Fintech 10 Minutes talk Assignment Submission

Division- MBA (95) finance management

List of students
Enrollment Name
No
237780595012 Zeel Gaglani
237780595066 Hetvi Trivedi
237780595068 Vishwa Modi
237780595011 Jainam Doshi
237780595060 Neel Soni
237780595062 Rajat Suthar
237780595015 Janvi Shah
237780595016 Mitali Jayswal
237780595008 Hardiksinh Dabhi
237780595006 Aayush Chauhan
237780595013 Naman Jain
237780595014 Varsha Jain
237780595061 Khyati Sukhadiya
237780595064 Krisha Thakkar

pg. 1
 Subject: Fintech

Project On: “PHONEPE”

MBA Sem-III

Submitted By: Zeel Gaglani

Enrolment number: 237780595012

Submitted To: Dr. Nili Shah

Som- Lalit Institute of Management Studies

pg. 2
 OVERVIEW
PhonePe Group is India’s leading fintech company. It’s the digital payments app, founded in
December 2015.Within a short period of time, the company has scaled rapidly to become
India’s leading consumer payments app. On the back of its leadership in digital payments,
PhonePe Group has expanded into financial services - Insurance, Lending, & Wealth as well
as new consumer tech businesses.

It's an unlisted private company and classified as a private limited company, located in
Bangalore, Karnataka. PhonePe Internet Private Limited develops a mobile payment
application that allows users to instantly send and receive money from anyone using their
mobile number.

It provides services like Recharge, bill payment, movie tickets, money pay, online transactions,
etc. It is categorized as Fintech.

PhonePe is a leading digital payments platform in India, valued at $12 billion after raising

$350 million from General Atlantic. It has over 3,700 employees and is India's most valuable
homegrown fintech startup. PhonePe plans a 2024-2025 IPO, backed by a $200m Walmart
investment and a $2bn fund raise.

The PhonePe app is accessible in 11 Indian languages. It enables users to perform various
financial transactions such as sending and receiving money, recharging mobile and DTH,
making utility payments, conducting in-store payments.

How to Make Payments Through the PhonePe App

You can carry out transactions in the PhonPe app by following any of these methods:

 UPI Debit Card

 UPI Credit Card

 Via linked Bank account

 Using PhonePe Wallet

pg. 3
Mission

PhonePe's core mission is centred around revolutionizing digital payments and making
financial services accessible to all, bridging the gap between traditional banking and modern
technology. Their primary goal is to empower individuals and businesses with a seamless,
secure, and user-friendly platform for various financial transactions, fostering financial
inclusion and economic growth. Through their innovative solutions and commitment to
customer-centricity, PhonePe aims to transform the way people manage their finances, paving
the way for a cashless and financially inclusive society.

Employee Benefits

 Insurance Benefits: Medical Insurance, Critical Illness Insurance, Accidental

Insurance, Life Insurance

 Wellness Program: Employee Assistance Program, Onsite Medical Center,

Emergency Support System

 Parental Support: Maternity Benefit, Paternity Benefit Program, Adoption Assistance

Program, Day-care Support Program

 Mobility Benefits: Relocation benefits, Transfer Support Policy, Travel Policy

 Retirement Benefits: Employee PF Contribution, Flexible PF Contribution, Gratuity,

NPS, Leave Encashment

 Other Benefits: Higher Education Assistance, Car Lease, Mobile & Broadband
Reimbursements, Salary Advance Policy

Core Values

 Customer Obsession: PhonePe is dedicated to providing the best possible experience

for its customers, putting their needs at the forefront of everything they do.

 Innovation: PhonePe is constantly pushing the boundaries of what's possible in the

world of digital payments, using cutting-edge technology to create new and exciting
solutions.

 Collaboration: Teamwork is essential to PhonePe's success, with employees working

together to solve complex problems and drive the company forward.

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  Integrity: PhonePe operates with the highest levels of honesty and transparency,
building trust with customers and partners alike through ethical business practices.

 Ownership: PhonePe empowers its employees to take ownership of their work,

encouraging them to take risks and make decisions that will drive the company's
growth.

PHONEPE’S FOUNDERS

Sameer Nigam

Co-founder and CEO of PhonePe, is an alumnus of Wharton and IIM Lucknow, with a
background in technology and product management. In 2009, he launched his very first
venture Mime360, which connects content owners to content publishers. He made a personal
investment in an organization on 14 January 2016. He was listed in the top Indian business
leaders 40 under 40 list by The Economic Times.

Rahul Chari

Co-founder and CTO of PhonePe, is an IIT Bombay graduate with extensive experience in
building scalable technology platforms.

Burzin Engineer

Is working as Founder & CRO (Chief Reliability Officer) at PhonePe. He has done B.S. from
University of Mumbai & M.S. from University of Southern California.

pg. 5
 WHO IS MANAGING PHONEPE

1. FLIPKART

PhonePe was originally launched as a subsidiary of Flipkart, India's leading e-commerce

platform. This strategic partnership provided PhonePe with access to Flipkart's vast customer
base and logistical network, enabling rapid growth and user adoption.

PhonePe’s services were integrated into Flipkart’s ecosystem, enhancing the digital payment
capabilities of the Flipkart platform and creating a seamless payment experience for customers.

Flipkart’s Role in PhonePe’s Growth:

As part of Flipkart, PhonePe benefited from the strategic guidance, financial backing, and vast
customer base of the e-commerce giant. This relationship allowed PhonePe to scale rapidly in
the competitive digital payments market in India.

PhonePe leveraged Flipkart’s infrastructure, including technology, customer insights, and

logistical support, to expand its services.

Spin-Off Process:

 2020 Partial Spin-Off: In 2020, Flipkart partially spun off PhonePe into a separate
entity. Despite this, Flipkart retained a significant stake in PhonePe, and both companies
continued to collaborate closely. This move was aimed at allowing PhonePe to raise its
own capital independently while still benefiting from its relationship with Flipkart.

 2022 Full Spin-Off: In December 2022, PhonePe was fully spun off from Flipkart.
This meant that PhonePe became an independent company with its own board and
governance structure. However, Walmart, the majority owner of Flipkart, continued to
hold a significant stake in PhonePe, reflecting the ongoing strategic importance of
PhonePe to the broader Walmart-Flipkart ecosystem.

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2.WALMART

In 2018, Walmart acquired Flipkart, making PhonePe a part of the global retail giant. This
acquisition brought significant resources and expertise to PhonePe, supporting its expansion
into new markets and product offerings.

Walmart's acquisition of Flipkart was a strategic move to enter and dominate the burgeoning
e-commerce market in India, leveraging Flipkart’s market position. PhonePe, as a leading
digital payments platform, became a key asset in Walmart’s strategy to tap into the growing
digital economy in India.

PhonePe’s Position within Walmart’s Portfolio:

 Indirect Ownership: Initially, Walmart managed PhonePe indirectly through its

ownership of Flipkart. PhonePe was considered a subsidiary of Flipkart, and therefore,
under Walmart’s broad management purview.

 Support and Growth: Walmart provided financial resources, strategic oversight, and
international business expertise to support PhonePe's rapid growth. This support was
crucial in helping PhonePe scale its operations, develop new services, and expand its
market reach within India’s competitive digital payments landscape.

Current Management Structure:

 PhonePe: Operates as an independent company with its own board and executive team,
led by Sameer Nigam as CEO.

 Walmart: Holds a significant ownership stake in PhonePe and plays a key role in its
governance through board representation and strategic oversight. While Walmart does
not manage the day-to-day operations of PhonePe, it is deeply involved in its strategic
direction and long-term planning.

In summary, Walmart manages its interest in PhonePe primarily through its ownership stake,
strategic oversight, and investment. This allows PhonePe to function autonomously while still
aligning with Walmart’s broader goals in the Indian market.

pg. 7
MAJOR VERTICALS OF PHONEPE, APART FROM DIGITAL
PAYMENT

1. SHARE MARKET

A brand of PhonePe Wealth Broking and affiliates, is a wealth and investment platform, catering to
investors and traders of all expertise levels.

2. PINCODE

A shopping app that places local stores and sellers at the forefront of the digital shopping
growth story.

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3. INDUS APPSTORE
A native Android-based mobile app store, designed to fulfil the localized and cultural needs of
Indian consumers and provides developers a level playing field to list, distribute & promote
their products in the Indian app ecosystem.

VERTICALS OF PHONEPE

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1. Digital Payments

UPI-Based Payments: PhonePe is primarily known for its Unified Payments Interface (UPI)
services, which enable users to transfer money instantly between bank accounts. It also
supports payments through debit/credit cards and wallets.

Bill Payments and Recharges: Users can pay utility bills, recharge mobile phones, DTH, and
other services seamlessly within the app.

2. PhonePe Switch

Mini-Apps Ecosystem: PhonePe Switch is a platform within the PhonePe app that hosts mini-
apps from third-party developers. It acts like a super-app, allowing users to access services like
food delivery, travel bookings, and shopping without leaving the PhonePe environment.

Diverse Offerings: It includes services from companies like Ola, Myntra, Goibibo, Oyo, and
others, providing users with a wide range of options under one roof.

3. PhonePe+

Unified Payments for Merchants: PhonePe+ is a unified payments solution designed for
merchants. It integrates various payment methods, such as UPI, cards, and wallets, into a single
interface, allowing businesses to accept payments more efficiently.

4. Financial Services

Gold: PhonePe offers a platform for users to buy, sell, and store gold digitally in partnership
with MMTC-PAMP.

Mutual Funds: Users can invest in mutual funds directly through the PhonePe app, with options
for systematic investment plans (SIPs) and one-time investments.

Insurance: PhonePe provides insurance products, including health, travel, and motor insurance,
with easy policy management and claim processing.

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5. Wealth Management and Insurance

Mutual Fund Investments: As part of wealth management, PhonePe allows users to invest in
various mutual funds, track their investments, and manage portfolios.

Insurance Products: This includes offering life insurance, health insurance, motor insurance,
and more, providing users with comprehensive coverage options.

6. Lending

Instant Loans: PhonePe has entered the lending space, offering instant personal loans and credit
lines to users based on their transaction history and credit profile.

Buy Now, Pay Later (BNPL): PhonePe is also exploring the BNPL market, allowing users to
make purchases and pay later in easy instalments.

Each of these verticals represents PhonePe’s strategy to create a comprehensive financial

ecosystem, offering everything from daily payment needs to advanced financial services like
investing and insurance, all within one platform.

PHONEPE FINANCIALS

pg. 11
1. Revenue Growth:

FY21 to FY22: PhonePe’s revenue increased from ₹690 crore to ₹1,646 crore, a significant
growth of 138%. This suggests strong business expansion, likely driven by increased user
adoption, new product offerings, or market penetration.

FY22 to FY23: Revenue further increased to ₹2,914 crore, marking a 77%growth. While the
percentage growth is slightly lower than the previous year, the absolute revenue increase is
substantial. This indicates sustained business momentum.

2. Reduction in Losses:

FY21: PhonePe reported a loss of ₹884 crore.

FY22: Losses reduced to ₹827 crore, a decrease of 44% compared to the previous year.

FY23: Losses further reduced to ₹744 crore. Although the percentage change in loss is not
provided, the consistent reduction over three years shows that the company is improving its
financial efficiency.

3. Overall Interpretation:

Strong Revenue Growth: The rapid increase in revenue over the years signals that PhonePe is
scaling its operations effectively. The company has been able to capture market share and likely
expand its services.

Decreasing Losses: Despite being in a growth phase, PhonePe has managed to reduce its losses
each year. This indicates better cost management and possibly improved margins. The trend
suggests the company could be on a path to profitability if it continues to manage expenses
while growing revenue.

Balanced Strategy: The combination of high revenue growth and reducing losses suggests that
PhonePe is following a balanced strategy, aiming to expand rapidly while also working towards
financial sustainability.

Key Takeaway:

PhonePe's financial performance over the last three years shows a company that is rapidly
growing while also making strides towards reducing its losses. If this trend continues, PhonePe

pg. 12
could soon achieve profitability, making it a stronger player in the digital payments and
financial services market.

NEWS AND ARTICLES

• PhonePe in talks with top smartphone brands to pre-install Indus Appstore

• PhonePe launches secured loans in partnership with a bunch of NBFCs

pg. 13
 Subject: Fintech
Project On : “Bharatpe”
Mba sem-III

Submitted By: Trivedi Hetvi Mehulkumar

Submitted To: Prof. Dr. Nili Shah
Som- Lalit Institute Of Management Studies

pg. 14
 1. Introduction to BharatPe

Company Overview:
BharatPe, founded in 2018 by Ashneer Grover and Shashvat Nakrani, is one of India’s leading
fintech companies. It primarily focuses on providing financial services to small merchants and
kirana store owners, enabling them to accept digital payments through UPI (Unified Payments
Interface) without incurring any transaction fees. Over the years, BharatPe has expanded its
offerings, becoming a significant player in the Indian fintech space with a merchant-centric
approach.
Co-Founder Details:
1. Ashneer Grover:- Ashneer Grover, co-founder and former Managing Director of
BharatPe, played a pivotal role in the company’s rapid growth. Despite his
controversial exit amid allegations of financial misconduct, his contribution to
BharatPe’s initial success is significant. Grover’s leadership helped BharatPe establish
a strong foothold in the highly competitive fintech market.
2. Shashvat Nakrani:- Shashvat Nakrani, the other co-founder, was instrumental in
developing the company’s core product offerings. He is credited with focusing on the
merchant-first approach that differentiated BharatPe from other fintech companies.

pg. 15
Mission and Vision:
BharatPe’s mission is to empower small merchants by providing them with easy access to
digital payments and financial services. The company envisions creating a robust ecosystem
where small businesses can thrive by leveraging technology for financial inclusion.
Marketing Strategies:
 Merchant-Centric Approach:
BharatPe’s marketing strategy has always been focused on the merchant segment,
particularly small and medium-sized enterprises (SMEs). By offering zero-fee payment
acceptance and quick loans, BharatPe effectively taps into a market that is often
underserved by traditional financial institutions.
 Brand Building and Advertising:
The company has invested heavily in brand-building exercises, including nationwide
advertising campaigns and sponsorships. BharatPe’s branding emphasizes simplicity,
reliability, and empowerment, resonating well with its target audience.
 Innovative Campaigns:
BharatPe has also run several innovative marketing campaigns, such as offering
rewards and cashbacks to merchants for reaching certain transaction milestones. These
campaigns not only attract new merchants but also encourage existing ones to increase
their usage of BharatPe services.

pg. 16
 2. Benefits of Using BharatPe
 Zero Transaction Fees: Merchants can accept UPI payments from any app without
incurring any charges, which is a significant advantage over other payment solutions
that often charge a percentage of each transaction.
 Easy Access to Credit: BharatPe’s lending services are designed to be quick and hassle-
free, with loans disbursed based on transaction history, requiring no collateral.
 Integrated Financial Services: BharatPe provides a comprehensive suite of financial
tools, from payment acceptance to lending and investments, all within a single platform.
This integration simplifies financial management for small business owners.
 Customer Support: BharatPe offers robust customer support to merchants, ensuring that
any issues related to transactions or loans are resolved quickly, thereby building trust
and reliability.

pg. 17
 3. Business Model and Revenue Streams

Merchant Payments: BharatPe’s core business revolves around enabling merchants to accept
payments through UPI using BharatPe QR codes. The company does not charge merchants any
transaction fees, which has been a significant factor in its rapid adoption across India. This
zero-fee model has allowed BharatPe to onboard millions of merchants, particularly in smaller
cities and towns, where digital payment penetration was previously low.
Lending Services: A significant part of BharatPe’s revenue comes from lending to its merchant
base. The company offers short-term, collateral-free loans based on the transaction history of
merchants. This not only provides merchants with easy access to credit but also creates a
recurring revenue stream for BharatPe through interest and fees associated with these loans.
12% Club and Investment Services: BharatPe has ventured into the investment sector with
its 12% Club, a platform that allows users to invest in peer-to-peer lending opportunities. This
service offers an attractive return of up to 12% and is designed to attract both individual
investors and institutional partners. This diversification helps BharatPe tap into the growing
financial services market beyond just payments.
PoS Devices: The introduction of BharatPe One, an all-in-one PoS device, marks the
company’s foray into the card payment segment. By offering a device that supports both UPI
and card payments, BharatPe is positioning itself as a comprehensive payment solutions
provider for merchants, thereby increasing its market penetration and revenue potential.
Partnerships: BharatPe has forged partnerships with various Non-Banking Financial
Companies (NBFCs) and financial institutions to expand its lending and financial services
offerings. These collaborations are crucial for BharatPe to scale its operations without taking
on the entire financial risk associated with lending.

pg. 18
 4. Technological Innovation

AI and Data Analytics: BharatPe leverages advanced data analytics and artificial intelligence
to assess the creditworthiness of merchants. By analyzing transaction data, the company can
offer personalized loan products and credit lines to its users, ensuring that credit is extended to
those who are most likely to repay.
Security Features: BharatPe has integrated robust security features into its platform to protect
both merchants and customers. This includes encryption protocols for secure transactions,
fraud detection systems, and regular audits to ensure compliance with regulatory standards.
These measures have helped build trust among users, a critical factor in the adoption of fintech
services.

