Bengaluru-based blockchain startup New Street Technologies has raised $2 million (about Rs 14 crore) in a series A round led by Unitus Ventures along with clutch of businessmen who participated in their personal capacities.
The company, established by former Citibank senior executive Sajeev Vishwanathan and Mohit Davar, chairman of the International Association of Money Transfer Networks, in August 2017 is in the business of connecting shareholders in the economic services sector through a blockchain network.
“We have already disbursed loans of around Rs 30 crore for one of our bank partners in partnership with business correspondents and have a mandate to do around Rs 1,000 crore for them through a three-year agreement,” stated Vishwanathan.
With the new funding the company is intending to scale up its operations and increase beyond Karnataka and offer more products. Including a blockchain based platform to ease fund flow to the last mile, it plans to use the ‘distributed ledger technology’ to lend to families of migrant workers based on their remittance history.
“We have begun the product in partnership with a bank in Nepal, however we are now in conversations with UNCDP (United Nations Capital Development Fund), which really wants to take our lending based on remittance product to other remittance corridors as well,” stated Vishwanathan.
The company plans to take the product to another remittance corridors across Southeast Asia, among other markets.