Cashfree, an Indian payments startup that processes over $80 billion annually for its customers, has secured $53 million in a Series C funding round, bringing its valuation to $700 million. The round was led by Krafton, the creator of global gaming hits like PUBG and BGMI, with participation from existing investor Apis Growth Fund.
The investment marks an unusual yet strategic partnership between a gaming giant and a fintech firm, highlighting the growing convergence of digital content and financial services. To date, Cashfree has raised nearly $100 million, fueling its ambitions to expand its footprint in international markets, particularly in the Middle East and North Africa (MENA) region.
Strategic Synergies Between Krafton and Cashfree
While the pairing of a gaming company and a payments startup may seem unconventional, both firms see significant value in the collaboration. Akash Sinha, co-founder and CEO of Cashfree, emphasized the potential for seamless payment flows tailored to smaller transaction sizes, a critical need for digital content platforms like Krafton’s.
“Krafton is deeply entrenched in the digital content ecosystem, and payment companies like ours see immense opportunities alongside sectors like e-commerce, travel, and financial services,” Sinha said in an interview. “This partnership allows us to build innovative payment solutions that cater to the evolving needs of digital businesses.”
For Krafton, the investment also strengthens its portfolio of Indian startups, many of which are exploring partnerships with Cashfree for their payment processing needs. While the two companies are not currently collaborating on games like BGMI, discussions are underway, and a formal partnership is expected soon.
“India’s fintech industry is booming, and we believe Cashfree’s leadership position in the domestic market can be replicated globally,” said Sean Hyunil Sohn, CEO of Krafton India. “This investment aligns with our broader strategy to support innovative Indian startups that have the potential to scale internationally.”
Cashfree’s Growth Trajectory
Founded in 2015 by Akash Sinha and Reeju Datta, Cashfree began as a simple service helping restaurant delivery workers collect cash payments in Bangalore. When clients requested online payment options, the founders recognized a larger opportunity in the payments space. Despite initial skepticism from investors, Y Combinator’s backing helped propel the startup onto a rapid growth trajectory.
Today, Cashfree offers a comprehensive suite of payment solutions, including payment gateways, automated payouts, and innovative features like PayToPhone for mobile number-based transfers and RiskShield for fraud prevention. Its technology stack supports up to 12,000 transactions per second during peak demand and includes SecureID, an identity verification system that has processed over a billion verifications to date.
The startup is one of the first to receive authorization from India’s central bank to operate as a payment aggregator for both domestic and international transactions. It counts major brands like Swiggy, Zepto, and Bajaj Finance among its clients and has recently secured licenses for cross-border transactions, enabling it to onboard international customers.
Expanding into MENA
Cashfree is aggressively targeting the MENA region, focusing on six key markets: the UAE, Saudi Arabia, Egypt, Jordan, Kuwait, and one other smaller market. These countries are developing domestic payment systems akin to India’s UPI and RuPay networks, presenting a significant opportunity for Cashfree to replicate its success abroad.
“The MENA region is large and ripe for innovation in payments,” Sinha said. “Our goal is to establish ourselves as leaders in this market by offering scalable, reliable, and secure payment solutions.”
Krafton’s Broader Play in India
The investment in Cashfree aligns with Krafton’s broader strategy in India, where it has already invested nearly $200 million across several startups. By backing Cashfree, Krafton not only gains a reliable payments partner but also reinforces its commitment to fostering innovation in the Indian tech ecosystem.
As Cashfree gears up for its next phase of growth, the infusion of capital and strategic support from Krafton positions it to deepen its presence in both domestic and international markets. With its robust technology stack, diverse product offerings, and ambitious expansion plans, Cashfree is poised to solidify its status as a global leader in the payments industry.
Also Read :Krafton Backs Cashfree in $53M Funding Round, Valuing Payments Startup at $700M
Manish Singh
5:41 PM PST · February 4, 2025
Cashfree, an Indian payments startup that processes over $80 billion annually for its customers, has secured $53 million in a Series C funding round, bringing its valuation to $700 million. The round was led by Krafton, the creator of global gaming hits like PUBG and BGMI, with participation from existing investor Apis Growth Fund.
The investment marks an unusual yet strategic partnership between a gaming giant and a fintech firm, highlighting the growing convergence of digital content and financial services. To date, Cashfree has raised nearly $100 million, fueling its ambitions to expand its footprint in international markets, particularly in the Middle East and North Africa (MENA) region.
Strategic Synergies Between Krafton and Cashfree
While the pairing of a gaming company and a payments startup may seem unconventional, both firms see significant value in the collaboration. Akash Sinha, co-founder and CEO of Cashfree, emphasized the potential for seamless payment flows tailored to smaller transaction sizes, a critical need for digital content platforms like Krafton’s.
“Krafton is deeply entrenched in the digital content ecosystem, and payment companies like ours see immense opportunities alongside sectors like e-commerce, travel, and financial services,” Sinha said in an interview. “This partnership allows us to build innovative payment solutions that cater to the evolving needs of digital businesses.”
For Krafton, the investment also strengthens its portfolio of Indian startups, many of which are exploring partnerships with Cashfree for their payment processing needs. While the two companies are not currently collaborating on games like BGMI, discussions are underway, and a formal partnership is expected soon.
“India’s fintech industry is booming, and we believe Cashfree’s leadership position in the domestic market can be replicated globally,” said Sean Hyunil Sohn, CEO of Krafton India. “This investment aligns with our broader strategy to support innovative Indian startups that have the potential to scale internationally.”
Cashfree’s Growth Trajectory
Founded in 2015 by Akash Sinha and Reeju Datta, Cashfree began as a simple service helping restaurant delivery workers collect cash payments in Bangalore. When clients requested online payment options, the founders recognized a larger opportunity in the payments space. Despite initial skepticism from investors, Y Combinator’s backing helped propel the startup onto a rapid growth trajectory.
Today, Cashfree offers a comprehensive suite of payment solutions, including payment gateways, automated payouts, and innovative features like PayToPhone for mobile number-based transfers and RiskShield for fraud prevention. Its technology stack supports up to 12,000 transactions per second during peak demand and includes SecureID, an identity verification system that has processed over a billion verifications to date.
The startup is one of the first to receive authorization from India’s central bank to operate as a payment aggregator for both domestic and international transactions. It counts major brands like Swiggy, Zepto, and Bajaj Finance among its clients and has recently secured licenses for cross-border transactions, enabling it to onboard international customers.
Expanding into MENA
Cashfree is aggressively targeting the MENA region, focusing on six key markets: the UAE, Saudi Arabia, Egypt, Jordan, Kuwait, and one other smaller market. These countries are developing domestic payment systems akin to India’s UPI and RuPay networks, presenting a significant opportunity for Cashfree to replicate its success abroad.
“The MENA region is large and ripe for innovation in payments,” Sinha said. “Our goal is to establish ourselves as leaders in this market by offering scalable, reliable, and secure payment solutions.”
Krafton’s Broader Play in India
The investment in Cashfree aligns with Krafton’s broader strategy in India, where it has already invested nearly $200 million across several startups. By backing Cashfree, Krafton not only gains a reliable payments partner but also reinforces its commitment to fostering innovation in the Indian tech ecosystem.
As Cashfree gears up for its next phase of growth, the infusion of capital and strategic support from Krafton positions it to deepen its presence in both domestic and international markets. With its robust technology stack, diverse product offerings, and ambitious expansion plans, Cashfree is poised to solidify its status as a global leader in the payments industry.
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