Mumbai-based Fintech startup Vegapay has successfully raised $5.5 million in a Seed Funding round. The funding round was driven by Elevation Capital and saw additional participation from Eximius Ventures.

This latest round comes very next after the startup lofted $1.1 million in a Pre-Seed Funding round driven by Eximius in the year 2023.

The fresh raised funds will be utilized to amplify the product portfolio of Vegapay, concentrate on developing products and updating the regulatory compliances. Also, the company intends to allot a vital share of the raised funds to deploy high-ended designers, developers and engineers to foster innovation.

Through this, it aims to aid banks, NBFCs – Non-Banking Financial Companies and other financial institutions in introducing and handing the product innovations with extremely configurable, stretchy and personalized credit solutions.

Expressing the company’s commitment, Gaurav Mittal, CEO, Vegapay states, “Empowering financial institutions with cutting-edge technology isn’t just a vision; it’s a revolution. At Vegapay, we’re not just changing the game; we’re rewriting the rules, ensuring that innovation in financial technology isn’t a luxury for the few, but accessible to all”.

Likewise, Vaas Bhaskar, Principal at Elevation Capital says, “Financial institutions’ demand for modern credit platforms is accelerating at an unprecedented scale, driven by customers seeking best-in-class experiences and products, numerous embedded credit partnerships, and new form factors like credit on UPI and compliance requirements. These modern systems will form the foundation of all innovations by banks and credit providers. We see great potential in Vegapay’s solutions to fill this void. The team’s nuanced understanding of the needs of financial institutions further solidifies our excitement to partner with Vegapay in this journey”.