Fisdom has announced that it has raised USD 7 million in its latest backend SDE 2 business round. The round was led by PayU, and also included existing investors. The funds will be used for customer acquisition and new product development. Fisdom will also look for acquisition opportunities. It is currently partnering with over twelve banks and financial institutions, including GE Capital and Citi. However, it has not disclosed a timeline for the new funding round.
Among the positive and negative friction, Fisdom experienced significant difficulties with its KYC (know-your-customer) process. Despite being a popular investment app in India, Fisdom found that the KYC (Know Your Customer) process was a major source of friction. This is why the company’s backend is currently focusing on resolving this problem.
Having a payment confirmation screen as part of the user flow has several benefits. For example, a user may feel that the transaction is a “safe” one, but that doesn’t make it any safer. As a result, most fintech apps require extra steps to confirm the payment. A good balance of positive and negative friction will create the smoothest user flow. In Fisdom’s case, the developers discovered that the KYC process was a significant source of friction.
In contrast, positive friction involves an extra confirmation step for sending money. The app requires a second confirmation step for sending money to the app. By focusing on negative friction, Fisdom has managed to overcome these issues. It is still in beta phase, but the developers are confident they can reach the requisite funding for scaling. The backend is where the developers will focus their efforts. The company has received an initial SDE 2 funding from the investors in a series A and B venture.
The initial funding round was led by a group of investors that helped the startup secure a location for the SDE. It is led by a group of experienced executives who understand the complexities of the startup’s operations. The Fisdom team was able to identify the main source of friction, including the KYC process. This was an essential source of friction for the company. After all, the founders of Fisdom were working with a team in the US, and they were unable to find an office in the country where they had set their base.
While most fintech companies can reduce the friction through positive friction, they have a hard time reducing negative friction. Many users of finance apps experience some negative friction. This is because they must go through an additional step to verify the identity of the recipient before transferring money. This step is often necessary to provide an accurate KYC, which increases the risk of fraud. Hence, this is an opportunity for founders to reduce the amount of friction in their apps.
In this round, Fisdom will focus on creating an app for investing in the Indian market. As a result, the founders will focus on the KYC process and the platform’s user interface. Aside from KYC, it will also focus on the product’s design. The company’s users will have the opportunity to compare the various products and services offered by Fisdom. The startup’s investors will have access to the various features of the company.
The developers of Fisdom found a large source of friction in their KYC process. This is a major source of friction in the Indian investment industry. As a result, the team had to create a product that would minimize it. The founders of Fisdom realised that the KYC process was a significant source of friction in their startup’s backend. This created an app with a smoother and more efficient flow of money.
The startup’s users are experiencing high levels of positive friction. The KYC process is a major source of friction for most fintech apps. For instance, most fintech apps require the user to provide an additional confirmation step in order to send a payment. But for the Fisdom team, this was the primary source of friction, as they needed to ensure that the user flow was smooth. The Fisdom team had to implement an automated KYC system to make sure that the app users could be protected from fraud.