Singapore-headquartered fintech company Little Wallet secured US$1.6 million in a pre-seed funding round led by Tikaani Partners.

“We recognise the opportunity in the SEA region and plan to invest our first round of funding in scaling up our operations and engineering teams, as well as marketing and strategic partnerships. With partners like Visa in place, we are prepared for the big launches in select SEA markets,” says Little Wallet co-founder Phoebe Tran in a press statement.

Little Wallet aims to pioneer the concept of “family banking” in Southeast Asia, which the company said has not been introduced in the region before. Its primary focus is to promote Smart Money habits and improve financial well-being for entire families.

It differentiates itself from traditional banking brands by creating a gamified, youthful, modern brand image that appeals to users aged 13 to 18–even as young as 6 to 12.

This platform offers services, including earning, saving, budgeting, spending, and giving. It comes equipped with a debit card, companion app, wearable device for tap and pay transactions, and an educational resource for teaching critical financial skills to youth.

Also Read: How digital banking is driving financial inclusion in SEA

“Traditional banks do a great job tailoring their services toward financially established adults, but none has done well building services for families and younger pre-collegiate consumers. These digital natives are a part of the multi-billion-dollar addressable market. Contrary to belief, most customers often stay with their first bank, so it is important to introduce them to banking while young,” cites Cyrus Daruwala, MD, Global Financial Services at IDC.

Little Wallet founder Rahul Sharma and co-founder Phoebe Tran are INSEAD global executive MBA classmates.

Sharma says, “Our customers’ data safety & security is our utmost priority. Our top focus is to embrace zero personal data knowledge, implement strong encryption techniques, adhere to industry standards, carefully select our technology partners, regularly test & monitoring security measures and educate our customers on security best practices.”

The company is one of the winners of Tech in Asia Startup Arena 2022.

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Echelon Asia Summit 2023 brings together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here.

Echelon also features the TOP100 stage, where startups can pitch to 5000+ delegates, among other benefits like a chance to connect with investors, visibility through e27 platform, and other prizes. Join TOP100 here.

Image Credit: Little Wallet

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Horizon Quantum Founder and CEO Joe Fitzsimons

Singapore-based Horizon Quantum Computing has secured US$18.1 million in a Series A investment from Sequoia Capital India, Tencent, SGInnovate, Pappas Capital and Expeditions Fund.

The investment will allow the startup to strengthen its science and engineering teams to accelerate product development, establish its new engineering centre in Europe, and bring its technology to the market.

This round takes Horizon Quantum’s total funding to approximately US$21.3 million.

Quantum computing faces two main challenges to widespread adoption: developing hardware capable of supporting quantum computation at scale and creating software tools that allow programmers to harness this hardware to solve real-world problems.

Horizon Quantum Computing is focused on the second challenge.

Also Read: Quantum computing could help us tackle Alzheimer’s disease: Dr Michio Kaku

Founded in 2018 by CEO Joe Fitzsimons, Horizon Quantum develops a new generation of programming tools to simplify and expedite software development for quantum computers. By removing the need for prior quantum computing experience to develop applications for quantum hardware, Horizon’s tools will make the power of quantum computing accessible to every software developer.

“Quantum computing has the potential to change how we think about computing completely,” said Fitzsimons. “While getting to large-scale quantum computing is a daunting challenge, it is undeniable that progress towards that goal is being made.”

“At Horizon, we focus on unlocking the power of future quantum computers and have made significant headway towards our goal of enabling conventional software developers to take advantage of the technology through abstraction and automated algorithm synthesis. The new investment will support our effort to break through the barriers to useful quantum computation,” he added.

Last year, Horizon Quantum joined Singapore’s National Quantum-Safe Network and recently saw its node’s first data transmission. It has also recently announced that it is opening its first European offices in Ireland, where it is building out its new engineering centre.

The company recruits a software engineering team in Dublin to boost worldwide operations.

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Echelon Asia Summit 2023 brings together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here. Echelon also features the TOP100 stage, where startups can pitch to 5000+ delegates, among other benefits like connecting with investors, visibility through the platform, and other prizes. Join TOP100 here.

The post Tencent, SGInnovate join US$18.1M Series A round of Horizon Quantum Computing appeared first on e27.

Women’s History Month and International Women’s Day are two moments that encouraged us to be extra careful about the way we support women in the tech startup ecosystem. If we were not careful, we might fall into the risk of purple-washing–an action where businesses present the image of being women-friendly without any concrete steps taken to do so.

This is the lesson that Pocket Sun of SoGal Ventures warned us in a recent interview with e27.