5. Expansion and Growth Strategy

Geographical Expansion: Initially focused on major urban centers, BharatPe has aggressively
expanded into tier-2 and tier-3 cities, recognizing the untapped potential in these areas. The
company’s merchant-centric approach has resonated well in smaller towns, where access to
traditional banking services is often limited.
Super App Development: BharatPe’s ambition to become a super app is central to its growth
strategy. The super app aims to integrate a variety of services, including digital payments,
lending, investments, and e-commerce, into a single platform. This strategy not only diversifies
BharatPe’s revenue streams but also increases user engagement by offering a seamless
experience across multiple financial services.
Acquisitions and Investments: BharatPe has also been active in the M&A space, acquiring
companies that complement its existing services. These acquisitions are part of a broader
strategy to build a comprehensive ecosystem that caters to all the financial needs of small and
medium-sized enterprises (SMEs).

pg. 19
 6. Market Position & strategy

Competitive Landscape: BharatPe operates in a highly competitive fintech market, facing

strong competition from established players like PhonePe, Paytm, and Google Pay. Each of
these competitors has its unique strengths, such as PhonePe’s integration with Flipkart or
Paytm’s expansive ecosystem. BharatPe’s focus on merchants, particularly SMEs, has helped
it carve out a niche in this crowded market.
Differentiation Strategies: BharatPe differentiates itself through its zero-fee model for UPI
transactions and its focus on providing financial services to underserved segments. This
merchant-first approach contrasts with the consumer-centric models of its competitors,
allowing BharatPe to build a loyal customer base among small business owners.

pg. 20
 7. Legal Challenges and Public Relations

Disputes and Litigation: BharatPe has been embroiled in legal disputes, most notably
involving its former co-founder Ashneer Grover. These disputes have been highly publicized
and have had an impact on the company’s public image. However, BharatPe’s management
has been proactive in addressing these issues, seeking to resolve them while continuing to focus
on growth.
Public Relations Strategy: Despite these challenges, BharatPe has maintained a positive
public image through strategic communication and media engagement. The company regularly
highlights its achievements and growth milestones, ensuring that the narrative remains focused
on its business success rather than internal disputes.

8. Impact on the Indian Fintech Ecosystem

Financial Inclusion: BharatPe has played a significant role in promoting financial inclusion
in India by providing digital payment solutions to merchants who were previously dependent
on cash transactions. This shift to digital payments has helped increase transparency and
efficiency in the small business sector.
Contribution to Digital Economy: By enabling millions of small merchants to accept digital
payments, BharatPe has contributed significantly to the growth of India’s digital economy. The
company’s services have also helped accelerate the adoption of digital financial services in
rural and semi-urban areas.

pg. 21
 9. Current Achievements and News

 BharatPe reported a 182% increase in revenue from operations in FY23, reaching ₹904
crore. The company achieved its first EBITDA-positive month in October 2023,
marking a significant milestone in its journey toward profitability .
 BharatPe is working on expanding its offerings through a super app that integrates
various services, including loans, investments, and e-commerce. This strategic move is
aimed at diversifying its revenue streams and enhancing customer retention .
 BharatPe has received in-principle approval for a payment aggregator license, which
will allow it to expand its digital payments infrastructure once fully approved.
 The company launched BharatPe One, a multi-functional POS device, and plans to
expand its presence to 450 cities by the end of 2024.

10. Additional Information

• Future Plans: BharatPe aims to continue expanding its product offerings, particularly in the
lending and investment sectors. The company is also looking at enhancing its super app to
become a one-stop solution for all financial needs of small merchants.
• Legal Challenges: The company is still dealing with legal issues involving Ashneer Grover,
which have had an impact on its operations and public image. However, BharatPe is working
to resolve these issues and move forward with its growth plans.

pg. 22
Name : Modi Vishwa Dhananjay Kumar

Enrollment No : 237780595068

FM - 95 (FM)

Subject : Fin.Tech

Topic : PAYPAL

INTRODUCTION

PayPal is a payment platform with a website and a phone app that enables payments through online
money transfers. PayPal customers create an account and connect it to a checking account, a credit
card, or both. Once identification and payment method are confirmed, users can send or receive
payments online or make purchases using PayPal as the go-between. Millions of small and large
retailers accept PayPal payments online and in person. PayPal offers payment services for consumers
and for merchants who accept Paypal. Merchants use a PayPal card reader in brick-and-mortar stores
or enable Paypal as a payment option on their websites.

Key Takeaways

PayPal is an online payment platform that facilitates payments between individuals and
businesses.PayPal was a subsidiary of eBay but was spun off into a separate company in 2015.In
addition to online payments, PayPal offers a debit card for payments, credit card readers for use in
businesses, and lines of credit.PayPal is considered a very secure method of sending payments
online.

PayPal offers payment services for consumers and for merchants who accept Paypal. Merchants use
a PayPal card reader in brick-and-mortar stores or enable Paypal as a payment option on their
websites. Consumers can pay invoices and transfer money with relative ease. Cash can be transferred
to any email address or phone number, whether or not the recipient has a PayPal account. If they
don't have an account they will then be prompted to make one after you send the money. Users
need an email address to sign up for an account and must provide a credit card, debit card, or bank
account to complete the setup. Your mobile number will also be verified. PayPal verifies the
information to make sure the person setting up the account is the rightful owner before the service
can be used. Shoppers can choose the PayPal option to complete purchases online if the retailer has
the service. Transactions are completed within minutes. Funds may be available immediately for
business owners after a sale. In some cases, some or all of the funds may be held for up to 21 days.
This is most common for newer sellers without a history.

FOUNDERS AND CO-FOUNDERS OF PAYPAL

PayPal, a leading online payments platform, has a storied history with multiple key figures playing
critical roles in its founding and development. Below are the main founders and co-founders, along
with their contributions:

1. Max Levchin

Role: Co-founder of Confinity, which later became PayPal.

pg. 23
Background: Levchin was born in Ukraine and moved to the United States in the early 1990s. He
graduated from the University of Illinois at Urbana-Champaign with a degree in Computer Science.

Contribution: Levchin was the technical brain behind PayPal, focusing on developing the platform's
cryptography and anti-fraud systems. His work was crucial in making PayPal a secure payment
platform.

2. Peter Thiel

Role: Co-founder of Confinity and PayPal's first CEO.

Background: Thiel was born in Germany and raised in the United States. He attended Stanford
University, where he earned both a Bachelor of Arts in Philosophy and a Juris Doctor degree from
Stanford Law School.

Contribution: Thiel provided the strategic vision for PayPal. He was instrumental in steering the
company through its early challenges, including the merger with X.com. Thiel also helped secure the
initial funding that was crucial for PayPal’s growth.

3. Luke Nosek

Role: Co-founder of Confinity.

Background: Nosek, originally from Poland, was also a graduate of the University of Illinois at
Urbana-Champaign, where he met Levchin. He was a key early employee and helped develop the
company's initial concept.

Contribution: Nosek played an important role in the early stages of Confinity, contributing to its
business development and growth. He was involved in setting the company's strategic direction.

4. Elon Musk

Role: Founder of X.com, which merged with Confinity to form PayPal.

Background: Musk, born in South Africa, moved to the U.S. to study at the University of
Pennsylvania. He co-founded Zip2, which was sold to Compaq, and then founded X.com, an online
financial services and payments company.

Contribution: Musk’s X.com provided the online banking foundation that merged with Confinity to
create PayPal. Although Musk was initially CEO of the merged entity, he was later replaced by Peter
Thiel. Musk's vision for online financial services played a significant role in shaping PayPal’s broader
mission.

5. Ken Howery

Role: Co-founder of PayPal.

Background: Howery graduated from Stanford University and was part of the initial team at PayPal,
having worked with Peter Thiel at Thiel Capital Management.

Contribution: Howery was PayPal's first Chief Financial Officer (CFO). He played a key role in
managing the company's finances, helping to secure funding, and guiding PayPal through its initial
public offering (IPO).

6. Yu Pan

pg. 24
Role: Co-founder and early engineer at PayPal.

Background: Pan was one of the first engineers at Confinity and later at PayPal after the merger. He
was instrumental in building the early versions of PayPal’s technology.

Contribution: Pan helped develop the core technology of PayPal. His work in engineering laid the
groundwork for PayPal’s scalable and secure payment platform.

7. Reid Hoffman

Role: Early executive and board member.

Background: Hoffman, a graduate of Stanford University and Oxford University, was brought into
PayPal to manage business development. He later became a crucial part of the company's growth
strategy.

Contribution: While not a founder, Hoffman played a critical role in PayPal's growth and expansion,
particularly in forming partnerships and securing deals that helped the company scale. Hoffman went
on to co-found LinkedIn and became a well-known investor.

The "PayPal Mafia"

After PayPal was acquired by eBay in 2002 for $1.5 billion, many of these founders and early
employees went on to create or invest in other successful technology companies. This group became
known as the "PayPal Mafia" and includes influential figures in Silicon Valley, such as:

Elon Musk: Went on to found SpaceX, Tesla, Neuralink, and The Boring Company.

Peter Thiel: Co-founded Palantir Technologies, became an early investor in Facebook, and launched
Founders Fund, a venture capital firm.

Reid Hoffman: Co-founded LinkedIn and became a partner at Greylock Partners, a major venture
capital firm.

Max Levchin: Founded Affirm, a financial technology company, and was an early investor in Yelp.

Each of these founders and early team members contributed uniquely to PayPal's success, and their
subsequent ventures have had a profound impact on the tech industry.

WHY PAYPAL

The story of PayPal is not just about its founding but also about why it was created and how it grew
to become a global leader in online payments. Below is a detailed explanation of the purpose behind
PayPal, its development, and its impact on the financial and technology sectors.

1. The Origins: Addressing a Market Need

In the late 1990s, the internet was rapidly growing, and with it, the need for a secure and efficient
way to handle online transactions. The existing financial infrastructure was not well-suited to the
digital age. Traditional banking methods, such as checks and wire transfers, were slow, expensive,
and not optimized for the burgeoning world of e-commerce.

Max Levchin, Peter Thiel, and Luke Nosek co-founded Confinity in 1998 with the initial idea of
developing cryptography software for handheld devices. However, they soon recognized a more
pressing need: a reliable and secure way for individuals and businesses to send money online. This
insight led them to pivot from their original concept to creating a digital wallet that could facilitate

pg. 25
online payments. Elon Musk’s X.com, founded in 1999, had a similar vision but focused more broadly
on online financial services. The two companies merged in 2000, combining their strengths and
resources to address this growing market demand.

2. Why PayPal? The Vision

The core vision behind PayPal was to create a global platform that made it easier and safer for people
to transact online. This included:

Convenience: PayPal aimed to eliminate the friction associated with traditional payment methods,
making it easier for users to send and receive money with just an email address.

Security: One of the major concerns for online transactions was security. PayPal’s founders
emphasized building robust anti-fraud and encryption technologies to protect users’ financial
information.

Global Reach: From its inception, PayPal was designed to be an international platform, enabling
cross-border payments in a way that was previously difficult and expensive.

Empowering Small Businesses: PayPal provided a way for small businesses and individuals to easily
accept payments online, democratizing e-commerce by lowering the barriers to entry.

3. Strategic Decisions and Growth

PayPal’s growth was fueled by several strategic decisions:

eBay Partnership: In the early 2000s, eBay was a dominant force in online auctions, and PayPal
quickly became the preferred method of payment for eBay users due to its ease of use and security.
This partnership was critical in helping PayPal scale rapidly.

Focus on Security: PayPal invested heavily in developing sophisticated fraud detection and
prevention systems. This not only protected users but also built trust, which was crucial for
widespread adoption.

Viral Growth: PayPal implemented referral programs and incentives for new users, which led to rapid
user base expansion. The company’s user-friendly interface and word-of-mouth marketing also
played significant roles in its viral growth.

Acquisition by eBay: In 2002, eBay acquired PayPal for $1.5 billion in stock. This acquisition solidified
PayPal’s position as the default payment method on eBay and provided the resources needed for
further expansion.

4. Impact and Legacy

PayPal revolutionized online payments in several key ways:

Standardization of Online Payments: PayPal became the standard for online transactions, particularly
for small businesses and individual sellers. Its widespread adoption set the stage for the growth of e-
commerce.

Financial Inclusion: By providing a platform for global transactions, PayPal enabled people and
businesses in different countries to participate in the global economy, often without needing a
traditional bank account.

pg. 26
Innovation in Fintech: PayPal’s success paved the way for the broader fintech industry. It
demonstrated the potential of technology to disrupt traditional financial services and inspired the
creation of countless other financial technology companies.

Cultural Impact: The founders and early employees of PayPal, often referred to as the "PayPal Mafia,"
went on to create or invest in a multitude of successful companies, such as Tesla, SpaceX, LinkedIn,
YouTube, Yelp, and Palantir. Their influence on Silicon Valley and the broader tech industry is
profound.

5. Evolution and Current Position

Over the years, PayPal has continued to evolve, expanding its services to include mobile payments
(through Venmo), peer-to-peer transfers, and digital wallets for cryptocurrencies. It has also made
strategic acquisitions, such as Braintree, Xoom, and iZettle, to broaden its capabilities and market
reach.

Today, PayPal is a global leader in digital payments, serving over 400 million active accounts in more
than 200 markets worldwide. It continues to innovate and adapt to the changing landscape of digital
finance, remaining true to its original mission of making online payments easier, safer, and more
accessible.

