TLDR: Elevation Capital on Fintech Startups
Key Points:
- Regulatory challenges are driving fintech startups to build tailored products.
- Fintech firms facing hurdles in partnerships with banks see it as an opportunity for scalability.
In a recent report by Elevation Capital, it was highlighted that despite facing regulatory challenges, fintech companies are finding opportunities in building tailored products for niche user segments. The firm’s senior partners, Mridul Arora and Vaas Bhaskar, emphasize that while regulatory clarity may add governance costs and make tasks longer, it provides a runway for scalability in the long run.
Vaas Bhaskar noted that fintech startups specializing in specific verticals and offering a suite of financial products tailored to niche markets are gaining momentum and attracting investor interest. He highlighted companies like Skydo and Jodo, which are reshaping the banking sector by offering niche financial services and products.
Overall, Elevation Capital’s insights shed light on the evolving landscape of fintech startups and how tailored products are key to success in the sector despite regulatory challenges.