“Besides investing, there have been efforts to set up a separate programme for women. It definitely helps to build your reputation, but nothing comes as strongly as when you actually deploy capital into women entrepreneurs,” she said.

This reminded us to look at how we support women in tech at e27. We want to think that we have done a decent job, as seen through our latest #She27 initiative, where we spotlight 27 inspiring women in the tech industry who are breaking barriers, pushing boundaries, and making a significant impact in their respective fields.

But if you see ways to improve, we are always open to listening.

Also Read: Women in Tech: Female leaders shaking up insurtech in Asia

A return to Myanmar

In February 2021, the SEA startup ecosystem anxiously watched as a coup d’etat in Myanmar changed the country’s face forever.

I still remember that day vividly. The e27 content team dropped every single task of the day to focus on covering how the political event impacted the local startup ecosystem. We tried to contact our sources in the country; I recalled holding my breath when the responses came moments later, with startup founders stating that they wish to lay low for the moment. Safety was the priority.

Today, the world is a different place. In February 2021, most countries were under lockdown. Exactly two years later, most borders have reopened. Naturally, we begin to wonder if things are improving for our friends in Myanmar.

We covered the launch of Common Health’s e-commerce platform, which made us feel slightly hopeful about the situation. But before that, our editor Sainul wrote this feature article.

The things we learned from it were heart-breaking:

– Over 70-80 per cent of startups shut down
– Founders did not see the junta as being supportive of startups
– Even big businesses, such as Telenor and Ooredoo, either shuttered or sold
– This situation has triggered a migration of tech talents to neighbouring countries

“As the military junta tightened its grip on the government, pro-democratic people, including founders and techies, took to the streets … However, these movements were crushed. Several prominent founders were framed and arrested, many fled the country for safety after imprisonment for six to 12 months, and some got killed in interrogation camps,” we wrote.

Also Read: Women in tech have leaned in enough. This is what we should do instead

This reminded us of the one thing we often take for granted: Security. We can stress the importance of government support and other things when we talk about supporting the startup, but in the end, there is not much that we can do in an environment where we are unsafe.

As the month ends, may this always remind us of those living on the margins of society and those who had their opportunities limited by circumstances.

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Echelon Asia Summit 2023 is bringing together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here.

Echelon also features the TOP100 stage, where startups get the chance to pitch to 5000+ delegates, among other benefits like a chance to connect with investors, visibility through e27 platform, and other prizes. Join TOP100 here.

Image Credit: Christina @ wocintechchat.com on Unsplash

The post In March, we celebrated women in tech and returned to Myanmar appeared first on e27.

The crypto market cap jumped by at least US$250 billion in January, with Bitcoin prices increasing approximately 40 per cent since its low in November. It’s no wonder many investors are more optimistic and bullish in crypto in the new year, especially after the touted long winter and the fiascos that happened in 2022.

However, cryptocurrency, as a relatively new asset class despite it being around and trading for more than a decade, has no unifying regulatory framework internationally. This only means that investors could potentially be exposed to unchecked risks and many other unidentified challenges with such regulation uncertainties.

Hence, crypto regulations are needed now more than ever and even more so after FTX’s collapse last year.

Crypto regulation: An ongoing challenge

One prominent example of the ongoing challenges of regulating crypto is the SEC’s lawsuit against Ripple Labs, which has dragged on for years. The US Security and Exchange Commission (SEC) alleges that Ripple’s XRP token is unregistered security and that the company has been illegally selling it to investors. The lawsuit has been ongoing since December 2020. and has created uncertainty for many XRP investors’ price volatility.

This case shows the need for clear guidelines on what constitutes security in the context of cryptocurrencies and even for crypto-stablecoins. More recently, on February 13th, the SEC made headlines for going after unregistered securities. The SEC issued a Wells Notice to Paxos Trust Company, the issuer of the stablecoin Binance USD (BUSD), labelling the stablecoin as an unregistered security. On the same day, the New York Department of Financial Services ordered Paxos to stop issuing BUSD.

Also Read: Why is the cryptocurrency market growth in Eastern Asia slowing down

Some dismissed the issue as “FUD”, a crypto abbreviation for fear, uncertainty and doubt, while others claimed it was an attack on the Binance exchange. These theories on the allegations that BUSD is unregistered security were examined, alongside some additional ones.

CZ, CEO of Binance, wrote a thread on his Twitter summarising the issue and assured investors that the funds are “SAFU” (safe in layman’s terms). He further commented that Binance does not issue BUSD and is not in any way an owner of the stablecoin and will allow users to trade with USDT on their platform instead. Furthermore, Binance will also be reviewing other projects to ensure their users are insulated from any undue harm given the ongoing regulatory uncertainty.