PAYPAL SERVICES

PayPal offers a wide range of services designed to facilitate online payments, money transfers, and
financial transactions for individuals and businesses. Below is a detailed overview of PayPal's
services:

1. Personal Accounts

Personal PayPal accounts are designed for individuals who want to make online purchases, send and
receive money, and manage their finances digitally.

a. Online Payments
E-commerce: PayPal allows users to pay for goods and services at millions of online stores. Users can
link their PayPal account to a bank account, credit card, or debit card, making it easy to pay without
sharing financial information with the merchant.

Buyer Protection: PayPal offers Buyer Protection for eligible purchases. If an item doesn’t arrive or
doesn’t match the seller’s description, PayPal may refund the full purchase price, including shipping.

b. Money Transfers

Peer-to-Peer Transfers: Users can send money to friends and family using just their email address or
mobile number. The funds can be sent from a linked bank account, PayPal balance, or credit card.

International Transfers: PayPal allows users to send money internationally to over 200 countries and
regions. The recipient can receive the funds in their local currency, and PayPal handles the currency
conversion.

c. Digital Wallet

Storage of Payment Methods: PayPal acts as a digital wallet where users can store multiple payment
methods, including bank accounts, credit cards, and debit cards, all in one place.

pg. 27
PayPal Credit: In some regions, PayPal offers a line of credit that allows users to finance purchases
over time with no interest if paid in full within a specified period.

d. Mobile Payments

PayPal App: The PayPal mobile app allows users to manage their account, send money, make
payments, and even track transactions directly from their smartphones.

QR Code Payments: PayPal users can make in-person payments by scanning a QR code with their
smartphone, making it easy to pay without cash or cards.

2. Business Accounts

PayPal Business accounts are tailored to the needs of businesses, from small merchants to large
enterprises, offering a suite of tools to accept payments, manage transactions, and expand online
sales.

a. Payment Processing

Website Payments: Businesses can integrate PayPal with their website to accept payments from
customers worldwide. PayPal offers APIs and plugins for easy integration with popular e-commerce
platforms like Shopify, WooCommerce, and Magento.

PayPal Checkout: A streamlined checkout experience that allows customers to pay with their PayPal
account or credit/debit card without leaving the merchant's website.
Invoicing: Businesses can create and send professional invoices directly from their PayPal account.
Customers can pay the invoice using their PayPal balance, credit card, or bank account.

Recurring Payments: PayPal supports subscription-based billing and recurring payments, making it
ideal for businesses offering memberships, services, or products on a regular basis.

b. Point of Sale (POS)

PayPal Zettle: Formerly iZettle, this service provides small businesses with a complete POS solution,
including card readers, inventory management, and analytics. It allows businesses to accept
payments in person using mobile devices.

QR Code Payments: Businesses can accept in-person payments via QR codes, allowing customers to
pay quickly and securely using the PayPal app.

c. Merchant Services

PayPal Business Debit Mastercard: This debit card allows business account holders to access their
PayPal funds instantly, withdraw cash, and earn cashback on eligible purchases.

PayPal Working Capital: A service that offers short-term business loans based on the business’s
PayPal sales history. Repayments are automatically deducted from the business’s PayPal account as a
percentage of daily sales.

Multi-Currency Management: PayPal allows businesses to accept payments in multiple currencies,

automatically handling currency conversion and reducing the complexity of international
transactions.

3. Additional Services

pg. 28
In addition to the core services for personal and business accounts, PayPal offers several other
products and services:

a. Venmo

Social Payments: Venmo is a mobile payment service owned by PayPal that allows users to send and
receive money, split bills, and make purchases, all within a social media-style platform. Venmo is
particularly popular among younger users in the U.S.

Venmo for Business: Venmo also offers business profiles, allowing small businesses to accept
payments directly from customers via the Venmo app.

b. Braintree

Advanced Payment Processing: Braintree, a PayPal company, provides payment gateway services for
businesses looking for a more customizable payment solution. Braintree supports various payment
methods, including credit cards, PayPal, Venmo, Apple Pay, and Google Pay.

c. Xoom

Global Money Transfers: Xoom is a PayPal service that enables users to send money, pay bills, and
reload mobile phones internationally. Xoom focuses on quick, reliable international transfers, often
with same-day delivery.

d. PayPal.Me
Personalized Payment Links: PayPal.Me allows users to create a personalized payment link that they
can share with others to request money. This service is useful for freelancers, small businesses, and
individuals looking to receive payments quickly.

e. Pay in 4

Buy Now, Pay Later: PayPal offers a “Buy Now, Pay Later” service called Pay in 4, which allows users to
split their purchase into four interest-free payments over six weeks. This service is available at
checkout for eligible purchases.

f. Cryptocurrency Services

Buying, Selling, and Holding: PayPal users in certain regions can buy, sell, and hold cryptocurrencies
like Bitcoin, Ethereum, Litecoin, and Bitcoin Cash directly from their PayPal account.

Checkout with Crypto: PayPal allows users to convert their cryptocurrency holdings into fiat currency
at checkout, enabling them to pay for purchases using crypto.

4. Security and Compliance

PayPal prioritizes security and compliance, offering various tools and features to protect users and
businesses:

Fraud Protection: PayPal uses advanced machine learning algorithms to detect and prevent
fraudulent transactions. It also offers Seller Protection for eligible transactions, covering chargebacks
and reversals.

Data Encryption: PayPal encrypts all transaction data, ensuring that sensitive information is protected
during transmission.

pg. 29
Compliance: PayPal adheres to strict regulatory standards globally, including Know Your Customer
(KYC) and Anti-Money Laundering (AML) regulations.

5. Integration and API Services

Developer Tools: PayPal offers a suite of APIs and developer tools that allow businesses to integrate
PayPal services into their websites, apps, and e-commerce platforms.

PayPal SDKs: Software Development Kits (SDKs) are available for various programming languages,
enabling developers to add PayPal functionality to mobile and web applications.

HOW PAYPAL WORKS

PayPal is an online payment system that allows individuals and businesses to send and receive
money electronically. It operates as a digital wallet, facilitating transactions without the need for
traditional paper methods like checks or money orders. Here’s a detailed explanation of how PayPal
works:

1. Setting Up a PayPal Account

To start using PayPal, users need to create an account. There are two main types of accounts:
Personal and Business.

a. Personal Account

Sign-Up: Individuals sign up using their email address and create a password. They can link a bank
account, credit card, or debit card to fund their PayPal account.

Verification: PayPal may require users to verify their identity and linked accounts to ensure security.
This could involve confirming a small deposit made by PayPal into the user's bank account or
providing identification documents.

b. Business Account
Sign-Up: Businesses sign up using a business email address. They can link their business bank
account and credit/debit cards to accept payments.
Customization: Business accounts offer additional features like invoicing, recurring billing, and
integration with e-commerce platforms.

2. Adding Funds to PayPal

Users can fund their PayPal accounts in several ways:

Bank Account: Users can link their bank account to PayPal and transfer money directly from their
bank.

Credit or Debit Card: Users can link a credit or debit card to PayPal. When making payments, funds
can be drawn directly from the card.

PayPal Balance: Users can maintain a balance within their PayPal account, which can be funded by
receiving payments from other users or transferring funds from a bank account.

3. Making Payments

PayPal enables users to make payments online in a variety of contexts:

pg. 30
a. Online Purchases

At Checkout: When shopping online, users can select PayPal as a payment method at checkout. They
will be redirected to PayPal's site, where they can log in and confirm the payment.

One-Touch Payments: PayPal offers a “One Touch” feature that allows users to stay logged in and
make purchases without needing to enter their login credentials every time, speeding up the
checkout process.

b. Peer-to-Peer Transfers

Sending Money: Users can send money to others using their email address or mobile number. They
can choose to fund the payment from their PayPal balance, bank account, or linked credit/debit card.

Friends and Family: For personal transfers, PayPal offers an option to send money to friends and
family, usually with no fees if funded by a PayPal balance or bank account.

c. In-Person Payments

QR Code Payments: Users can scan QR codes in physical stores using the PayPal app to make
payments directly from their account.

Mobile Wallet Integration: PayPal can be linked to mobile wallets like Google Pay or Apple Pay,
allowing users to make payments in stores using their mobile device.

4. Receiving Payments

Users can receive payments in several ways:

a. For Individuals

Personal Transfers: Individuals can receive money from friends, family, or other PayPal users. The
funds are deposited into their PayPal account balance and can be withdrawn to a linked bank
account or used for other payments.

Refunds: If a user returns an item purchased with PayPal, the seller can issue a refund, which is
credited back to the user's PayPal balance or original payment method.

b. For Businesses

Online Sales: Businesses can receive payments for goods and services sold online. PayPal provides
APIs for easy integration into websites, allowing customers to pay directly via PayPal.

Invoicing: Businesses can create and send invoices through PayPal. Customers can pay the invoice
using their PayPal account, credit card, or other linked payment methods.

Subscriptions and Recurring Payments: PayPal supports automatic recurring payments for businesses
offering subscription services.

5. Withdrawing Funds
Users can withdraw funds from their PayPal account to a linked bank account or debit card. Options
include:

Standard Transfer: Transferring funds to a bank account typically takes 1-3 business days.

pg. 31
Instant Transfer: For a small fee, PayPal offers instant transfers to a linked debit card or eligible bank
account, allowing users to access their money almost immediately.

6. Currency Conversion

PayPal allows users to hold and manage multiple currencies in their account. When sending or
receiving money internationally:

Automatic Conversion: PayPal automatically converts funds to the recipient's local currency, applying
a currency conversion fee.

Exchange Rates: PayPal sets its own exchange rates, which include a fee above the market rate. Users
can see the conversion rate before completing a transaction.

7. Security Features

PayPal employs several layers of security to protect users:

Data Encryption: PayPal encrypts all transaction data using SSL (Secure Socket Layer) technology.

Fraud Prevention: PayPal monitors transactions for signs of fraud using advanced machine learning
algorithms. Suspicious activities trigger alerts, and PayPal may temporarily limit or freeze accounts
for investigation.

Two-Factor Authentication (2FA): Users can enable 2FA, which requires an additional code sent to
their phone or email to log in, adding an extra layer of security.

Buyer and Seller Protection: PayPal offers Buyer Protection on eligible purchases, covering the cost if
an item doesn’t arrive or isn’t as described. For sellers, PayPal provides protection against certain
types of chargebacks and claims.

8. Dispute Resolution

If a user has an issue with a transaction:

Disputes: Users can file a dispute within 180 days of a transaction. PayPal facilitates communication
between the buyer and seller to resolve the issue.

Claims: If a dispute cannot be resolved, it can be escalated to a claim, where PayPal steps in to
investigate and make a decision.

Chargebacks: PayPal also handles chargebacks when a buyer disputes a transaction through their
credit card issuer. PayPal gathers evidence from both parties to resolve the situation.

9. PayPal Fees

PayPal charges fees depending on the type of transaction:

Transaction Fees: PayPal charges a percentage fee plus a fixed fee for each transaction processed for
businesses. These fees vary by country and transaction type.

Currency Conversion Fees: A fee is applied when converting currency for international transactions.

Instant Transfer Fees: A small fee is charged for instant withdrawals to a debit card or bank account.

10. Advanced Features for Businesses

pg. 32
PayPal Commerce Platform: A comprehensive solution for businesses, offering tools for payment
processing, fraud management, financing, and more. It integrates with various e-commerce
platforms and marketplaces.

API Integration: Businesses can use PayPal’s APIs to customize payment solutions, offering customers
a seamless checkout experience.

PayPal Working Capital: PayPal offers short-term loans to businesses based on their PayPal sales, with
repayments automatically deducted from future sales.

11. Global Reach

International Payments: PayPal operates in over 200 countries and supports multiple currencies,
making it a go-to option for international e-commerce and remittances.

Cross-Border Fees: PayPal applies additional fees for cross-border transactions, reflecting the cost of
processing payments across different regions.

FRAUDS AND SCAMS OF PAYPAL

PayPal, like many financial institutions, has been targeted by various frauds and scams over the years.
Here are some of the common types of scams and frauds associated with PayPal:

1. Phishing Scams

Email Phishing: Scammers send fake emails that appear to be from PayPal, asking recipients to click
on a link to update their account information, verify their identity, or resolve an issue. These links
lead to fraudulent websites designed to steal login credentials.

SMS Phishing (Smishing): Similar to email phishing, but conducted via text messages, urging users to
click on a malicious link.

2. Account Takeover
Scammers gain access to a user's PayPal account by using stolen credentials obtained from phishing,
data breaches, or through social engineering. Once inside, they can transfer funds, make
unauthorized purchases, or change account details to lock the rightful owner out.

3. Advance Fee Scams

Scammers pose as someone who needs help transferring money and offers a percentage of the sum
in exchange for a small fee. Once the fee is paid, the scammer disappears, and the promised money
never materializes.

4. Overpayment Scams

A scammer sends a PayPal payment for more than the agreed amount and asks the seller to refund
the difference. The initial payment was made with a stolen credit card or bank account, and once the
fraud is detected, the payment is reversed, leaving the seller out of pocket.

5. Fake Charities

Scammers set up fake charities and solicit donations through PayPal. They take advantage of people’s
goodwill during natural disasters, holidays, or other events, pocketing the money instead of using it
for the stated cause.

pg. 33
6. Fake Invoices

Scammers send fake invoices through PayPal, hoping that recipients will pay them without realizing
they don't owe any money. These are often sent to small businesses or individuals who may be
confused by the request.

7. Shipping Scams

A buyer claims they never received an item or that the item was not as described, and then files a
dispute or chargeback through PayPal. In some cases, buyers provide a fake or incorrect shipping
address and claim they never received the package, even though the seller has proof of shipment.

8. Business Email Compromise (BEC)

In a BEC scam, hackers gain control of a business email account and use it to send fraudulent
payment requests to employees, customers, or vendors. They may request payments be made to a
PayPal account controlled by the scammer.

9. Fake PayPal Payments

Scammers create fake PayPal payment notifications that look convincing. They may claim that the
payment is being held by PayPal until the seller provides a tracking number or ships the item, tricking
sellers into sending goods without receiving payment.

CONCLUSION
In summary, PayPal is a widely used and trusted online payment platform, but it is also a target for
various scams and frauds. While PayPal provides security measures to protect users, it's essential for
individuals and businesses to remain vigilant, use strong security practices, and be aware of common
scams to avoid falling victim to fraud.

pg. 34
 Fin.Tech

MBA (DIVISION 95–FINANCE)

ON

RAPYD

Submitted by: Jainam Doshi

Enrolment No.: 237780595011

Submitted to: Dr. Nili Shah

Som Lalit Institute of Management Studies

pg. 35
 Rapyd: A Journey through Innovation and Growth
 Introduction:
Rapyd is a global payment and FinTech platform founded in 2016. The company has
offices in USA, Israel, Netherlands and Singapore. As of January 2021, it is valued at
$2.5 billion and has approximately 270 employees
Rapyd was founded in 2016 as a consumer mode e-wallet called CashDash. The first
e-wallet was started in 2017.
The company built an API that enables customers to use a range of financial services
that include payouts, fundraising, fund payments, foreign exchange, card issuing and
virtual IBAN accounts etc.
Today, Rapyd provides access to 900+ payment methods in over 100 countries.

 Key Objectives:
 To unify payment systems across borders.

 To integrate various financial services into a single platform.

 To drive innovation in the fintech sector.

 Founders:

Rapyd was founded by three people: Arik Shtilman, Arkady Karpman and
Omer Priel.

