[ad_1]
summary
The company is currently beta testing the investment product and hopes to launch it by next quarter.
In December 2023, the founders of crypto unicorn CoinSwitch launched PeepalCo, an umbrella brand encompassing independent entities such as CoinSwitch, investment platforms, and wealth management platforms.
CoinSwitch recently claimed to have become the first Indian platform to cross 20 million registered crypto users.
Days after CoinSwitch became the first Indian cryptocurrency platform to reach 20 million registered users on its app, its founders have revealed plans to launch an investment platform for retail investors by June 2024.
Speaking to Inc42, co-founder Ashish Singhal said, “We are currently beta testing these products and hope to launch them in the next quarter.”
“…I’ll be able to show off what I’ve learned over the past few years.”, solve Stock market, mutual funds or other products that will be launched in the next quarter,” Singhal added.
Founded in 2017 by crypto traders and ethical hackers Ashish Singhal, Govind Soni, and Vimal Sagar Tiwari, CoinSwitch has a number of notable investments including Andreessen Horowitz, Tiger Global, Sequoia Capital, Ribbit Capital, Paradigm, and Coinbase Ventures. Supported by the company. The company has raised more than $300 million since its founding. The final round in 2021 valued it at more than $1.9 billion.
Last December, the crypto unicorn announced its subsidiary brand, PeepalCo, to unify all its business areas as it moves into the wealth tech space.
Singhal highlighted the strategic importance of Peepalco and said the move will help it transition from a single-product company to a multi-product company.
PeepalCo includes:
- CoinSwitch and CoinSwitch PRO
- Platform featuring new investment classes such as mutual funds, stocks and shares will be launched soon
- Asset management division targeting high net worth individuals (HNI)
So whether it’s CoinSwitch, CoinSwitch Pro or our foray into the Indian equities, mutual funds and HNI asset management space, all the spaces will come under one corporate brand – PeepalCo.
According to Singhal, the new umbrella structure is designed to maximize the organization’s potential and more effectively coordinate the company’s resources.
At the group level (PeepalCo), Singhal has assumed the role of Group CEO, while Tiwari and Govind have assumed the roles of Group COO and Group CTO, respectively. Each business segment is led by an independent business executive.
Additionally, CoinSwitch Ventures, currently overseen by PeepalCo Group leadership, will later be merged with PeepalCo. However, Singhal added that this does not have a major impact on CoinSwitch’s core functionality and offerings.
Conquer existing players and navigate the regulatory maze
The Indian market has a wide range of companies ranging from established traditional institutions like banking groups to fast emerging companies like PhonePe and Paytm Money, whether it’s investing in stocks, mutual funds or other asset classes. There are already a number of players, ranging from technology companies to
How is PeepalCo going to compete with well-funded, fast-growing technology companies in such a crowded landscape?
Singhal compared their approach to cryptocurrencies. He emphasized that they have become one of the largest crypto players in the country, even though they were neither early entrants to the crypto space nor had deep financial resources.
“We were the first to introduce Crypto as we have years of experience in this space and have already developed customized solutions for retail users in India, making their experience simple and accessible. Focused on currencies. Expanded scope to include other asset classes while addressing cryptocurrencies. Despite existing platforms being user-friendly, ) investing in term deposits. Users lacked guidance on when to start or exit their investments, and existing platforms did not effectively address this.” Singhal explained.
He emphasized that the industry’s decision-making process is currently flawed and needs to be addressed, and this is what PeepalCo Group aims to solve.
To enter the mainstream investment and wealth management market, PeepalCo needs to obtain a license from SEBI. However, it remains unclear whether the company has applied for a new license or plans to acquire companies in the sector to pursue its wealthtech ambitions.
Given regulatory concerns, particularly regulators’ past skepticism towards crypto-related companies, Singhal explained: Similar to what PhonePe and Paytm have done, we have set up separate organizations with dedicated teams to manage different asset classes and apps, thereby avoiding duplication. ”
Meanwhile, the founders’ strategic shift into the wealthtech space comes at a time when the future of cryptocurrencies in India looks bleak. As an example, the Union Ministry of Finance is not very keen on promoting cryptocurrencies in the country and its message is loud and clear in the form of 30% crypto tax and 1% TDS on transactions above certain thresholds. It is reported that.
With unfavorable regulatory sentiment, CoinSwitch’s expansion and restructuring is seen by many as a prudent move. But the company’s decision to step into uncharted territory to take on giants like Zerodha and Groww may take some time to bear fruit.
Note: We at Inc42 take ethics very seriously. Learn more about.
[ad_2]
Source link