The potential challenges with cryptocurrency regulations are reminiscent of the early days of the internet when governments struggled to keep up with the rapid pace of technological change. In the 1990s, many governments attempted to regulate the internet, but ultimately, the decentralised nature of the technology made it difficult to control.

This lack of regulation created a fertile ground for criminal activities like identity theft and online fraud. These regulations were often slow to develop and enforce, leading to a patchwork of rules and regulations that varied widely across different jurisdictions.

Likewise, the decentralised nature of cryptocurrencies makes it challenging for governments to regulate them effectively. Cryptocurrencies operate independently of national borders and are not subject to the same regulations as traditional financial assets.

This lack of oversight creates opportunities for money laundering, tax evasion, and other illegal activities and potentially affects the ecosystem and highly regulated nations. In an interview with CoinDesk, European Commissioner Mairead McGuiness commented that crypto regulations are pointless without global coordination.

Different approaches adopted by countries

With the many new developments in crypto regulations from various nations, governments around the world are still figuring out the best practices to regulate and streamline them. Some countries have embraced cryptocurrencies and have created clear regulatory frameworks, while others, such as China and Bangladesh, have banned them outright.

A law was passed in Russia in 2022 which effectively prohibits the use of cryptocurrencies and NFTs as payment for goods and services within the country. However, it is still possible to trade and pledge these assets.

Since the implosion of Terra, lawmakers in South Korea have started working on Digital Assets Basic Act (DABA), a comprehensive legal framework that will provide guidelines for the country’s crypto industry.

In the United States, the regulatory environment is still evolving, as seen in the two prime cases above, calling for the need for clear regulation guidelines, with different states adopting varying approaches to regulating cryptocurrencies.

Also Read: IMF calls for cryptocurrency regulation to ensure financial stability

Dubai established Virtual Assets Regulatory Authority (VARA), the world’s first specialised regulator for the Virtual Assets sector, in March 2022. Just last month, VARA published the Full Market Product Regulations (FMP Regulations) consisting of virtual asset licensing regulations.

The regulatory authority plays a central role in the creation of Dubai’s advanced legal framework to protect investors and establish international standards for the Virtual Asset industry governance.

Singapore has been proactive in its approach to regulating cryptocurrencies. In 2019, the Monetary Authority of Singapore (MAS) introduced a regulatory framework for cryptocurrency trading platforms. Under this framework, cryptocurrency exchanges must comply with anti-money laundering and counter-terrorism financing measures. Additionally, exchanges must be licensed by the MAS and meet stringent cybersecurity standards.

Controversies surrounding cryptocurrencies have later on prompted the MAS to re-examine its regulations. In December 2020, MAS announced that it would be imposing new requirements on cryptocurrency exchanges to combat money laundering and terrorism financing.

These requirements include enhanced customer due diligence measures and transaction monitoring, notably, users had to submit non-custodial wallets to the exchanges as exchanges increased their efforts to link users to their respective crypto wallet addresses.

In January 2022, the MAS introduced measures to restrict the marketing and advertising of cryptocurrency services in public areas and disallow cryptocurrency trading from being portrayed in a manner that trivialises its risks. Moreover, the lack of clear regulations in other countries makes it difficult to monitor cross-border transactions, and Singapore is vulnerable to the same risks as other financial centres.

Regulatory uncertainties: What’s next?

Undoubtedly, when more countries start to accept and embrace cryptocurrencies, crypto regulations will have to be streamlined worldwide. After the 2022 crypto downturn, we can expect regulators to step up their game in a greater way, particularly to protect retail investors.

How do professional investors then procure investments into cryptocurrency, such as Bitcoin, while not having to worry about regulatory risk?

The emergence of properly licensed entities is becoming increasingly critical in the ecosystem. Regulations are essential in an environment where assets like cryptocurrencies are not physical, unlike fiat, gold, and realty property. As such, being licensed in a major financial jurisdiction means high standards and checks are met, signalling the trust and credibility of the institution.

One possible solution is to invest through licensed fund managers like Fintonia Group, who are subjected to strict regulations and oversight. This ensures that all cryptocurrency transactions are conducted in compliance with relevant laws and regulations, giving professional investors peace of mind knowing that their investments are safe and secure.

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Market cycles are a certainty and can alternate between favourable and challenging times. During a bear market, businesses may encounter difficulties in sustaining their revenue streams, and some may have to shut down altogether.

However, targeting a super niche can offer a sustainable business model that can help businesses not only survive but also thrive during a downturn.