 Journey of Rapyd:
2017: Early Development
 Product Launch: Rapyd started developing its core platform, focusing on integrating
various payment methods and building global infrastructure.

pg. 36
2018: Expansion
 Partnerships: Rapyd formed key partnerships and began integrating its payment
solutions with merchants and financial institutions.

2019: Platform Enhancement

 Growth: The platform was expanded with additional payment methods, improved
global reach, and enhanced APIs.

2020: Major Achievements

 Acquisitions: Rapyd acquired Tazapay and Valitor to broaden its services. The
pandemic accelerated digital payments, prompting Rapyd to enhance its offerings.

2021: Growth and Funding

 Expansion: Rapyd continued international growth and integrated more local payment
methods. It completed a significant Series D funding round .

2023: Recognition
 Further Expansion: Rapyd expanded into new markets and received awards for its
innovative payment solutions.

2024: Advancements
 Innovation: Rapyd invested in AI and machine learning to improve its platform and
introduced new features to meet market demands.

 Product of Rapyd:
From payments to payouts, card issuing to virtual accounts and fraud protection to
pre-built integrations - we've loaded this guide with everything you need to navigate
the financial tech space. Go global with our solution that enables you to send and
accept payments in local methods and currencies from almost anywhere.

1. Rapyd Collect:
Rapyd Collect gives you a powerful API to easily add various payment
methods—like cards, bank transfers, eWallets, and cash—into any app. Whether it's
cards, bank transfers, eWallets, or cash, you have full control over your payment
options.

pg. 37
 2. Rapyd Disburse:
Rapyd Disburse is a service that allows businesses to send payments to
recipients globally. It simplifies the process of distributing funds by supporting
various payout methods, such as bank transfers, eWallets, and cash pickups, all
through a single API. This makes it easier for companies to handle mass payments
efficiently and securely.

3. Rapyd Collect:
Rapyd Collect is a service that enables businesses to accept a wide range of
payments from customers globally. It provides a single API that integrates various
payment methods—such as credit and debit cards, bank transfers, eWallets, and cash
payments—into your application or platform. This flexibility allows businesses to
cater to different customer preferences and streamline their payment collection
process.

 Why to choose Rapyd? :

Choosing Rapyd offers several advantages for businesses looking to enhance their
payment processes and expand globally. Here are key reasons to consider
1. Global Reach: Rapyd supports a wide range of payment methods and currencies,
allowing businesses to operate seamlessly across different regions.
2. Unified Platform: With Rapyd, you get a single platform that integrates various
financial services, including payment collection, disbursements, and currency
conversion.
3. Flexible Integration: Its API-driven solutions make it easy to embed payment
functionalities into your existing applications or websites.
4. Local Payment Methods: Rapyd provides access to local payment options, which
can increase customer satisfaction by offering preferred payment methods in different
markets.

 Latest news about Rapyd:

 As on April 202 Rapyd has been named one of the Top 100 Cross-Border Payment
Companies for 2024 by FXC Intelligence, a leading provider of research in the
payments and fintech industry.

 On March 2024 Rapyd has been recognised as the 2024 best cross-border merchant
solution at the Merchant Payments Ecosystem (MPE) event in Berlin! This award
highlights Rapyd’s commitment to simplifying global commerce for businesses of all
sizes.

pg. 38
  On November, 2023 Rapyd has announced a strategic partnership with the Icelandic
National Handball Team, reinforcing the company’s investment within the country.
This partnership embodies Rapyd’s continued commitment to the Icelandic
community and marks a significant step in solidifying its presence in the region.

 Conclusion:

 Rapyd has established itself as a leading player in the fintech sector by providing a
versatile and comprehensive suite of payment solutions. Through its innovative
platform, Rapyd facilitates global transactions by integrating various payment
methods into a single API. This allows businesses to seamlessly accept and process
payments from diverse sources, catering to a broad international audience.

 With its focus on continuous improvement and adaptation, Rapyd has expanded its
global reach, enhanced its technological capabilities, and introduced new features to
meet the evolving needs of the market. The company’s strategic acquisitions and
investments in cutting-edge technologies like AI and machine learning further solidify
its position as a frontrunner in the financial technology space.

pg. 39
 FinTech
A Project Report
On
Cashfree Payments Solutions

Submitted to: Dr. Nili shah

Submitted by: Neel Soni

Enrolment No.: 237780595060

Som Lalit Institute of Management Studies

pg. 40
 Cashfree Payments India Private Limited
Cashfree Payments is India’s leading payments and API banking company. It provides full-
stack payment solutions for businesses in India to accept payments and make payouts via 180+
payment modes - all with a simple integration.
Over 6,00,000+ Businesses trust Cashfree Payments with payment collections, vendor payouts,
salary payouts, bulk refunds, expense reimbursements, loyalty and rewards, and so much more.
They are headquartered in Bengaluru.
o Launch year – 2015
o Profitable since – 2018
o Businesses served – 6,00,000+
o 80B$+ amount of transactions processed annually
o Over 600M Bank accounts served

 Founders of Cashfree

Reeju Datta and Akash Sinha are founders of cashfree payments

Reeju datta has completed his graduation from IIT kharagpur where as Akash Sinha has done
his graduation from IIIT- Hyderabad

pg. 41
  Cashfree Payments’ Journey
2015- Cashfree was founded
2016- Launched payouts feature
2017- Launched Cashgram
2019- launched instant refund feature and became the first one in the industry to launch this
feature
2020- launched international payments and vendor payments feature

 Products of cashfree payments

1. Payment Gateway
A payment gateway is an online service that allows businesses and individuals to accept
payments from customers through their websites or mobile applications. It acts as an
intermediary between a merchant and the financial institution processing the payment.

Cashfree through its payment gateway provides 120+ payment options which includes UPI,
Net Banking, Buy Now Pay Later, Wallets etc.

2. Payment Links
Cashfree enables the merchants to generate a payment link which is shareable to customers
via SMS, Whatsap etc which helps those merchants to collect payment who sells their
products online but do not have any e-commerce website.

3. Payouts
It helps businesses send money instantly, 24x7 - even on bank holidays. Pay your vendors,
make customer refunds, disburse loans etc. with an industry-best success rate of 99.98%.

4. Vendor Payouts
It enables merchants to manage all your accounts payable effortlessly on a single platform.
Upload invoices, sync with Tally, customize approval workflows, pay, and reconcile easily
using invoice reports

5. Recurring payments
Recurring payments are generally collected when there is a subscription of product for a
particular period. Cashfree enable merchants to collect these recurring payments through
UPI Autopay, e-NACH as well as credit and debit cards.

6. Cashgram
Cashgram is also one of the flagship features of cashfree which they launched in the year
2017 it manly focuses on making instant refunds to the customers in a secure manner where
a payout link Is shared to customer and customer can claim refund without sharing their
financial details.

pg. 42
7. International payments
In year 2020 cashfree launched international payments services which enables the
merchants to accept and make payments in over 100+ currencies from all major
international cards
Cashfree Payments is one of the first Payment Aggregators in India to have received the
Payment Aggregator Cross Border (PA-CB) license from the RBI.

 Why choose cashfree

The below mentioned points suggest why one should choose cashfree as payment service
provider

User-Friendly Interface Cashfree's platform is designed with user

experience in mind, making it easy for
businesses to set up and manage payments.
Comprehensive Payment Solutions Cashfree offers a wide range of payment
solutions to cater to various business
needs.
Competitive Pricing Cashfree provides transparent and
competitive pricing, making it an
affordable option for businesses of all
sizes.
Excellent Customer Support Cashfree's dedicated customer support
team is available 24/7 to assist businesses
with any queries or issues.
Security & Compliance Cashfree prioritizes security and
compliance, ensuring that all transactions
are protected and meet industry standards.

 Cashfree v/s Razorpay

Razorpay can be considered as one of the biggest competitors of Cashfree now let’s discuss
why one should choose cashfree or razorpay

Pricing- Razorpay charges slightly higher amount than Cashfree for their services
Customer Support- cashfree provides customer support through call,mail and chat and
razorpay provides only mail support.

Razorpay is known for their premium features where cashfree is considered an affordable
option which can be a best option for small MSME merchants with good customer support.
But it is not like that cashfree is only for small merchants the customers of cashfree also
inludes some big giants

pg. 43
  Cashfree’s latest news

1. BENGALURU: Payments and API banking firm Cashfree Payments, on Wednesday,

launched a platform centric payment solution‘Embedded Payments’. This solution equips
software platforms with the tools to facilitate seamless payment experiences for businesses.
The solution aims to revolutionise the way software platforms like enterprise resource
planning (ERPs), customer relationship management (CRMs), SaaS or billing platforms
and similar solutions, provide payment experience to their end users.
Source- economic times
Date – January 2024

2. Bengaluru-based payment aggregator Cashfree has received the licence from the Reserve
Bank of India (RBI) to operate in the cross-border payments space. This comes after
Cashfree secured the payment aggregator licence from the central bank in December 2023,
which permits it to operate in the online merchant payment space.

“With the Payment Aggregator-Cross Border (PA-CB) licence, we are now well-positioned
to support global businesses and globally regulated entities collecting payments in India,”
a company spokesperson said. “The licence also enables us to us to offer Indian exporters
and freelancers cross-border payment solutions,” the person added.

Source- Economic Times

Date- July,2024

 Customer’s of Cashfree
1. Nykaa
2. Delhivery
3. ACKO
4. Shell
5. Zomato
6. Zoomcar
7. Dunzo
8. Dream11 etc…

pg. 44
 Introduction to FinTech and financial Analytics
A Project Report
On
IndieGoGo

Submitted to: Dr. Nili shah

Submitted by: Rajat Suthar

Enrolment No.: 237780595062

Som Lalit Institute of Management Studies

pg. 45
 IndieGoGo: Your Platform for Creative Funding

IndieGoGo is a crowdfunding platform that helps people raise money for their projects. It's a
global community of passionate individuals and creative thinkers who are working on bringing
their ideas to life.

Mission

Their mission is to empower people to unite around ideas that matter to them and together make
those ideas come to life.

Founders of IndieGoGo:

Slava Rubin Danae Ringelmann Eric Schell

Co-Founder and former Co-Founder and former Co-Founder and former
CEO Chief Development Chief Technology
Officer (CDO) Officer (CTO)

Becky center
Current CEO
pg. 46
Journey of IndieGoGo:

1. Founding and Early Years (2007-2009)

Founded in 2007 by Danae Ringelmann, Slava Rubin, and Eric Schell to democratize
fundraising by allowing anyone to raise money for creative projects.

Launched in 2008 at the Sundance Film Festival, initially focusing on film projects with a
unique flexible funding model.

2. Expansion and Growth (2010-2013)

Expanded beyond film to include various categories like technology, art, and social causes.

Began allowing international campaigns in 2011, broadening its global reach.

3. Innovation and New Features (2013-2016)

Introduced equity crowdfunding in 2016, enabling backers to invest in startups for potential
financial returns.

4. E-Commerce and Partnerships (2017-2019)

Indiegogo Marketplace launched in 2017 for selling successfully crowdfunded products.

Partnered with Arrow Electronics to support tech entrepreneurs with product development.

5. Adaptations and Recent Changes (2020-Present)

Supported campaigns addressing COVID-19 challenges and focused on improving consumer

protection.

Continued to grow as a global platform supporting a diverse range of innovative projects.

How IndieGoGo Works:

1. Project Creation

Create a compelling project page, outlining your idea, goals, and rewards for supporters.

2. Campaign Launch

Launch your campaign, set a fundraising goal, and share it with your network.

pg. 47
3. Fundraising

Collect pledges from supporters, offering various reward tiers and updates on progress.

4. Campaign Completion

Reach your fundraising goal or end your campaign, with potential funds released to you.

Promoting Your IndieGoGo Campaign:

Benefits of IndieGoGo:

1. Global Reach:

Connect with a worldwide audience, expanding your project's potential.

2. Community Building:

Engage with passionate supporters who believe in your project.

3. Flexible Funding:

Choose from fixed or flexible funding models, allowing for greater control.

pg. 48
4. Transparency:

Share progress updates and keep supporters informed about your project's journey.

Types of Projects on IndieGoGo:

1. Creative Projects:

Films, music, art, and other creative endeavors can find funding on IndieGoGo.

2. Technology & Innovation:

New gadgets, software, and hardware projects often utilize crowdfunding platforms.

3. Social Impact:

Projects focused on charitable causes, environmental issues, and community development

find support.

4. Personal Causes:

Individuals seeking funding for medical expenses, education, or travel can use IndieGoGo.

Successful IndieGoGo Campaigns:

1. Flow Hive:

Raised: Over $13 million

offering a beehive system that allows honey to flow directly into jars without disturbing the
bees, making beekeeping simpler and more sustainable.

2. MATE eBike:

Raised: Over $16 million

foldable electric bike, designed for city commuting with a range of 55 miles and easy storage.

3. PocketScan:

Raised: over $500,000

portable scanner that allows users to quickly scan documents, pictures, and other materials on
the go.

pg. 49
Latest News about IndieGoGo:

Source- www.chainstoreage.com
Date- 11th July,2024

Indiegogo, a well-known crowdfunding platform, has expanded into e-commerce by launching

IndieShop, an online storefront. IndieShop allows consumers to purchase products that were
initially crowdfunded on Indiegogo, bridging the gap between early supporters and wider
markets. Launched in beta in May 2024, the platform has quickly grown to feature over 40
products. In addition to selling products, Indiegogo offers creators online distribution and
marketing services, enhancing their reach and sales potential.

pg. 50
Source- www.engadget.com
Date- 26th August, 2024
Indiegogo has introduced a new Shipping Guarantee program to ensure that backers receive
the products they support. Unlike before, where there was no assurance of product delivery,
this program is now available to companies with a strong track record on the platform. A history
of successful campaigns can increase a company's chances of being approved for the program.
This initiative builds upon the "Trust-Proven" badge launched two years ago, which recognizes
campaigns with consistent fulfilment, positive backer feedback, and excellent management.

pg. 51
 Introduction to FinTech and financial Analytics
A Project Report
On
Yubi

Submitted to: Dr. Nili shah

Submitted by: Janvi Shah

Enrolment No.: 237780595015

Som Lalit Institute of Management Studies

pg. 52
 Introduction
Yubi is a trailblazer in the credit space, designed to transform the way businesses access
capital. The platform seamlessly connects borrowers with lenders, streamlining the process of
raising funds for enterprises of all sizes.
Origin and Evolution: Yubi originally made its mark in the Indian debt market by
introducing a groundbreaking product that simplified and democratized access to credit. This
single offering disrupted traditional financing models, setting a new standard in the industry.
Global Expansion: Building on its initial success, Yubi has embarked on a strategic
expansion to cater to global corporate markets. This transition is not just about scaling up; it's
about diversifying and enhancing the value proposition. Yubi now boasts a comprehensive
suite of seven distinct financial products, each designed to address different aspects of
corporate financing needs.

CEO and Co-Founder

Hemant Agarwal Gaurav Kumar

CEO at Metamorphosis Founder and Chief
Engitech India Pvt Ltd of Executive Officer
Yubi Partner Yubi Group

pg. 53
 Mission
Their mission is to change the financial landscape by making financial services accessible,
transparent, and efficient for everyone.

