jagveer Gandhi, Akudo provides personalised prepaid Visa cards to teens and promotes a financial first learning environment through features to build a healthy habit of saving at an early age. Teens are rewarded for their good financial behaviour through engaging gamified reward systems.