Super niche is the new niche

First, let’s define what a super niche is. A super-niche is a small, specialised market segment that has specific needs and preferences that are not being met by larger players in the market. It is a subset of a larger market that is underserved and overlooked. The key to success is to understand your customers deeply, to provide tailored solutions to their unique problems, and to build a loyal following around your brand.

Super niche marketing is not a new concept, but it is becoming more important than ever in today’s business landscape. In a world where technology has made it easy for anyone to start a business, competition is fierce, and traditional marketing strategies are becoming less effective. To stand out in a crowded market, you need to differentiate yourself by focusing on a niche that you can dominate. 

Also Read: How does marketing agility fuel disruptive innovation?

Take an example like Peloton, the exercise equipment and media company that has grown to over six million users. They started by targeting a super niche of customers who are willing to pay a premium for a high-quality home workout experience. During a bear market, this strategy becomes even more critical. Consumers become more selective with their spending, and businesses need to be more targeted with their marketing efforts.

Launch strategically

By targeting a super niche, you can maximise your marketing budget and generate a higher return on investment. You can also create a community of loyal customers who will stick with you through tough times.

Bluutopia is a new social platform that has caught the attention of a niche segment of users who come from cross-cultural backgrounds and are interested in Web3. By focusing on empowering others to voice our social issues, Bluutopia has differentiated itself from larger social platforms and created a community of users who share their interests and values. Their latest roadmap (Bluumap) features five functions across the community, art, live activities, and digital events – bringing together a tight group of early adopters.

Another example is Elemental Raiders by Games for a living, a new entrant in the gaming space that’s been able to differentiate itself from its competitors by targeting a super niche market of blockchain gaming enthusiasts. While traditional gaming companies focus on eSports and Web2 communities, Elemental Raiders has identified a subset of the gaming market that is underserved and overlooked.

Also Read: The future of Web3 communities: What’s next after the NFT community craze?

By creating a game that leverages blockchain technology, Elemental Raiders has tapped into a growing trend of decentralised gaming platforms that prioritise user ownership and control. This strategy has resonated with a community of gamers who value privacy, security, and transparency in their gaming experiences.

The key takeaway from these Web3 examples is that by focusing on a super niche, you can create a sustainable business model that can weather any storm. During a bear market, your customers may have less money to spend, but they will still have specific needs that are not being met. By understanding those needs and providing tailored solutions, you can create a loyal customer base that will stick with you through thick and thin.

Final thoughts

By focusing on a small, specialised market segment, you can differentiate yourself from your competitors and create a loyal following around your brand.

During a bear market, this strategy becomes even more important, as you need to be more targeted with your marketing efforts to generate a higher return on investment.

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Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic

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Photo: Taken during a panel event in Jakarta, where the author discussed the current fundraising winter with industry peers.

In the ever-evolving world of technology, artificial intelligence (AI) has emerged as a beacon of innovation, attracting significant capital and propelling startups to unprecedented heights. However, this blossoming AI spring season starkly contrasts with the chilly atmosphere pervading the rest of the tech landscape.

Amidst slashed valuations and the recent bankruptcy of banking giants like SVB and Credit Suisse, it is evident that we are in the midst of a capital winter that shows no signs of abating anytime soon. The situation is particularly challenging for startups in Southeast Asia, where many are grappling with unfavourable market conditions for the first time.

In this article, we will delve into practical strategies and tips for founders to navigate this capital winter, ensuring their ventures not only survive but also thrive in these trying times.

What does a capital winter mean for VC investment?

It’s an era of less FOMO but more SLOJI

The effects of the capital winter have reached all corners of the investment world, from the icy cold public equity market to growth equity and finally early-stage investment. With the exit forecast clouded by higher risk and uncertainties, VC investors are inevitably adjusting their investment approach.

Most VC investors in this region have become more patient and disciplined (with valuation). It is no longer a market driven by FOMO but rather a time to be SLOJI, “slow to join in.”

Also Read: Can Chinese VCs be a potential wild card for SEA during funding winter?

Traditionally, VC investors were driven by a fear of being late to the game and sought to invest early and cheaply. Now VC investors are more comfortable waiting slightly longer and even committing to higher valuations when founders demonstrate a stronger set of metrics or evidence of product-market fit (PMF). This also means a greater emphasis on due diligence and the importance for a startup to show solid fundamentals for long-term success.

Path to profitability is almost a must, on top of all other necessary metrics

Investors are currently placing a greater emphasis on profitability because they need to be more patient and disciplined, as well as consider the challenging macro environment. This does not necessarily mean that profitability is the sole metric used to evaluate a startup, but rather that a founder’s understanding and commitment to profitability is an important factor in investors’ assessments.