Accessibility
Yubi is committed to empowering underserved communities by making financial support more
accessible. Through innovative and user-friendly financial products, Yubi addresses the unique
needs of these communities, ensuring they receive the capital they need to thrive. By leveraging
technology and simplifying the borrowing process, Yubi aims to bridge the gap left by
traditional financial systems, fostering greater financial inclusion and driving economic growth
in marginalized areas.

Transparency
At Yubi, we prioritize transparency and honesty. We provide clear, straightforward information
about our financial products, ensuring customers understand every detail without hidden fees
or complex jargon. Our goal is to make the financial process simple and accessible,
empowering customers to make informed decisions with confidence.

Efficiency
Yubi leverages advanced technology to simplify and enhance the user experience. Our platform
uses data analytics, automation, and intuitive design to ensure fast, efficient, and seamless
interactions. By continuously innovating, we make financial processes straightforward and
accessible, providing a smooth and user-friendly experience.

Products
Yubi offers a comprehensive suite of financial products designed to meet the diverse needs of
their customers.

Yubi Credit Market

Yubi Credit Market is a platform that connects borrowers and lenders, making it easy for
businesses to raise capital. By offering a streamlined marketplace, Yubi facilitates efficient and

pg. 54
transparent funding, enabling businesses to quickly find and secure the financial support they
need.

Supply Chain Finance

Yubi’s Supply Chain Finance Marketplace offers a seamless solution for discovering,
managing, and monitoring supply chain financing. It connects businesses with a range of
financial options, streamlines operations through an integrated platform, and provides real-time
monitoring tools to optimize financial performance and manage risks efficiently.

Corporate Lending
Yubi’s fully digitized corporate lending platform streamlines the entire loan process from
origination to disbursement and monitoring. It automates applications, ensures quick and
secure fund transfers, and provides real-time monitoring and insights, making corporate
lending more efficient and transparent for both borrowers and lenders.

Yubi DLP
Yubi is India’s largest partnership lending platform, seamlessly connecting lenders and
originators. By facilitating efficient collaboration and offering a comprehensive suite of digital
tools, Yubi enhances the lending process, driving faster and more effective capital deployment.

Clients
Yubi serves a diverse range of clients, from individuals to small businesses and large
enterprises.

Individuals
Yubi empowers individuals with essential tools and resources for effective financial
management. Our platform provides easy-to-use financial tools, educational resources, and
personalized insights to help users take control of their finances, make informed decisions, and
achieve their financial goals.

pg. 55
Small Businesses
Yubi provides small businesses with innovative financial solutions to support their growth and
success. Our platform offers flexible loans, advanced tools, and expert resources designed to
streamline financial management and empower businesses to thrive.

Large Enterprises
Yubi partners with large enterprises to deliver customized financial solutions tailored to their
specific needs. Our platform offers bespoke financial products and services designed to
optimize capital management and drive strategic growth.

Yubi’s Competitors

Crediwatch
Crediwatch is a company specializing in advanced credit risk management and financial
analytics. It leverages technology to provide data-driven insights and solutions to help
businesses and financial institutions assess and manage credit risk more effectively.

Perfios
Perfios is a prominent fintech company specializing in financial data aggregation, analysis, and
insights. It provides a range of solutions designed to streamline financial processes and enhance
decision-making for individuals, businesses, and financial institutions.

CreditVidya
CreditVidya is a fintech company specializing in credit risk assessment and financial analytics.
The company provides data-driven solutions designed to improve credit underwriting
processes and enhance financial inclusion.

Achievements
Yubi has a proven track record of success, recognized for its innovative solutions and
commitment to customer satisfaction.

pg. 56
Future Plans:
• Yubi plans to switch to Oracle Cloud Infrastructure (OCI) to upgrade its IT systems. By
using OCI’s tools like virtual machines, cloud storage, and PostgreSQL databases, Yubi
aims to get more reliable and flexible computing power for its projects.

• This move to OCI is expected to improve performance and lower costs, helping Yubi
run more efficiently and stay ahead of the competition. The company is combining

open-source technology with OCI to reach these goals..

pg. 57
 Fintech Project

Name: Mitali Sanjaybhai Jayswal

Enrollment no.: 237780595016

Subject: Fintech

Submitted to: Dr. Nili Shah

Company: ACKO general insurance limited

pg. 58
  About Acko Company

ACKO is a digital insurance company based in India, founded in 2016 by Varun Dua and Ruchi
Deepak.

ACKO is a leading insurance technology company that is revolutionizing the way people buy
and experience insurance. ACKO is committed to providing customers with a seamless and
convenient experience, using technology to make insurance simple, affordable, and accessible
to all.

Acko is a digital-first direct-to-consumer company that builds and operates technology and
services platforms.

 Business Model:

ACKO offers a range of insurance products, including:

1. Health insurance: ACKO offers low premiums, paperless claims, and a variety of plans,
including general insurance, private car packages, two-wheeler packages, and bike insurance.
ACKO also offers add-on covers for comprehensive policies, and benefits like cashless repairs,
doorstep vehicle delivery, and personal accident coverage.

2. Life insurance: ACKO offers cashless claims, where the insurer settles medical expenses
directly with the hospital if the policyholder is hospitalized at a network hospital.

3. General insurance (e.g., motor, home, travel): ACKO Life is a subsidiary of ACKO
Technology Solutions Pvt Ltd, which was founded by Varun Dua.

4. Travel Insurance: ACKO’s travel insurance plans offer coverage for medical emergencies,
lost luggage, trip cancellation, and more.

They operate primarily online, using a direct-to-consumer approach, which helps reduce
distribution costs and offers lower premiums to customers.

pg. 59
  Key Features/ Unique Selling proposition:

1. Digital-first approach: ACKO's platform is designed for online transactions, making it easy
for customers to purchase, manage, and claim insurance policies. ACKO leverages technology
to provide a seamless and convenient digital experience.

2. Customer Centric: ACKO allows customers to tailor their policies according to their needs.
ACKO prioritizes customer satisfaction and strives to provide excellent service.

3. Data Driven: ACKO uses data analytics to offer customized and competitive insurance
solutions.

 Awards and Recognition:

ACKO has received several awards and recognitions, including:

2019: Golden Peacock Innovative Product Award.

2020: FICCI Insurance Industry Awards.

2021: BW Festival of Fintech.

Funding:

ACKO has raised significant funding from investors, including:

1. $60 million in Series D funding in 2022

2. $65 million in Series C funding in 2020

Overall, ACKO aims to make insurance more accessible, affordable, and convenient for
customers in India through its digital platform and innovative approach.

pg. 60
  Management of Acko company

Founders and manage of ACKO General Insurance Company Limited:

1. Varun Dua - Co-Founder, CEO, and Whole-Time Director
2. Ruchi Deepak - Co-Founder and Whole-Time Director
3. Ashwin Bondalapati: Chief Financial Officer (CFO)
- Oversees finance, accounting, and investor relations
4. Vipul Gupta: Chief Operating Officer (COO)
- Manages operations, claims, and underwriting
5. Sai Narayan: Chief Technology Officer (CTO)
- Leads technology development, data analytics, and digital transformation
6. Shalabh Singhal: Chief Business Officer (CBO)
- Responsible for business growth, partnerships, and distribution

 Business operation of ACKO company

ACKO General Insurance Company Limited operates in the following industries:

1. Insurance Industry: ACKO is a general insurance company offering various insurance

products, including health, life, motor, home, travel, and cyber insurance.

2. Fintech Industry: ACKO leverages technology and digital platforms to offer innovative
insurance solutions, making it a part of the fintech industry.

3. Healthcare Industry: ACKO offers health insurance products, partnering with healthcare
providers and leveraging health data analytics.

pg. 61
 4. Automotive Industry: ACKO offers motor insurance products, partnering with automotive
companies and ride-hailing platforms like Ola and Uber.

5. E-commerce Industry: ACKO offers insurance products through e-commerce platforms,

integrating with online marketplaces and retailers.

6. Technology Industry: ACKO uses artificial intelligence, data analytics, and digital
platforms to drive innovation in insurance, making it a part of the technology industry.

7. Financial Services Industry: ACKO offers financial protection and risk management
solutions, making it a part of the broader financial services industry.

 Target market

Age Group: 18 – 45
Demographics: Urban, tech- savvy, and digitally active individuals.
Life Style: Fast – paced, value conscious, and looking for convenient solutions.

 Competitive Landscape

1. Traditional Insurers: Established players with a strong brand presence and extensive
distribution network.
2. Digital Insurers: Emerging players focusing on digital channels and technology – driven
solutions.
3. Insurtech startups: Innovative companies leveraging technology to disrupt the insurance
industry.

 Growth Strategy

1. Expand Product Portfolio: Offer a wider range of insurance products to cater to diverse
customer needs.
2. Enhance Digital Capacities: Invest in technology and innovation to improve customer
experience and efficiency.

pg. 62
3. Strengthen Distribution Network: Expand reach through partnerships, strategic alliances,
and new distribution channel.
4. Focus on Customer Acquisition: Implement targeted marketing campaigns and leverage
digital channels to attract new customers.

 Awards

 2019: Golden Peacock Innovative Product Award.

 2020: FICCI Insurance Industry Awards.
 2021: BW Festival of Fintech.

 Latest News and Articles

 Acko’s life cover biz to focus on term plans, pensions.
 Insurtech firm ACKO drives into car repair and service space.
 Acko acquires health tech startup OneCare in all cash deal.

pg. 63
 Introduction to FinTech and financial Analytics
A Project Report
On
Go Digit Insurance

Submitted to: Dr. Nili shah

Submitted by: Hardiksinh Dabhi

Enrolment No.: 237780595008

Som Lalit Institute of Management Studies

pg. 64
 Introduction

Go Digit Insurance is a trailblazer in the digital insurance sector in India, redefining the way
insurance is perceived and utilized. Headquartered in the tech hub of Bengaluru, Go Digit
Insurance has quickly become a household name by offering a broad spectrum of insurance
products that cater to both individual and corporate needs. Their offerings include health,
motor, travel, property, and business insurance, all designed with a focus on customer
convenience and clarity.

This customer-centric approach has earned Go Digit Insurance a loyal customer base and
numerous accolades. Their digital platform is not only user-friendly but also highly
responsive, providing customers with 24/7 access to their insurance needs. With a strong
emphasis on innovation and technology, Go Digit Insurance continues to set new benchmarks
in the insurance industry, making quality insurance accessible and affordable to all.

Journey of Go Digit Insurance

1. 2016: Foundation by Kamesh Goyal

Go Digit Insurance was founded in 2016 by Kamesh Goyal, who brought his extensive
experience from his previous role as an executive at Bajaj Allianz General Insurance. His
vision was to create an insurance company that would simplify and modernize the insurance
process, making it more accessible and understandable for everyday consumers.

2. 2017: Official Launch

In 2017, Go Digit Insurance officially launched its operations. The company made a strong
entry into the Indian insurance market with a focus on a digital-first approach. This strategy
aimed at reducing the complexities traditionally associated with insurance, thus making it
easier for customers to purchase and manage their insurance policies online.

pg. 65
3. 2018: Expansion of Product Portfolio

By 2018, Go Digit Insurance expanded its product offerings to include a wider range of
insurance solutions. This expansion included more comprehensive health insurance policies
and travel insurance options. These additions were designed to meet the varied needs of their
customers, providing them with broader coverage and more tailored insurance products.

4. 2022: Public Listing

A significant milestone for Go Digit Insurance came in 2022 when the company went
public. On August 18, 2022, it was listed on the stock exchanges. This public listing not only
marked a new phase.

Leadership of Go Digit

pg. 66
 Products

Motor Insurance

Get complete protection for your vehicle with flexible coverage options and hassle-free
online services. Whether it’s accidents, theft, or damage, they have got you covered.

Health Insurance

Safeguard your health and that of your loved ones with comprehensive plans that cover
medical expenses, hospital stays, and more. Choose a plan that suits your needs and enjoy
peace of mind.

Home Insurance

Protect your home from unforeseen events like natural disasters, theft, and damage. Our
tailored plans ensure that your most valuable asset is secure, no matter what happens.

Travel Insurance

Travel confidently with coverage for unexpected events like medical emergencies, trip
cancellations, and lost luggage. Wherever you go, we’ll help you stay protected.

Innovative Solutions

1. AI-Powered Chatbots: Described as providing instant assistance and personalized

recommendations 24/7.

2. Personalized Policy Management: This allows users to manage their policies, make
changes, and access documents online at any time.

3. Digital Claims Processing: Enables users to submit claims conveniently online and track
their progress in real-time.

pg. 67
 Why Choose Go Digit Insurance?

1. Digital Convenience:
o Easy online application and policy management
o Paperless claims and instant quotes.
2. Innovative Products:
o "Pay as you drive" insurance
o Flight delay insurance.
3. Wide Range of Coverage:
o Provides coverage for motor, health, property, and travel, as well as business
insurance products.

Go Digit Insurance's focus on digital ease, innovative product offerings, and comprehensive
coverage options.

Competitive Pricing and Discounts

pg. 68
 Claim Settlement Process

1. File a Claim: The process begins with submitting your claim through available platforms
such as an app, website, or phone.

2. Claim Verification: After submission, the insurance team verifies the details of the claim
and gathers any necessary documents.

3. Claim Assessment: In this step, the team assesses the claim and determines the amount that
is payable to the claimant.

4. Claim Settlement: Finally, the team processes the claim and ensures that the payment is
made within a reasonable time frame.

pg. 69
Name: Chauhan Aayush Khushalbhai

Enrollment No.: 237780595006

Subject: Fintech

Topic: Cred: A Modern Approach to Credit

About the company

CRED is a members-only club that rewards individuals for their timely credit card bill payments by
providing them with exclusive offers and access to premium experiences. It is a platform that allows
credit card users to manage multiple cards along with an analysis of their credit score. Members with
a high Experian or CRIF score are eligible for exclusive rewards upon payment of their credit card
bills through the app. Among many of the features in the app are CRED's credit card spend tracking
and management feature which provided the user with analysis of spend tracking and efficiency of
usage of the card.
CRED is also equipped with the CRED protect feature which is an AI backed system that keeps track
of every single nuance of a credit card payment journey - right from due date reminders, spend
patterns and other card usage statistics. Additionally, when a member makes a credit card payment
through the app, they are eligible to a variety of rewards of various forms such as access to events,
experiences, gift cards and upgrades from brands like Diesel, Cure. Fit, Myntra, Olive Bar & Kitchen
among many more.
How to apply for a CRED membership? Since CRED is only for a select few, you can apply for a
membership by signing up with your full name and a valid Indian mobile number on the app. Once
your credit score is checked from credit bureaus like CIBIL, Experian and CRIF, and your score falls
above the accepted eligibility score, you will be accepted as a member of CRED. Once you become a
member, you will be able to access the curated set of exclusive rewards and privileges that are offered
by CRED.

pg. 70
 Company History

Startup story
Problem: 'If you look at history, nobody has been rewarded for paying back on time. We want to fix
that.’
Therefore, Cred was founded primarily to solve the problems of the taxpayers and reward them with
attractive rewards in return.
Founding
Cred was founded in 2018 by Kunal Shah and successfully turned unicorn on April 6, 2021.
Early Growth
The company quickly gained traction with its focus on rewarding responsible credit behavior and
offering exclusive benefits to its members.
Expansion & Innovation
Cred expanded its product offerings, incorporating features like bill payments, investment
opportunities, and personalized financial advice.

