Bengaluru-based fintech startup Cashfree Payments has secured $53 million (about ₹450 crore) in a funding round led by South Korean gaming giant KRAFTON. The funding also saw continued participation from Apis Growth Fund II, a private equity fund managed by Apis Partners Group.

This marks Cashfree Payments’ first external funding round since June 2021, bringing its total capital raised over its nine-year journey to approximately $95 million. The fresh funds will be used to enhance the company’s market outreach, strengthen payment infrastructure, and drive global expansion, particularly in the Middle East and the UAE.

Strengthening Domestic Reach and Expanding Internationally

Cashfree Payments aims to leverage the new capital to deepen its presence in India and expand its services globally. The company is particularly eyeing the Middle East and UAE as its next key markets.

Akash Sinha, CEO and co-founder of Cashfree Payments, emphasized that the funding will fuel the company’s next growth phase, focusing on cross-border payment solutions, security innovations, and international expansion.

“This investment will help us accelerate our key efforts—across cross-border payments, security innovations, and international expansion—as we enter the next phase of our growth journey. Growing sustainably has been core to our identity and how we function at Cashfree Payments. We are focused on driving profitable growth as we scale,” said Sinha.

Cashfree has been steadily expanding its payment offerings and onboarding a growing list of enterprise clients. The company’s payment processing technology currently handles up to 12,000 transactions per second, making it one of the most scalable solutions for businesses in India.

Enhancing Payments and Fraud Prevention with Secure ID

Cashfree Payments is investing heavily in fraud prevention and security innovation. The company recently launched Secure ID, an advanced identity verification stack designed to help fintech companies and businesses streamline user onboarding, reduce drop-offs, and detect fraudulent activities.

The Secure ID suite includes a range of APIs and KYC solutions, enabling businesses to comply with financial regulations while ensuring secure digital transactions. The platform has already powered over one billion identity verifications.

By improving fraud detection and prevention mechanisms, Cashfree aims to strengthen consumer trust and reduce risk for businesses using its payment solutions.

Embedded Payments and Full-Stack Solutions

As part of its expansion strategy, Cashfree has introduced Embedded Payments, a feature that allows businesses such as SaaS providers, ERP platforms, and digital marketplaces to seamlessly integrate payment functionalities into their systems.

This move aligns with the company’s mission to provide a full-stack digital payment infrastructure catering to the needs of diverse businesses. The integration of Embedded Payments helps companies reduce compliance risks and enhance customer experience, making digital transactions smoother.

Investor Confidence and KRAFTON’s Vision for Indian FinTech

KRAFTON, best known for developing popular gaming titles such as PUBG Mobile and Battlegrounds Mobile India (BGMI), has been actively investing in India’s growing technology and startup ecosystem. This investment in Cashfree Payments signals KRAFTON’s long-term interest in India’s fintech sector.

Sean Hyunil Sohn, CEO of KRAFTON India, highlighted the importance of full-stack payment solutions in India’s rapidly evolving digital economy.

“India’s fintech industry is experiencing remarkable growth, and we believe Cashfree Payment’s dominant position in India can be replicated globally. As the media and entertainment sector and content consumption patterns in India continue to evolve, full-stack payment systems that specifically address the needs of this sector are crucial for enhancing user experience.

The investment is part of KRAFTON’s ongoing efforts to support innovative solutions that drive growth and foster a dynamic startup ecosystem. We look forward to further strengthening this partnership and exploring future opportunities.”

Regulatory Approvals and Client Portfolio

Cashfree Payments currently holds three key financial licences from the Reserve Bank of India (RBI):

  1. Online Payment Aggregator Licence
  2. Payment Aggregator Licence for Cross-Border Payments
  3. Prepaid Payments Instrument (PPI) Authorisation

These regulatory approvals give Cashfree a strong foothold in India’s payments ecosystem, allowing it to process domestic and international transactions securely.

The company serves an impressive clientele, including:

  • Swiggy
  • redBus
  • Zepto
  • BigBasket
  • Bajaj Finance

These partnerships highlight Cashfree’s reliability and scalability as a preferred payment solutions provider in India’s digital commerce ecosystem.

The Competitive Landscape and Future Outlook

The Indian fintech space is becoming increasingly competitive, with players like Razorpay, PayU, Pine Labs, and Paytm competing for dominance in digital payments and merchant services.

However, Cashfree Payments has carved out a unique position by focusing on:

  • Cross-border payments
  • Fraud prevention with Secure ID
  • Embedded payment solutions
  • High-speed transaction processing capabilities

With the new $53 million funding round, Cashfree is well-positioned to scale operations, enhance its security infrastructure, and expand globally.

Key Takeaways from Cashfree’s Growth Strategy

  1. Global Expansion Focus: Targeting the Middle East and UAE as primary international markets.
  2. Security Innovation: Strengthening fraud prevention mechanisms with Secure ID and KYC verification APIs.
  3. Embedded Payments: Enhancing digital platforms and SaaS businesses with seamless payment integration.
  4. Scalability: Handling up to 12,000 transactions per second, making it one of India’s most robust fintech solutions.
  5. Investor Backing: Strong support from KRAFTON and Apis Partners, ensuring long-term financial stability.

Conclusion: A Strategic Step Towards Fintech Leadership

Cashfree Payments’ latest $53 million funding marks a significant milestone in its growth journey, reinforcing its position as a leading fintech innovator in India. With a strong focus on cross-border expansion, security advancements, and embedded payment solutions, the company is well on track to disrupt global payment ecosystems.

KRAFTON’s strategic investment signals the increasing convergence of fintech and digital entertainment, highlighting the growing importance of seamless, secure, and scalable payment infrastructure.

As Cashfree Payments continues to expand its footprint globally, it remains one of India’s most promising fintech startups, driving digital transformation across businesses, fintech firms, and enterprise merchants.

With a clear roadmap for growth, the next phase for Cashfree Payments will be critical, as it navigates global expansion, regulatory compliance, and evolving fintech trends to solidify its position as a global payments powerhouse.

By Admin

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