Here is some general advice for startups at different stages of development: If your startup is in the Series B or later stage, it should already have improving or excellent profitability metrics. At the Series A stage, it is important to demonstrate thoughts and plans for future profitability. For seed-stage startups, the focus should still be on product-market-fit (PMF), and if anything else, don’t pursue a cash-burning business model.

Balanced growth is even more important

The path to profitability is more like a check box. What investors are really eager to see is balanced growth. Growth is how a startup could eventually prove its PMF and disrupt the status quo. Balanced growth means growth plus a path to profitability, growth with at least steadily improving margins.

What does a capital winter mean to a founder and their startup?

Money is more expensive tomorrow

The capital winter started because we are now in a rising interest rate environment, where money is more expensive tomorrow. It also means every dollar you save/earn today is more valuable. That is why no investor will support cash-burning business models right now.

Cut, burn and survive

As the capital winter could be prolonged, it is time for a founder needs to know how to survive and sustain longer and wisely. Since money tomorrow is more expensive, cutting burn can already help you save more valuable money today.

Focus on your best PMF

There could be many directions/options for you and your startup. It is time to focus on your best PMF, where there is demand, paid users, or recurring cash flow. It is time to focus the resources on your best shot.

It is time to think like a camel rather than a unicorn

I really like this concept borrowed from this article in the Harvard Business Review, which was written in 2020 but seems only more relevant now.

Under a tough capital market like right now, many startups may die. The implication is that your competitors may die too. That’s why it is time for intelligent founders to prioritise survival over the blind pursuit of market share. Surviving and sustaining your startup with healthy growth and margin is already a victory.

Also Read: How to support startups to survive the ‘tech-winter’

VCs, among all types of investors, are the ones that stand the closest to founders. We are essentially on the same side because the success of VCs is entirely dependent on a startup’s success. Since we’re on the same side, when VC investors are now acting more patient and disciplined, founders should do the same together. It’s time to be a camel together.

What does a capital winter mean to a founder when it comes to fundraising?

For founders’ preparation, I’d say fundraising 101 is the eternal guideline and even works more effectively at a time like this: Know your investors, engage with them early, be transparent, know your stage, and so on. These are all critical factors.

I’ll pick two that were highlighted during the panel:

Engage with investors early, and build long-term trust

Investors will take longer to assess a startup. I’d encourage startup founders to engage with prospective investors early because trust takes time to build. Most investors appreciate receiving regular or occasional updates from founders, demonstrating their commitment and discipline.

Many alumni from our AppWorks Accelerator regularly send us updates from time to time. Those who continue to show progress and dedication usually have pretty successful fundraising results – because most investors on the list get to observe them long enough before they actually need funding.

PMF, PMF, PMF

Founders often ask what investors look for when evaluating potential investments. While founders are the experts on their own businesses, it is important to highlight key metrics that demonstrate strong PMF. In today’s business environment, PMF also requires a clear path to profitability.

This does not necessarily mean that early-stage startups need to immediately prove profitability, but rather that they should be able to demonstrate a vision for how their business can eventually monetise and become profitable. By focusing on these key metrics and showing a roadmap for profitability, founders can better position their businesses for success in the fundraising process.

How long will this capital winter last?

Founders should be aware that the current emphasis on profitability is not just a temporary trend but a fundamental shift in the way businesses operate. This shift is not limited to a few companies – tech giants such as Grab and GoTo have already adjusted their profitability targets to accelerated timelines to reflect this change.

Also Read: Startups that can reflect and pivot in time will thrive during funding winter: Ivan Ong of AFG Partners

While Vietnam may have experienced record-high GDP growth in the third quarter of 2022, the fourth quarter saw a decline in global demand that is expected to persist in the coming months. As a supply market, Southeast Asia may feel the effects of the global recession later on, which means that the “capital winter” may also last longer.

To prepare for these challenges, founders should prioritise profitability and survival for the next two-three years (at least) and adopt a long-term, sustainable mindset for their businesses.

Remember, it’s time to think like a camel. Other unicorn-wannabes will die in the desert.

For founders, why should now be a promising time rather than a discouraging time?

Many founders may feel discouraged thinking about a capital winter and global recession. I’d instead encourage founders that it is the best time. It is the best time for founders to care about users, solve real pain points, and set a healthy goal for the company to survive. It is the best time for investors to stop chasing FOMO and pay attention to fundamentals and holistic vision.

The truth is that VC investors can’t sit on a pile of cash even if they become more disciplined with investment; they are expected by their investors to deploy according to market opportunities even in the winter. We still are on the lookout for amazing founders to allow us to join them on their journey to disrupt this world and create abundance and a better future.