Founder's Background

Kunal Shah
The founder of Cred, Kunal Shah, is a prominent entrepreneur and visionary in the Indian fintech
space. He previously co-founded Free charge, a successful digital payments platform.
Experience
Kunal's extensive experience in the fintech industry has shaped his understanding of the challenges
and opportunities within the Indian credit landscape.
Vision
His vision for Cred stems from a desire to create a more transparent and rewarding credit ecosystem
for responsible individuals.

pg. 71
 Business Operations
Technology: Cred leverages cutting-edge technology to deliver seamless user experiences,
personalized recommendations, and secure financial transactions.

Data Analytics: "The company leverages advanced data analytics to gain insights into user behavior,
customize its offerings, and enhance its services."
Partnerships: Cred collaborates with leading financial institutions and brands to offer a wide range of
benefits and services to its members.

Product and Service Offerings

1. Cred Card
2. Cred App
3. Cred Store
4. Financial Insights

Cred's Funding and Investors

Cred has raised significant funding from prominent investors in the fintech and technology space.
These investors provide financial support and strategic guidance to fuel the company's growth and
expansion.

pg. 72
 Cred – Acquisitions

Cred has acquired five companies to date, Hipbar, Happay, smallcase, and Spenny. The recent
acquisition is of Spenny on June 23, 2023.

Company Acquired Date Deal Value

Kuvera February 6, 2024 -

Spenny June 23, 2023 -

smallcase August 2, 2022 $400 million

Happay December 1, 2021 $180 million

HipBar October 21, 2021 -

pg. 73
 Financial Data

Cred Financial Detail

Cred operating revenue has increased from Rs 393.5 crore in FY22 to Rs 1,400.6 crore in FY23. In
terms of profit and loss, company losses increased from Rs 1,279.5 crore in FY22 to Rs 1,347 crore in
FY23.

Expenses

The company's total expenses rose from Rs 1,702 crore in FY22 to Rs 2,832 crore in FY23.

pg. 74
 News and article
 Jul 25 2024: Cred has launched “cred money” a payment solution that will allow users to
manage their finances on one platform.

 March 16 2021: Two years old startup cred is set to be the next unicorn.

pg. 75
 FinTech
A Project Report
On
Jio Financial Services

Submitted to: Dr. Nili shah

Submitted by: Naman Jain

Enrolment No.: 237780595013

Som Lalit Institute of Management Studies

pg. 76
 Jio Financial Services: A Comprehensive Overview

Company Background
Incorporation and Evolution: JFSL was originally incorporated as Reliance Strategic Investments
Private Limited in 1999. It was rebranded as Jio Financial Services Limited in July 2023. This
rebranding marked its transition from a subsidiary of Reliance Industries to an independent entity listed
on Indian stock exchanges in August 2023.
Vision and Mission
Vision: JFSL aims to digitally deliver a wide range of financial products to enhance the financial well-
being of Indians. The company focuses on inclusive growth and leveraging the digital economy to
provide accessible financial services.
Mission: To create a robust financial ecosystem that supports the diverse financial needs of individuals
and businesses across India.

Services Offered
JFSL offers a comprehensive suite of financial services designed to cater to various financial needs:

Digital Banking:
Provides secure and instant banking services that are accessible 24/7.
Includes features like savings accounts, fixed deposits, and more.
UPI Payments:
Facilitates seamless and cashless transactions across India.
Supports a wide range of payment options, making it easy for users to pay bills, transfer money, and
more.
Insurance:
Offers a variety of insurance plans, including health, car, and bike insurance.
Aims to provide comprehensive coverage and easy claim processes.
Instant Loans:
Provides hassle-free instant loans to meet immediate financial needs.
Includes personal loans, business loans, and more.

Subsidiaries and Joint Ventures

JFSL operates through several consumer-facing subsidiaries and joint ventures, each focusing on
different aspects of financial services:

pg. 77
 1) Jio Finance Limited (JFL): Focuses on providing various financial products and services.
2) Jio Insurance Broking Limited (JIBL): Specializes in insurance broking services.
3) Jio Payment Solutions Limited (JPSL): Offers payment solutions and services.
4) Jio Payments Bank Limited (JPBL): Provides banking services with a focus on digital
transactions.

Market Position and Competition

Competitive Landscape: JFSL is entering a highly competitive fintech market, offering services that
range from bill payments to digital banking and insurance advisory. It competes with numerous startups
and established players like Google Pay, PhonePe, and Paytm.
Strategic Advantage: Leveraging the extensive digital infrastructure of Reliance Jio, JFSL aims to
provide seamless and integrated financial services to a vast customer base.

Technology and Security

Advanced Technology: JFSL utilizes the latest technology to ensure robust security and real-time
transactions. This includes advanced encryption, secure authentication methods, and more.
User Experience: Focuses on providing a transparent and easy-to-use interface for all its financial
products, ensuring a smooth user experience.

Future Goals and Expansion Plans

Growth Opportunities: JFSL aims to capture significant growth opportunities in India’s digital
economy. This includes expanding its product offerings and reaching underserved markets.
Stakeholder Value: The company is committed to maximizing returns for its stakeholders while
ensuring that the benefits of financial services reach every Indian.

Business Model of the Company

Jio Financial operates a diversified business model that caters to a wide array of financial needs. Its
comprehensive suite of financial products and services is designed to address the varying requirements
of its diverse customer base.
Key Customers:
Jio Financial serves a broad spectrum of customers, including individual consumers, small and medium
enterprises (SMEs), and large corporations.
 Individual Consumers: The company offers a range of retail banking products for individual
consumers, including savings accounts, personal loans, credit cards, and insurance products.

pg. 78
 With a strong emphasis on digital banking, Jio Financial ensures convenience and accessibility
for its customers.

 Small and Medium Enterprises (SMEs): Jio Financial provides tailored financial solutions
for SMEs, such as business loans, working capital financing, and trade finance services. The
company's SME-focused products are designed to support the growth and expansion of small
businesses.

 Large Corporations: For large corporations, Jio Financial offers corporate banking services,
including treasury management, corporate loans, and investment banking services. The
company's expertise in handling complex financial transactions makes it a preferred partner for
large corporates.

Key Suppliers:
The success of Jio Financial is supported by a network of key suppliers, including financial technology
providers, data analytics firms, and traditional financial institutions.
 Financial Technology Providers: These providers offer the necessary technological
infrastructure to support Jio Financial's digital banking initiatives. Advanced technologies such
as artificial intelligence (AI), blockchain, and data analytics are integral to the company's
operations.

 Data Analytics Firms: Data analytics firms play a crucial role in providing insights and
intelligence that drive Jio Financial's decision-making processes. These firms help the company
understand customer behavior, optimize operations, and enhance service delivery.

 Traditional Financial Institutions: Partnerships with traditional financial institutions enable

Jio Financial to leverage established banking networks and expertise. These collaborations
facilitate the delivery of a wide range of financial products and services.

Key Competitors:
Jio Financial operates in a highly competitive landscape, facing competition from both traditional
financial institutions and emerging fintech companies.
 HDFC Bank: As one of India's largest private sector banks, HDFC Bank is a key competitor
for Jio Financial. The bank's extensive branch network, diverse product portfolio, and strong
customer base make it a formidable competitor.

 ICICI Bank: ICICI Bank is another major competitor, offering a wide range of financial
products and services. The bank's focus on digital innovation and customer-centric services
aligns closely with Jio Financial's business model.

 Bajaj Finserv: Bajaj Finserv is a leading player in the non-banking financial services sector.
The company's expertise in consumer finance, SME finance, and insurance products positions
it as a strong competitor.

pg. 79
  Paytm: As a prominent fintech company, Paytm competes with Jio Financial in the digital
payments and financial services space. Paytm's extensive digital ecosystem and innovative
financial solutions make it a significant competitor.

Key Market Areas:

Jio Financial primarily operates in India, with a focus on urban and semi-urban areas. The company
aims to expand its presence in rural areas to tap into the underbanked and unbanked population.
 Urban Areas: In urban areas, Jio Financial offers a comprehensive suite of financial products
and services, catering to the diverse needs of individual consumers and businesses. The
company's digital banking initiatives have gained significant traction in urban markets.

 Semi-Urban Areas: Jio Financial's presence in semi-urban areas is marked by its efforts to
provide accessible and affordable financial services. The company's branch network and digital
banking solutions ensure that customers in semi-urban areas have access to a wide range of
financial products.

 Rural Areas: Recognizing the potential of rural markets, Jio Financial is working towards
expanding its footprint in rural areas. The company's initiatives include microfinance,
agricultural financing, and financial inclusion programs aimed at empowering rural
communities.

 International Markets: In addition to its domestic operations, Jio Financial is exploring

opportunities in international markets. The company aims to diversify its revenue streams by
expanding its presence in key international financial hubs.

Future Plans and Diversification Strategies

Jio Financial's future plans and diversification strategies are centered around innovation, customer
satisfaction, and sustainable development.

Future Plans:
Jio Financial is committed to enhancing its digital banking capabilities to provide seamless and
convenient services to its customers. The company's future plans include:
 Investment in Advanced Technologies: Jio Financial is investing in advanced technologies
such as artificial intelligence (AI), machine learning, blockchain, and data analytics. These
technologies will enable the company to improve operational efficiency, enhance customer
experience, and drive innovation.

 Expansion of Product Portfolio: The company aims to expand its product portfolio to include
wealth management, insurance, and investment services. By offering a comprehensive range of
financial products, Jio Financial aims to address the diverse needs of its customers.

 Focus on Financial Inclusion: Jio Financial is committed to promoting financial inclusion by

providing accessible and affordable financial services to underbanked and unbanked

pg. 80
 populations. The company's initiatives include microfinance, digital financial literacy
programs, and partnerships with government agencies.

 Enhancement of Customer Experience: The company plans to enhance customer experience

through personalized financial solutions, seamless digital interfaces, and superior customer
service. Jio Financial aims to leverage data analytics and AI to understand customer needs better
and offer tailored solutions.

Diversification Strategies:
To mitigate risks and explore new growth avenues, Jio Financial is actively pursuing diversification
strategies:
 Strategic Partnerships and Collaborations: Jio Financial is entering into strategic
partnerships and collaborations with global financial institutions, fintech companies, and
technology firms. These partnerships enable the company to leverage expertise, expand its
market presence, and offer innovative financial solutions.

 Exploration of New Markets: The company is exploring opportunities in new markets, both
domestically and internationally. By expanding its footprint in emerging markets, Jio Financial
aims to diversify its revenue streams and reduce dependency on a single market.

 Focus on Sustainable Finance: Jio Financial is aligning its business practices with global
environmental, social, and governance (ESG) trends. The company's sustainable finance
initiatives include green financing, social impact investments, and responsible lending
practices.

 Innovation and Digital Transformation: Innovation is at the core of Jio Financial's

diversification strategy. The company is continuously exploring new technologies, business
models, and financial solutions to stay ahead of the competition. Digital transformation
initiatives are aimed at enhancing operational efficiency, reducing costs, and improving
customer experience.

Jio Financial Services Limited (JFSL) has a strong focus on financial inclusion, aiming to bring a wide
range of financial services to underserved and unbanked populations in India. Here are some key aspects
of their approach:

Digital Accessibility
 Mobile-First Strategy: Leveraging the extensive reach of Jio’s telecom network, JFSL ensures
that financial services are accessible via mobile devices, making it easier for people in remote
and rural areas to access banking and financial products.

 User-Friendly Platforms: JFSL designs its digital platforms to be intuitive and easy to use,
catering to users with varying levels of digital literacy.

Affordable Financial Products

 Low-Cost Services: JFSL offers financial products at competitive rates, ensuring affordability
for a broader audience. This includes low-cost insurance plans, minimal fees for banking
services, and competitive interest rates on loans.

pg. 81
  Microfinance Solutions: The company provides microloans and other financial products
tailored to the needs of small businesses and low-income individuals, helping them to grow and
sustain their economic activities.

Partnerships and Collaborations

 Collaborations with Local Entities: JFSL partners with local financial institutions,
cooperatives, and community organizations to extend its reach and provide tailored financial
solutions that meet the specific needs of different communities.

 Government Initiatives: The company aligns with government programs aimed at financial
inclusion, such as the Pradhan Mantri Jan Dhan Yojana (PMJDY), to ensure that its services
complement national efforts to increase financial access.

Financial Literacy Programs

 Educational Initiatives: JFSL conducts financial literacy programs to educate individuals
about managing their finances, understanding financial products, and making informed
financial decisions.

 Workshops and Training: The company organizes workshops and training sessions in
collaboration with local organizations to enhance financial literacy and awareness among
underserved populations.

Innovative Financial Solutions

 Digital Wallets and UPI: JFSL promotes the use of digital wallets and Unified Payments
Interface (UPI) to facilitate cashless transactions, making it easier for people to manage their
finances without relying on traditional banking infrastructure.

 Instant Loan Approvals: By leveraging advanced technology and data analytics, JFSL offers
instant loan approvals, reducing the time and paperwork typically associated with loan
applications.

Customer Support and Assistance

 Multilingual Support: To cater to a diverse population, JFSL provides customer support in
multiple languages, ensuring that language barriers do not hinder access to financial services.

 Community Outreach: The company engages in community outreach programs to understand

the unique financial needs of different communities and provide customized solutions.

Commitment to Sustainability
 Inclusive Growth: JFSL is committed to promoting inclusive growth by ensuring that its
financial services contribute to the overall economic development of underserved regions.

 Sustainable Practices: The company adopts sustainable practices in its operations, aiming to
create long-term value for its customers and stakeholders.

pg. 82
Jio Financial Services (JFS) and BlackRock have formed a 50:50 joint venture called Jio BlackRock to
enter India's asset management industry. Here are the key details:

 Investment and Structure: Both JFS and BlackRock are investing $150 million each, making
the total initial investment $300 million². This joint venture aims to leverage BlackRock's
expertise in investment management and JFS's local market knowledge and digital
infrastructure.

 Objective: The primary goal of Jio BlackRock is to provide affordable, innovative investment
solutions to millions of investors in India. The partnership aims to democratize access to
financial investment solutions through a digital-first approach.

 Strategic Importance: This venture is seen as a significant move to disrupt the Indian asset
management industry. It combines BlackRock's global scale and investment expertise with
JFS's robust execution capabilities and deep market understanding.

 Leadership and Operations: The joint venture will have its own management team and will
operate independently once it receives the necessary regulatory and statutory approvals.

 Market Impact: This partnership is expected to introduce a new player with a unique
combination of scope, scale, and resources, potentially transforming the financial futures of
many investors in India.

