India's First Ed-fintech Startup Akudo registers 1 million members on its platform


India's First Ed-fintech Startup Akudo registers 1 million members on its platform

In the last five months, akudo, India's learning-first neobank for youth, has seen a 500 percent surge in its registered user base.

On its platform, the start-up has 1 million members, allowing youngsters to make financial decisions in a safe and supervised setting.

The user base of akudo demonstrates how smaller cities and villages are adopting ICT solutions for personal finance as well. Tier 2 cities like Patna, Lucknow, Indore, Ranchi, and Chandigarh account for half of the 1 million users, with monthly spends comparable to Tier 1 cities like Bangalore, Delhi, and Mumbai.

Y-combinator, JAFCO, and Incubate India, to mention a few, led the seed round in September 2021, raising USD 4.2 million.

By the end of 2022, the startup hopes to reach more than 5 million families, with a greater emphasis on fostering open financial communication between parents and children.

"Just like learning a skill, adopting great money habits is easier when you're young," Lavika Aggarwal, Co-founder of akudo, remarked of the positive growth numbers. At akudo, we've developed cutting-edge practical and theoretical approaches to teaching teens about financial awareness and money management.

"Research shows that we form most of our basic money habits by a very young age whereas, in the real social context, we only develop any money management skills when we're an adult trying to manage our own finances. Akudo's prepaid Visa card, which is backed by family-friendly controls and oversight, is assisting youngsters in beginning their journey to financial independence. The software also includes a section on financial goal-setting, savings, and a gamified rewards system to encourage kids to develop good financial habits. Customers between the ages of 11 and 18 use their prepaid card to use pocket money or spend on daily expenses, according to the start-up," added, Lavika Aggarwal.

Akudo is India's first teen-focused ed-fintech company. The fintech business intends to create a guardian-child ecosystem in which teenagers can make financial decisions in a safe and controlled environment. With over a million members, akudo is leading the way in India for learning first banking by introducing teens to banking and assisting them in developing healthy spending and saving habits. Y-combinator, JAFCO Asia, Incubate India, and angel investors like Lalit Keshre, Co-founder of Groww, to mention a few, have backed the company.