So I think this article should end on a positive note for you. Again, VC investors and founders are meant to always stand on the same side. The goal of AppWorks as a VC is to fund the most-talented founders and help you make the biggest impact on this world – that’s something that will never change. We are always here for you.

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Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic

Join our e27 Telegram group, FB community, or like the e27 Facebook page

The post Navigating the capital winter: Strategies for successful fundraising in a slow market appeared first on e27.

Mobee Co-Founders Jeff Pradana and Andrew Tjahyadikarta (R)

Mobee has launched its newly registered digital asset exchange in Indonesia after obtaining a license from the market regulator BAPPEBTI.

The startup has also raised an undisclosed sum in a funding round led by 1982 Ventures, with participation from strategic family offices and individuals.

The funds will be used to expand operations, launch new products, and hire more financial services and digital asset industry veterans.

Also Read: The regulatory war on cryptocurrency

Mobee was founded in 2022 by Andrew Tjahyadikarta and Jeff Pradana, an experienced banking and trading executive. Tjahyadikarta is the co-founder and former CEO of Kaja Group, an ultra-luxury hospitality and lifestyle entertainment group in Southeast Asia.

The digital assets exchange focuses on qualified investors, family offices, and institutional-grade clients. It offers a range of financial products for investors seeking passive income and more sophisticated wealth management products designed for active investors.

“Mobee will allow Indonesian investors to effortlessly access a wide range of institutional-grade investment products in digital assets and securities,” said Tjahyadikarta. “Our focus is to bring key players and businesses in Indonesia on-chain and provide them the level of service, trust, and security they are accustomed to as they begin to allocate more capital to digital assets.”

Also Read: IMF calls for cryptocurrency regulation to ensure financial stability

The Indonesian cryptocurrency market surged 50 per cent in 2022, reaching nearly 17 million registered users. There is significant room for growth as more qualified and institutional-grade investors enter the market. Mobee projects Indonesian crypto annual trading volume to reach over US$100 billion by the end of 2024.

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Echelon Asia Summit 2023 brings together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here. Echelon also features the TOP100 stage, where startups can pitch to 5000+ delegates, among other benefits like connecting with investors, visibility through the e27platform, and other prizes. Join TOP100 here.

The post Mobee launches crypto exchange in Indonesia, secures funding appeared first on e27.

(L-R) AC Ventures’s Jeremy Sianto and Helen Wong, KoinWorks’s Jonathan Bryan, ALAMI’s Dima Djani, and BCG’s Sumit Kumar at a roundtable event in Jakarta

Over the last decade, Indonesia has witnessed a 6x increase in fintech players, rising from 51 in 2011 to 334 in 2022, says a new report jointly released by AC Ventures and Boston Consulting Group (BCG).

Initially, the growth was mainly driven by the payments segment. However, the fintech landscape in Indonesia is now diverse and dynamic, with lending, payments, and wealthtech becoming clear industries of the future.

The AC Ventures-BCG report Indonesia’s Fintech Industry is Ready to Rise charts the progress of fintech in the country across multiple sub-verticals, starting from the inception of fintech startups and the local digital economy in 2011 up until 2022.

Also Read: ‘Resistance to digital wealth management has almost disappeared in SEA’: Bambu CEO Ned Phillips

According to the report, fintech offerings are also experiencing a surge in customer engagement in Indonesia. The payments segment, which boasted over 60 million active users in 2020, is expected to have a compound annual growth rate (CAGR) of over 20 per cent until 2025.

More than 30 million active peer-to-peer borrower accounts were in the lending space in 2021. Meanwhile, the wealth segment had over nine million retail investors as of 2022, the VC Ventures-BCG reports notes.

The adoption of SaaS platforms is also growing, with six million SMEs currently using them, representing a 26x expansion over the preceding three years.

Investment trends also echo the diversification of Indonesia’s fintech market, with lending and payments no longer being the primary areas of interest. While lending and payments remain important, there is increasing investment into wealthtech, insurtech, and fintech SaaS.

The fintech market is expanding rapidly, with emerging players alongside established ones. Equity is targeted based on an operator’s or vertical’s maturity.

Early-stage funding deals receive over 80 per cent of the total invested capital. Funding from 2020 to 2022 reached US$5.4 billion, 2.7x more than in 2017-2019, adds the AC Ventures-BCG report. Growth and monetisation are the main focus in series D+ funding rounds.

In light of the current economic climate, investors are now looking for clear paths to profitability before a Series D. More than 80 per cent of fintech deals from 2020 to 2022 were for pre-Series C funding rounds, indicating strong support for early innovation. These trends will likely continue driving innovation and disrupting the existing financial services landscape.