Conclusion
Jio Financial Services has established itself as a formidable player in the financial services sector. With
a strong stock performance, impressive financial metrics, and a well-defined business model, the
company is poised for continued growth. The future plans and diversification strategies of Jio Financial
reflect its commitment to innovation, customer satisfaction, and sustainable development.
The company's focus on advanced technologies, financial inclusion, and strategic partnerships positions
it well to navigate the evolving financial landscape. As Jio Financial continues to expand its product
portfolio, explore new markets, and enhance customer experience, it is expected to play a significant
role in shaping the future of financial services in India and beyond.
Jio Financial's journey is a testament to the power of strategic vision, operational excellence, and
customer-centricity. As the company moves forward, it remains committed to creating value for its
shareholders, customers, and society at large.

pg. 83
Name: Jain Varsha Alkeshkumar
Enrollment No: 237780595014
MBA III (95)
Subject: Introduction to FinTech and Financial Analytics (Fin.Tech.)
Subject Code:1539505
Company Name: Pine Labs
Submitted to: Dr. Nili Shah
Som Lalit Institute of Business Management

pg. 84
ABOUT PINE LABS:
Pine Labs is a leading merchant commerce omnichannel platform operating across India,
Middle East, and Southeast Asia. Pine Labs' tech-first approach to digital payments and focus
on simplification at the front end aims to help many businesses embrace fintech products at
scale.
In digital payments, our online payments cloud-based software Plural represents a one-stop
payments destination across channels. Plural is designed to deliver secure and frictionless
online payment experiences to the end user, powered by an advanced tech stack that can
augment an existing online business or build an all-new e-commerce payment setup from the
ground up.
Our Issuing business is powered by Qwikcilver - Qwikcilver offers a cutting-edge, full-stack,
end-to-end technology service solution in the Pre-paid Transaction Management, Gift Cards,
and Sales/ Distribution Space, with a strong presence in multiple countries and live service
engagements with leading brands and major customers from the Retail, Hospitality and Airline
Industries, across the following geographical regions; South Asia - India, South East Asia and
the Far East - Singapore, Malaysia, Indonesia, Philippines, Middle East and Africa - Dubai,
Abu Dhabi, South Africa, Europe - Luxembourg and Czech Republic, Australia, New Zealand
and Hawaii in the United States of America, at the present moment.
In consumer app, Fave is a fintech platform for the next generation of consumers, providing
smart payments and savings, while empowering merchants with a loyalty solution to grow and
engage with their customers in a whole new way.
Pine Labs is an Indian company that provides point of sales systems and payment systems,
founded in 1998. The company has a valuation of over US$5 billion.

The company makes Android-based point of sale (PoS) machines and has more than 70,000
retailers across India, including retail outlets such as Spencer's Retail, Pantaloons, Shoppers
Stop, and Westside. It also has a presence in other countries, primarily in Asia, such as India,
UAE, Singapore and Malaysia. On 21 May 2024 Pine Labs got approval from Singapore Court
to dissolve its Singapore branch.

Some of its notable investors include LonePine, PayPal, Temasek Holdings, Actis Capital,
Altimeter Capital, Sofina, and Sequoia Capital.

Industry Fintech
Founded 1998
Founder Lokvir Kapoor
Rajul Garg
Headquarters Noida Uttar Pradesh (Corporate Office) Gurgaon,
Haryana (Registered Office), India
Area served India, Middle east, Southeast Asia
Key people B. Amrish Rau(CEO), Lokvir Kapoor (Executive chairman)
Product myPlutus app, Plutus smart, pine labs genie
Subsidiaries Qwikcilver Solutions Pvt Ltd
Website pinelabs.com

pg. 85
 HISTORY:
The company was founded in 1998.The company evolved from petroleum retail automation to
becoming a payments products and services firm for merchants. It has over 100,000 merchants
in India and other Asian countries. Pine Labs has sold over 850,000 PoS terminals in India.
In 2004, Pine Labs ventured into mainstream payments and financial offerings for merchants.
The company acquired gifting startup Qwikcilver for $110 million in March 2019.
In February 2019, the company partnered with RAKBANK to launch a payment platform in
the UAE. In March 2018, Google Pay entered into partnership with Pine Labs to capture the
offline payments space in India. The company partnered with Union Pay in January 2019.
In April 2021, Pine Labs acquired Southeast Asian deals and cash-back platform Fave for $45
million. Fave's co-founders Joel Neoh, Yeoh Chen Chow, and Arzumy MD, will continue
working in the company to expand its presence across Southeast Asia and India.
In August, 2021 the company suffered a data breach exposing the data of up to 500,000 of its
users to hackers, which raised several concerns on its capabilities to protect sensitive customer
information.
In January 2022, Pine Labs filed confidentially for an initial public offering (IPO) with the U.S.
Securities and Exchange Commission seeking to raise about $500 million later that year at a
valuation of $5.5 – 7 billion.
In August 2024, it secured approval from the National Company Law Tribunal for its planned
merger of its Indian and Singaporean entities.

MISSION:
To enrich the world through the power of digital commerce and financial services.

VISSION:
Build the best commerce and fintech platform from Asia for the world .

CULTURE:
At Pine Labs, we say 'Every Day is Game Day'. Everything that we do, we make sure we give
it our all. We play fair. We don't just play to win; we play to become the champions of our field.

pg. 86
FUNDING :
In May 2018, Pine Labs raised $125 million (₹843 crores) from Temasek Holdings and PayPal,
making it one of the unicorn startup companies with a valuation of over $1 billion.
In March 2018, the company raised $82 million (₹530 crores) from Actis Capital, a private
equity fund and Altimeter Capital, a California-based investment company.[24] It had also
raised funds in 2015 from Sofina and in 2009 from Sequoia Capital.[25][26] As of May 2018,
It has raised a total of $208 million.
In May 2019, it was listed among the top 10 highest-funded startups in India by CNBC TV18.In
Jan 2020, it announced it had raised an undisclosed sum from Mastercard .In December 2020,
it raised US$75-$100 million led by US based billionaire Stephen Mandel's hedge fund Lone
Pine Capital. After this funding Pine Labs valuation increased to more than US$2 billion. In
July 2021, it raised $325 million at a valuation of $3.5 billion from Fidelity and Blackrock.

PRODUCTS AND SERVICES:

The company provides POS devices that allow merchants to accept credit and debit card
payments.

BUSINESS MODEL:
 Payment Processing: Pine Labs offers secure and seamless platforms for merchants to
accept payments through various modes such as credit/debit cards, UPI, and digital
wallets. By ensuring a smooth transaction process, it helps businesses enhance their
payment experiences and operational efficiency.
 Financial Services: The company provides merchants and consumers with flexible
financing options, such as EMI (Equated Monthly Installments) and Buy Now Pay
Later (BNPL) schemes. It also offers loans to help businesses manage their cash flow
and consumers make affordable purchases.
 Data Analytics: Pine Labs leverages data analytics to gain insights into consumer
behavior and emerging market trends. This data-driven approach helps businesses make
informed decisions, optimize their marketing strategies, and improve overall customer
engagement
 Merchant Partnerships: Pine Labs partners with a wide range of merchants, from small
and medium-sized businesses to large retailers, by offering tailored payment solutions.
These partnerships help merchants integrate efficient payment systems and benefit from
Pine Labs’ expertise in enhancing business performance.

pg. 87
KEY PRODUCT:
 POS Terminals: Pine Labs provides Point of Sale (POS) terminals that cater to the needs
of businesses of all sizes, ranging from small shops to large supermarkets. These
terminals facilitate quick, secure, and hassle-free in-store transactions, helping
businesses improve their checkout efficiency.
 Mobile Wallets: Pine Labs supports secure and convenient payments through mobile
wallets. By integrating with various popular wallets, it enables businesses to accept
payments digitally, thereby offering customers a wider range of payment options.

 Payment Gateway: Pine Labs offers a reliable payment gateway that ensures smooth
and seamless transactions between merchants and consumers in online settings. The
gateway provides a secure platform for payments, enhancing customer trust and
reducing transaction failures.
 Financial Services: Pine Labs also extends financial services such as loans and credit
options to both merchants and consumers. These services are aimed at improving cash
flow for businesses and making purchases more affordable for consumers through
credit facilities like EMI and Buy Now Pay Later (BNPL) options.

Operating revenue of Pine Labs from financial year 2018 to 2023:

year Revenue in billion Indian rupees

FY 2018 3.32
FY 2019 4.92
FY 2020 7.26
FY 2021 8.46
FY 2022 10.17
FY 2023 12.81

In the financial year 2023, Indian merchant commerce Pine Lab's operating revenue
was 12.81 billion Indian rupees, an increase from the previous year's revenue. Pine Labs
is a merchant platform that helps businesses accept multiple modes of payment.

pg. 88
NEWS AND ARTICLE:

News:1
Pine Labs announces strategic organisational restructuring
Mumbai, August 29, 2024 – Leading fintech company Pine Labs today announced key changes
in its Senior Leadership team.
Industry veteran and Pine Labs’ Chief Transformation Officer Sumit Chopra transitions to a
new role of COO – Pine Labs, Digital Payments. In this new role, Sumit will lead the digital
payments business for the company and will spearhead sales, customer experience, and
operational excellence.
Chief Business Officer Kush Mehra who has built the digital payments business from inception
will take over the responsibility of expanding existing and new business opportunities for Pine
Labs in India and overseas markets like Southeast Asia and the Middle East.
Commenting on the restructuring, Pine Labs CEO, B Amrish Rau, said, “Today’s
announcement further solidifies our Leadership Team and plays to the strength of each of our
highly experienced Leaders. This new structure will deliver operational excellence and
strengthen Pine Labs’ business expansion objectives in Asia and overseas markets. I am
grateful for the efforts and commitment of these Leaders and their acceptance of new
challenges in these restructured roles.

News:2
Pine Labs and Visa announce partnership to boost digital payments adoption across Bharat
Pine Labs - Visa
Jointly unveil Pine Labs Mini – A soundbox-enabled device for QR, NFC, and card payments
Present an eco-friendly upgrade option for merchants using printed QR codes in stores
Offer a low-cost point-of-sale payment product for potential mass adoption in Tier 3-6 cities
Mumbai, August 28, 2024 – Leading fintech Pine Labs and Visa, the global leader in global
payments have come together to scale digital payments acceptance and further India’s vision
of a digital economy by unveiling Pine Labs Mini, a soundbox-enabled device for QR, Near
Field Communication (NFC) and card payments.
The partnership aims to significantly upgrade the in-store payment experience of millions of
merchants across the country who currently rely on only printed QR codes or low-tech
solutions. This development will also provide a valuable choice to the millions of consumers
who want to pay digitally at the time of checkout.
Announced on the sidelines of the Global Fintech Fest (GFF) in Mumbai by Pine Labs’ Chief
Business Officer Kush Mehra and Visa India and South Asia’s Head of Merchant Sales &
Acquiring (MS&A) Rishi Chhabra, Pine Labs Mini is a payment acceptance device built for

pg. 89
the masses. This eco-friendly and economical digital payment device – equipped with QR,
card, and NFC capabilities – is specifically designed for small and medium-sized merchants. It
will enable them to capitalise on the growing consumer adoption of tap-to-pay card (and
smartphone) payments and UPI in India.
“Pine Labs Mini unveiled in partnership with Visa today caters to the needs of India’s
micropreneurs and small-scale businesses who have so far stayed away from digital payments
adoption due to the perceived cost barriers. We believe Mini’s launch will pave the way for
others to start building for mass-use, digital-first payment products,” said B Amrish Rau, CEO
of Pine Labs.
Commenting on the partnership Rishi Chhabra, Vice President, Head of Merchant Sales &
Acquiring (MS&A) Visa India and South Asia, said, "Visa is delighted to partner with Pine
Labs to accelerate digitization among merchants with the launch of the new Pine Labs Mini.
We believe this will transform the way small businesses accept transactions, especially
contactless payments through cards and smartphones. We continue strengthening our
commitment to delivering inclusive, economically viable solutions for merchants of all sizes
to accept digital payments in India.”
Earlier this month, Pine Labs subsidiary Setu had announced the launch of UPISetu, a platform
for businesses and developers to make the most of the advances happening in the UPI space.
About Visa
Visa (NYSE: V) is a world leader in digital payments, facilitating transactions between
consumers, merchants, financial institutions, and government entities across more than 200
countries and territories. Our mission is to connect the world through the most innovative,
convenient, reliable and secure payments network, enabling individuals, businesses and
economies to thrive. We believe that economies that include everyone everywhere, uplift
everyone everywhere and see access as foundational to the future of money movement. Learn
more at Visa.com.

pg. 90
 Introduction to FinTech and financial Analytics
A Project Report
On
Paytm

Submitted to: Dr. Nili shah

Submitted by: Khyati Sukhadiya

Enrolment No.: 237780595061

Som Lalit Institute of Management Studies

pg. 91
 Paytm
1. Introduction to Paytm
Paytm (Pay Through Mobile) is an Indian multinational financial technology company that has
significantly transformed the digital payments and financial services sector in India. Founded in August
2010 by Vijay Shekhar Sharma, Paytm is headquartered in Noida, Uttar Pradesh, India. The company
operates under its parent organization, One97 Communications.
2. Early History and Evolution
Paytm began as a prepaid mobile and DTH recharge platform. The initial investment of $2 million by
Vijay Shekhar Sharma laid the foundation for what would become one of India’s largest fintech
companies. Over the years, Paytm expanded its services to include bill payments, ticket bookings, and
e-commerce. The launch of the Paytm Wallet in 2014 marked a significant milestone, making it a
popular payment method for various services, including Indian Railways and Uber.
3. Key Milestones
 2010: Paytm was founded.

 2014: Launch of Paytm Wallet.

 2015: Expansion into e-commerce and ticketing services.

 2017: Launch of Paytm Payments Bank.

 2021: Paytm’s parent company, One97 Communications, went public with the largest IPO in
India at the time.

4. Services Offered
Paytm offers a comprehensive range of services:
 Digital Payments: Paytm provides mobile payments, QR code payments, and online payment
gateways. Users can pay for utilities, recharge their phones, and make purchases at various
merchants using the Paytm app.

 Financial Services: Paytm offers microcredit, buy now pay later (BNPL) services, insurance,
and wealth management through Paytm Money. Paytm Money allows users to invest in mutual
funds, stocks, and digital gold.

 E-commerce: Paytm Mall is the company’s e-commerce platform, offering a wide range of
products from electronics to fashion. Additionally, Paytm facilitates ticket booking for movies,
travel, and events.

 Banking: Paytm Payments Bank provides savings accounts, fixed deposits, and other banking
services. It also offers a debit card and facilitates UPI transactions.

5. Business Model
Paytm’s business model is diversified and includes multiple revenue streams:

pg. 92
  Transaction Fees: Paytm charges a small fee for transactions made through its platform,
particularly from merchants.

 Merchant Services: Paytm provides payment solutions to merchants, including QR code

payments and point-of-sale (POS) systems. Merchants pay a fee for these services.

 Financial Products: Paytm offers various financial products such as insurance, loans, and
investment options. These products generate revenue through interest, premiums, and
management fees.

 Advertising: Paytm generates revenue through advertisements on its platform. Brands and
businesses pay to advertise their products and services to Paytm’s large user base.

6. Technological Innovations
Paytm has introduced several technological innovations to enhance user experience and security:
 Paytm Soundbox: A device that provides instant audio confirmation of payments, making it
easier for merchants to verify transactions.

 Paytm QR Code: Simplifies payments for merchants and customers by allowing quick and
easy transactions through scanning.

 Paytm UPI: Integration with Unified Payments Interface (UPI) enables seamless and instant
bank-to-bank transactions.

7. Strategic Partnerships and Investments

Paytm has formed strategic partnerships and attracted significant investments from various global
entities:
 Alibaba Group and Ant Financial: These Chinese conglomerates have made substantial
investments in Paytm, providing not only financial support but also strategic guidance.

 SoftBank and SAIF Partners: These major investors have played a crucial role in Paytm’s
growth and expansion.

