Decentro Raises ₹30 Crore in Series B, Plans Strategic Shift to India

Om Singh

| 2025-06-07 | Business Stories, Funding Feed

fintech, API banking, Decentro, InfoEdge Ventures, RBI license, payment aggregator, India startup, Series B funding, digital payments, financial infrastructure, Neobot, RegTech, KYC API, NBFC, embedded finance, Y Combinator, enterprise fintech, domicile shift, Indian fintech, AI in finance

Fintech infrastructure startup eyes expansion in enterprise adoption, domestic compliance, and product innovation

Funding Led by InfoEdge Ventures

Decentro, a Y-Combinator-backed fintech infrastructure platform, has raised ₹30 crore (approximately $3.6 million) in its Series B funding round. The investment was led by InfoEdge Ventures, with participation from new investor Stargazer Growth and existing backer Uncorrelated Ventures.

The fresh infusion of capital will be utilized to accelerate enterprise adoption, strengthen product capabilities, and amplify go-to-market efforts targeting banks, NBFCs, digital lenders, and other financial institutions.

Rohit Taneja, co-founder and CEO of Decentro, said in an official statement, “Our mission is to simplify financial integrations across sectors, and this fundraise gives us the boost we need to scale in India while enhancing our capabilities globally.”

From Singapore to India: Domicile Shift in the Works

As part of a strategic recalibration responsive to India’s evolving regulatory and fintech context, Decentro has also made an announcement to shift its parent company domicile from Singapore to India within the next six to eighteen months.

This is occurring while there is momentum in the Indian startup ecosystem calling for startups incorporated abroad to shift their domiciles back to their origins in India. Although the calls for Indian-origin startups to return home are often cloaked in the guise of regulatory compliance/objectives and alignment of investments with Indian economic interests, Decentro hopes that shifting its base to India will allow them to take greater advantage of the burgeoning fintech ecosystem, as well as contribute to the country’s growth in digital finance infrastructure.

A Comprehensive Fintech Stack: APIs, Risk Engines & AI Collectors

Founded in 2020 by Rohit Taneja and Pratik Daudkhane, Decentro operates as a plug-and-play API banking platform. The startup simplifies complex banking integrations for businesses and offers infrastructure for payments, account verification, KYC, UPI stack, and more.

Among its latest innovations:

Scanner: A real-time risk assessment engine to flag suspicious or high-risk users.
Neobot: A multilingual AI-powered voice bot designed for efficient and empathetic debt collections. The bot supports over 10 Indian languages and reportedly helped improve recovery rates by up to 5%.
Flow 2.0: A redesigned payment stack that reduces operational costs by nearly 30% and accelerates integration timelines by three times.

The platform currently processes over ₹50,000 crore in payment volume annually and serves more than 1,300 businesses, including major banks, NBFCs, insurance firms, and lending platforms.

Profitable Growth Meets Temporary Setback

According to data from startup financial intelligence platform TheKredible, Decentro recorded a 47% year-on-year increase in operating revenue, growing from ₹12 crore in FY23 to ₹17.7 crore in FY24.

However, despite a previous year of profitability, the company reported a net loss of ₹2.46 crore in FY24. Industry analysts attribute the dip to heightened R&D investments, aggressive hiring, and scaling go-to-market operations. Still, Decentro’s gross margins remain healthy, and the company continues to maintain operational efficiency.

Also Read: Stride Green Raises $3.5 Million to Boost Clean-Tech Financing in India

Regulatory Milestone: RBI Payment Aggregator License

In a major milestone earlier this year, Decentro became one of the youngest fintech companies to be awarded a Payment Aggregator (PA) license by the Reserve Bank of India. The license allows Decentro to operate as a fully regulated entity in India’s rapidly growing digital payments space.

This RBI recognition not only enhances Decentro’s credibility but also ensures tighter compliance with local payment norms, a crucial factor as it expands its client base among Tier-1 banks and large enterprises.

A Fast-Evolving Sector with High Stakes

The Indian fintech infrastructure market is experiencing significant tailwinds, driven by increasing digital adoption, UPI growth, and demand for seamless financial integrations. According to a report by BCG and FICCI, the Indian fintech sector is expected to reach a market size of $150-160 billion by 2025, up from $50 billion in 2021.

Decentro’s product suite, spanning KYC APIs, lending infrastructure, payouts, collections, and now AI-powered voice agents, positions it well to address the diverse needs of modern financial institutions. Its client portfolio already includes leading digital lenders, neobanks, and emerging fintech startups.

Future Roadmap: Deepening the Stack & Expanding Partnerships

With this latest round of funding, Decentro aims to double down on core product development, particularly in fraud prevention, onboarding, and reconciliation automation. The startup also plans to expand strategic partnerships with legacy banks and emerging neobanks to build customized integration modules.

In parallel, the team is investing in talent acquisition and regulatory technology (RegTech) to maintain high standards of compliance as it continues scaling.

Conclusion

With its increasing presence in India’s API banking and fintech infrastructure ecosystem, Decentro is clearly embarking upon its next phase of growth. The Series B funding round and domicile shift to India further illustrate Decentro’s serious commitment to the Indian market; its product innovation and regulatory compliance networks both demonstrate its suitability to support the future of embedded-finance businesses in India.

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