Also Read: ‘Indonesia will soon see a proper credit boom for businesses, consumers’: AC Ventures

Additionally, new players in segments such as SaaS and insurance activities are emerging, indicating that fintech in Indonesia is maturing and moving toward more sophisticated products and services.

AC Ventures Founder and Managing Partner Adrian Li said: “The exponential rise in fintech players, burgeoning customer engagement, and escalating equity funding all indicate the sector’s vast potential. Our investment strategy aligns with this space’s most impactful and innovative enterprises.”

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Echelon Asia Summit 2023 brings together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here. Echelon also features the TOP100 stage, where startups can pitch to 5000+ delegates, among other benefits like connecting with investors, visibility through the platform, and other prizes. Join TOP100 here.

The post Wealthtech, insurtech, SaaS fintech are the new hot verticals in Indonesia: AC Ventures report appeared first on e27.

Theo Nasser, Co-Founder and CEO of Right-Hand Cybersecurity

Singapore-based startup Right-Hand Cybersecurity has received US$5 million Series A funding from former PayPal executive Jack Selby and his venture capital firm AZ-VC.

The startup will use the money to expand its operations across Asia and the US while investing heavily in its human risk management (HRM) platform.

Right-Hand aims to expand its platform integrations with commonly adopted technologies to improve employee behaviours and lower risk tendencies.

Also Read: ‘From a cybersecurity perspective, the Asian market still uses legacy tools’

Right-Hand aims to improve employee behaviours in real-time that are otherwise prone to cascade, potentially devastating cybersecurity breaches. Its HRM platform consolidates employee security behaviours and alerts in real-time from the platform and other security technologies like endpoint detection & response (EDR), email security, and identity and access management (IAM) technologies.

It assigns a risk score to different behaviours that stakeholders can interpret easily, providing visibility into employee risk in plain business terms.

The platform then analyses the collated employee data to generate real-time interactive and adaptive training that enables individuals to master cybersecurity behaviours that keep their organisations and themselves safer online.

Also Read: watchTowr can tell an organisation in real-time if it can get compromised

“What differentiates Right-Hand is that we go beyond just ‘checking the box’ for improving user behaviours to reduce cybersecurity risks,” said Founder and CEO Theo Nasser. “We tailor learning materials to individual behaviours and monitor employee risk profiles, reducing security alerts for the security operation centre – a radical departure from the ‘one size fits all’ security model that is commonly used.”

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Echelon Asia Summit 2023 brings together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here. Echelon also features the TOP100 stage, where startups can pitch to 5000+ delegates, among other benefits like connecting with investors, visibility through the e27platform, and other prizes. Join TOP100 here.

The post Right-Hand Cybersecurity raises US$5M Series A for Asia, US expansion appeared first on e27.

Registration for TOP100 is now open and we are looking forward to seeing your startup on the list!

TOP100 Program gives you the one golden chance to connect with hundreds of investors, showcase your startup at Echelon, pitch on the TOP100 stage, and access special programs. Find out what’s new in TOP100 and join here: https://bit.ly/TOP100_2023

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Now that Echelon Asia Summit is coming back in full swing, e27 is determined to make one of its key features, the TOP100, one of the best yet!

The TOP100 program is an annual initiative organised by e27 to showcase and recognise the most promising startups in the Asia-Pacific region.

The program is open to exciting new startups from the Asia-Pacific region with innovative ideas that break barriers across different industries. The selection of the TOP100 involves a rigorous screening process, including an evaluation of the startup’s product or service, team, market potential, and traction.

Also read: Tokyo’s bid to be the world’s number one startup city with City-Tech.Tokyo

The selected startups are given the opportunity to pitch their business ideas at the Echelon Asia Summit this June 14-15, 2023, at the Singapore Expo. The program also provides exposure to investors, mentors, and potential partners, enabling growth among participating startups and helping them expand their networks across the larger global tech ecosystem.

The TOP100 program has become one of the most prestigious startup competitions in the region, attracting thousands of applicants each year and providing valuable visibility and support to the most promising startups in the region.

15 startups closer to competing at this year’s TOP100

Being a frontrunner refers to startups close to making it to this year’s TOP100 program.

With all the amazing startups sprouting across the Asia-Pacific region’s vibrant tech startup ecosystem, we now present you with 15 frontrunners closer to competing at this year’s TOP100. Get to know them here!

TemanTrip

TemanTrip is an Indonesian open trip sharing platform that connects travelers with local trip leaders. The platform aims to provide a hassle-free and cost-effective way for travelers to explore Indonesia’s diverse cultures and natural beauty.