8. Impact on the Fintech Landscape

Paytm has been instrumental in promoting digital payments and financial inclusion in India. By
providing easy-to-use digital payment solutions, Paytm has brought millions of unbanked and
underbanked individuals into the formal financial system. The company’s efforts align with the Indian
government’s push for a cashless economy and have significantly contributed to the digital
transformation of financial services in India.

9. Challenges and Criticisms

Despite its success, Paytm has faced several challenges:
 Regulatory Hurdles: Navigating the complex and evolving financial regulations in India has
been a significant challenge for Paytm.

pg. 93
  Competition: Paytm faces intense competition from other fintech companies like Google Pay,
PhonePe, and traditional banks, which offer similar services.

 Profitability: Achieving sustainable profitability while expanding its range of services and
maintaining a large user base has been a persistent challenge.

10. Future Prospects

Paytm continues to innovate and expand its services. The company aims to bring 500 million unserved
and underserved Indians into the mainstream economy. Future plans include:
 Expanding Financial Services: Paytm plans to enhance its offerings in insurance, lending, and
wealth management.

 Technological Advancements: Continued investment in technology to improve user

experience and security.

 Exploring New Markets: Paytm is looking to expand its footprint beyond India and explore
opportunities in other emerging markets.

Paytm employs a variety of measures to ensure the security of its users’ data and transactions. Here are
some key aspects of Paytm’s security framework:
1. Data Encryption
Paytm uses advanced encryption technologies to protect user data. This includes:
SSL Encryption: Secure Socket Layer (SSL) encryption ensures that data transmitted between the user’s
device and Paytm’s servers is secure and cannot be intercepted by malicious actors.
AES Encryption: Advanced Encryption Standard (AES) is used to encrypt sensitive data stored on
Paytm’s servers.
2. Two-Factor Authentication (2FA)
Paytm implements two-factor authentication to add an extra layer of security. Users are required to
verify their identity through a second factor, such as a one-time password (OTP) sent to their registered
mobile number, in addition to their password.

3. Secure Payment Gateways

Paytm’s payment gateways are designed to be secure and reliable. They comply with the Payment Card
Industry Data Security Standard (PCI DSS), which ensures that all card transactions are processed
securely.

4. Regular Security Audits

Paytm conducts regular security audits and vulnerability assessments to identify and address potential
security risks. These audits are performed by both internal teams and external security experts.
5. Fraud Detection and Prevention
Paytm uses machine learning algorithms and artificial intelligence to detect and prevent fraudulent
activities. These systems monitor transactions in real-time and flag any suspicious behavior for further
investigation.

pg. 94
6. User Education
Paytm educates its users about best practices for online security. This includes tips on creating strong
passwords, recognizing phishing attempts, and safeguarding personal information.
7. Compliance with Regulations
Paytm complies with all relevant financial regulations and standards, including the Reserve Bank of
India’s guidelines for digital payments and data security. This ensures that Paytm’s security measures
are in line with industry best practices.
8. Secure Development Practices
Paytm follows secure software development practices, including regular code reviews and security
testing. This helps to identify and fix vulnerabilities in the application before they can be exploited.
9. Incident Response
Paytm has a dedicated incident response team that is prepared to respond to security incidents promptly.
This team works to mitigate the impact of any security breaches and to prevent future incidents.
10. User Control
Paytm provides users with control over their account security settings. Users can enable or disable
features such as biometric authentication, set transaction limits, and monitor their account activity for
any unauthorized access

Some of the latest updates and actions by Paytm:

SEBI Notice to Founder: Paytm recently clarified that a notice from the Securities and Exchange Board
of India (SEBI) to its founder, Vijay Shekhar Sharma, was an old development. The company
emphasized its commitment to transparency and compliance with regulatory requirements¹.

Stock Performance: Paytm's shares have surged by 54% in the last three months, rebounding 79%
from their May lows. This recovery is attributed to strategic moves such as focusing on core areas like
payments and financial service distribution.

Comparisons with AI: Vijay Shekhar Sharma, Paytm's founder, recently made headlines by comparing
ChatGPT to Taylor Swift, suggesting that Perplexity AI is more intelligent. This reflects Sharma's
interest in the evolving AI landscape.

Health Saathi Plan: Paytm has launched a new health insurance plan called 'Health Saathi' at just ₹35
per month. This plan aims to provide affordable health coverage to a broader audience.

pg. 95
Metro and FASTag Services: Paytm has streamlined metro rides with easy QR ticket purchases and
smart card recharges. Additionally, it offers simplified FASTag recharge and HDFC Bank FASTag
purchase options.

Annual General Meeting: One97 Communications, Paytm's parent company, is set to hold its 24th
Annual General Meeting on September 12. The company has released its FY 2023-24 annual report,
highlighting its financial performance and future plans.

pg. 96
 Subject: Fintech
Name: Krisha Thakkar
Enrollment No: 237780595064
Submitted to: Dr. Nili Shah
Company: Instamojo
MBA Sem-III
Som-Lalit Institute of Management Studies

pg. 97
 Instamojo: Overview

Instamojo was founded in 2012. It is headquartered in Bengaluru, India. Instamojo is a

prominent Indian e-commerce platform that has been at the forefront of enabling individuals
and businesses, particularly Micro, Small, and Medium Enterprises (MSMEs), to establish
and grow their online presence. Since its inception in 2012, Instamojo has positioned itself as
a key player in India's digital economy, helping entrepreneurs and small businesses easily
transition to online selling.

Instamojo offers a user-friendly platform that simplifies the process of selling products and
services online. It provides a secure and efficient payment gateway, allowing users to manage
transactions with ease. The platform's intuitive interface enables users to create an online
store, add products, and start selling within minutes, without the need for extensive technical
expertise.

One of the core strengths of Instamojo is its commitment to making e-commerce accessible to
everyone, particularly those in the MSME sector. By eliminating the complexities typically
associated with setting up an online business, Instamojo empowers small businesses to
compete on a level playing field with larger enterprises.

Mission:
Instamojo's mission is to empower MSMEs across India to become truly enterprising and
actively participate in the digital economy. The company is dedicated to providing the tools
and support that small businesses need to grow and thrive in an increasingly digital world. By
simplifying online commerce and offering robust solutions, Instamojo aims to help MSMEs
unlock their full potential, drive innovation, and contribute significantly to India's economic
growth.

Through its continuous efforts to support and uplift the MSME sector, Instamojo plays a
crucial role in fostering entrepreneurship and digital inclusion in India. The platform's vision
aligns with the broader goal of integrating more businesses into the digital ecosystem,
ensuring that they are well-equipped to leverage the opportunities of the modern economy.

pg. 98
 Business Operations

Instamojo is not just a platform for online selling; it is a comprehensive ecosystem designed
to support the business operations of Micro, Small, and Medium Enterprises (MSMEs) in
India. The company offers a wide range of services that help merchants manage their
businesses effectively and efficiently. Below is an in-depth look at the key aspects of
Instamojo's business operations:

1. Payment Processing
Instamojo provides a robust payment processing system that supports a wide variety of
payment options, making it easier for businesses to cater to diverse customer preferences.
The platform supports credit and debit cards, net banking, UPI, mobile wallets, and even
international payments. This extensive range of payment options ensures that customers can
pay through their preferred method, which enhances the overall shopping experience and
boosts sales for merchants.

2. E-commerce Platform:
The cornerstone of Instamojo’s operations is its user-friendly e-commerce platform. Designed
with simplicity and functionality in mind, this platform allows merchants to set up their
online stores with ease. The intuitive interface enables users to list products, manage
inventory, and process orders without needing extensive technical knowledge. This simplicity
empowers MSMEs to quickly establish an online presence and start selling, thereby reducing
the time and cost barriers typically associated with e-commerce.

3. Shipping and Logistics:

Instamojo partners with reliable logistics providers to offer seamless shipping solutions to its
merchants. The platform simplifies the shipping process by integrating with major logistics
partners, allowing merchants to easily manage orders and track shipments. This integration
ensures timely delivery of products, enhances customer satisfaction, and reduces the
operational burden on merchants, allowing them to focus on growing their businesses.

4. Customer Support:
Understanding the importance of customer service, Instamojo offers multi-channel support to
both merchants and their customers. The support team is accessible via email, phone, and live
chat, providing timely assistance and resolving issues efficiently. This multi-channel
approach ensures that users can get help when they need it, which is crucial for maintaining
smooth operations and customer satisfaction.

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5. Merchant Acquisition:
Instamojo has a dedicated merchant acquisition team responsible for bringing new businesses
onto the platform and promoting their success. This team actively reaches out to potential
merchants, educates them about the benefits of using Instamojo, and assists them in setting up
their online stores. By focusing on merchant acquisition, Instamojo ensures a steady growth
of its user base, while also helping businesses expand their reach in the digital marketplace.

6. Product Development:
Instamojo is committed to continuous innovation and regularly develops new features to meet
the evolving needs of its users. The platform’s product development team works tirelessly to
introduce enhancements that improve user experience, such as better payment options, more
customization for online stores, and advanced analytics tools. These ongoing improvements
help merchants stay competitive and adapt to changing market dynamics.

7. Risk Management:
Risk management is a critical component of Instamojo’s operations. The platform employs
advanced fraud detection and prevention mechanisms to protect both merchants and
customers from fraudulent transactions. By using machine learning algorithms and real-time
monitoring, Instamojo ensures that transactions are secure, which helps maintain trust and
confidence in the platform. This focus on security is essential for safeguarding the financial
integrity of businesses using Instamojo.

pg. 100
 Who Manages the Company

Instamojo is driven by a dynamic leadership team that brings together a wealth of experience
and expertise in technology, business development, and marketing. The leaders at Instamojo
are committed to empowering Micro, Small, and Medium Enterprises (MSMEs) across India
by providing them with the tools they need to succeed in the digital economy. Below is an
overview of the key figures managing the company:

1. Sampad Swain - Co-founder and CEO

Sampad Swain is the Co-founder and Chief Executive Officer (CEO) of Instamojo. As the
visionary behind the company, Sampad plays a critical role in shaping the strategic direction
of Instamojo. With a deep understanding of the challenges faced by MSMEs in India, he has
led the company’s mission to simplify e-commerce and financial transactions for small
businesses. Under his leadership, Instamojo has grown from a simple payment gateway to a
comprehensive platform that supports a wide range of business operations.

2. Akash Gehani - Co-founder and COO

Akash Gehani, the Co-founder and Chief Operating Officer (COO), is responsible for
overseeing the day-to-day operations at Instamojo. His role involves ensuring that the
company’s processes are efficient and aligned with its strategic goals. Akash’s background in
operations and business management allows him to drive operational excellence across the
company, making sure that Instamojo delivers consistent value to its users.

3. Aditya Sengupta - CTO

Aditya Sengupta serves as the Chief Technology Officer (CTO) at Instamojo. He leads the
technology and product development teams, focusing on building and enhancing the
platform’s technical infrastructure. Aditya’s expertise in software development and system
architecture ensures that Instamojo remains at the cutting edge of technology, providing
reliable and scalable solutions for its users. His leadership in technology helps Instamojo
continuously innovate and adapt to the changing needs of the digital market.

4. Vivek Patel - Co-founder and Head of Marketing

Vivek Patel, another Co-founder of Instamojo, heads the marketing department. As the Head
of Marketing, Vivek is responsible for building the Instamojo brand and driving customer
acquisition. His role involves crafting and executing marketing strategies that resonate with
the MSME community, helping Instamojo reach a broader audience. Vivek’s marketing

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initiatives are instrumental in positioning Instamojo as a leading platform for small
businesses in India.

Strategic Partnerships:
Instamojo’s success is also supported by a range of strategic partnerships that enhance the
platform’s capabilities and broaden its reach. These partnerships are critical in providing
additional value to Instamojo’s users, integrating essential services, and expanding the
company’s market presence. Key partnerships include:

 Shopify

Instamojo has partnered with Shopify, one of the world’s leading e-commerce platforms. This
partnership allows Instamojo users to easily integrate their online stores with Shopify, giving
them access to a wide range of tools for building and managing their e-commerce websites.
The collaboration enhances the flexibility and scalability of Instamojo’s offerings, enabling
MSMEs to expand their online presence with ease.

 WooCommerce

The partnership with WooCommerce, a popular open-source e-commerce plugin for

WordPress, enables Instamojo to offer seamless integration with WordPress websites. This
allows merchants using WooCommerce to leverage Instamojo’s payment gateway and other
services, simplifying the process of managing an online store. This partnership is particularly
valuable for small businesses that rely on WordPress for their online operations.

 PayPal

Instamojo’s collaboration with PayPal expands the range of payment options available to its
users, especially for those engaging in international transactions. By integrating PayPal into
its platform, Instamojo provides its merchants with a secure and trusted method for
processing payments from customers around the world. This partnership supports Instamojo’s
mission to make online selling accessible to a global audience.

 Google

Instamojo has also partnered with Google to enhance its digital offerings. This partnership
includes integrating Google’s advertising and analytics tools, which helps merchants on
Instamojo to effectively market their products and track their performance online. Through
this collaboration, Instamojo users can optimize their digital marketing efforts, improve
customer engagement, and drive more sales.

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 Financial Data

Revenue Rs 46 crore
Transaction volume $1.2 Billion
Customer Base 250,000+
Profitability Profitable
Total Funding $15.2M in 9 rounds

- Revenue: Instamojo has achieved an annual revenue of ₹46 crore, reflecting its successful
monetization of services such as payment processing and e-commerce tools for MSMEs.

- Transaction Volume: The platform handles $1.2 billion in transactions annually, showcasing
its capacity to process a significant volume of payments securely and efficiently.

- Customer Base: Instamojo serves a growing customer base of over 250,000+ businesses,
ranging from small enterprises to individual entrepreneurs, highlighting its wide adoption
across India.

- Profitability: The company has reached profitability, indicating a healthy balance between
revenue generation and operational costs, ensuring long-term financial sustainability.

- Total Funding: Instamojo has raised $15.2 million across 9 funding rounds, enabling the
company to expand its services, innovate, and scale its operations.

pg. 103
 Latest News and Articles

Exit from Payments Gateway Business

Instamojo has recently decided to exit the payments gateway business. This strategic move comes
after the Reserve Bank of India (RBI) returned the company’s application for a Payment Aggregator
(PA) license. Instead of reapplying, Instamojo has chosen to partner with other payment aggregators
such as RazorPay, Cashfree, PhonePe, and CCAvenue. This decision allows Instamojo to focus on its
core strengths and leverage the capabilities of established payment processors to continue offering
seamless payment solutions to its merchants.

Focus on E-commerce and Software Solutions

With the exit from the payments gateway business, Instamojo is shifting its focus towards e-
commerce and software solutions. The company is rebranding itself as a direct-to-consumer (D2C)
technology platform. This transition involves enhancing its e-commerce platform, developing new
features, and providing software-as-a-service (SaaS) solutions to support small and medium-sized
businesses. Instamojo aims to increase the contribution of its SaaS offerings to its overall revenue,
targeting a 60% share from SaaS in the next three years.

Financial Challenges and Recovery Efforts

Instamojo has faced significant financial challenges, particularly after the RBI’s decision on its PA
license application. The company’s revenue dipped by about 70% in the third quarter of the last
financial year. However, recent months have shown signs of recovery, with revenue increasing by 20-
25% in July compared to the first quarter of this year. Instamojo is focusing on rebuilding its financial
health, aiming to achieve EBITDA profitability by the third quarter of the current financial year. The
company is also working on clearing its debts and plans to expand its market presence beyond India
by FY26.

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