One of TemanTrip’s unique selling propositions is that anyone can register as a trip leader, creating a diverse and authentic selection of trips for travelers. TemanTrip provides standardization for trip leaders by ensuring that all registered leaders have met specific requirements and have a verified profile.

Nextpay

Nextpay is the first all-in-one banking suite for small businesses in the Philippines. Entrepreneurs and small businesses can use Nextpay to receive payments via digital invoices and manage their finances.

NextPay offers a fast, simple, and affordable set of business banking services where business owners can easily sign up and start collecting money (e.g. send invoices, accept payments, etc.), manage their money (e.g. real-time reporting, integration with HRIS and accounting systems), and send money (e.g. salary payouts, supplier payments, and bills payments). There are no setup fees, maintaining balances, or ridiculous requirements either, making it accessible to even the solo entrepreneur.

Pin’J

Pin’J is a B2B closed-loop working capital financing fintech for workers in the gig economy. Their aim is to help individual gig economy workers secure their livelihood by optimising their income opportunities and working with gig economy businesses to fulfil their operation needs.

Pin’J’s closed-loop model is an embedded lending ecosystem that integrates inventory financing with end users to disburse credit from merchants onboarded as partners into the Pin’J platform. Through their B2B partner, Pin’J’s credit engine incorporates data analytics that is provided by partner companies to build a proprietary driver data model. Funds are disbursed by this engine.

GetSpaces

GetSpaces radically improves the commercial leasing journey by connecting spaces with businesses. The company wants to redefine traditional boundaries of space and time to enable everyone in Asia access to property on their own terms. Simply put, everyone should be able to access space based on their needs rather than be constrained by supply. That is why at GetSpaces, they offer the most flexible commercial lease solution in the market where businesses can rent a space for as short as an hour to as long as a few years.

Lokein

Lokein is a full-suite social commerce platform that helps easily digitise and digitalise business owners, brand owners, and MSMEs including second-hand goods merchants, while at the same time, helping them manage their business easily anytime, anywhere. With Lokein’s solution, MSMEs can simply digitalise and digitise their business with a no-code omni-channel social selling software that enables MSMEs to sell seamlessly and manage their businesses efficiently.

The software includes an e-commerce storefront, full-suite seller dashboard, custom landing page builder, built-in marketing tools with AI assistant, Bahasa Melayu Chatbot AI assistant, affiliate system, and e-POS manager. The solution is a lightweight, fast, responsive e-commerce software that comes with a pre-fixed template where users can set up their store in just seven minutes.

PETSKITA

PETSKITA is the first pet parenting app in Indonesia — a one-stop solution platform offering pet supplies and services with personalised “pet profile” features, transforming the way pet parents shop.

72% of Indonesian households own a pet. But, the pet industry in Indonesia and Southeast Asia is still very fragmented and under-penetrated. Some of the major problems being the hassle that pet parents face with having to navigate through many different platforms. It’s also hard to access trusted and quality products and services, which makes the overall buying experience for pet products inconvenient. PETSKITA is solving those problems by building a one-stop solution platform offering pet supplies and services with personalized “pet profile” features – transforming the way pet parents shop.

SMARTR

SMARTR is an enterprise software that leverages advanced data visualization and automation technologies to help organisations effectively discover, manage, and develop their talents. SMARTR’s mission is to empower young professionals to excel at what they do best.

They enable professional HR and business owners to make data-driven decisions for their training programs, help industry experts, trainers, and training centres to be worry-free through their partnership programs and focus on sharing their knowledge. They also help enable working professionals to reach their full potential through learning and competency development.

TABLE (Thailand) Co. Ltd.

TABLE is Thailand’s newest booking platform for lifestyle and beyond. They offer quick and convenient online table reservations, event discovery/booking as well as exclusive value-for-money deals and unforgettable experiences.

Since restarting activities in November 2022 (post-Covid), the company has grown from 0 to 100s of bookings per month — all organic (no paid ads) and branched out from Bangkok to add Koh Samui, Koh Phangan, Phuket, and Pattaya.

A step closer to the 2023 TOP100

After a rigorous screening process, these startups are a step closer to qualifying for this year’s TOP100.

If you are one of the founders of the startups above, a representative from e27 will be reaching out to you soon to discuss with you the next step in your application process. Feel free to get in touch with us for any inquiries.

Also read: Check out these 15 startups closer to conquering the 2023 TOP100

If you have an exciting startup with innovative ideas that can eclipse the best and the brightest in the region, join the 2023 TOP100 and stand a chance to pitch your ideas to some of the top investors in the Asia-Pacific at this year’s Echelon Asia Summit. Register for TOP100 here.

The post 8 startup frontrunners vying for a spot in the 2023 TOP100 appeared first on e27.