Gold-based Lending Platform Indiagold Raises $12M In Funding
Gold-based lending platform Indiagold has raised $12 million in a fresh funding round led by PayU and Alpha Wave Incubation.
The funding round also saw participation from Better Tomorrow Ventures, 3one4 Capital, Rainmatter Capital, and existing investor Leo Capital. As per the startup, the raised funds will be used for expanding the operations across the country in the next two years.
Indiagold | Loan Against Gold
Started in 2020 by Nitin Misra and Deepak Abbot, Indiagold is a gold-based lending platform providing instant gold loans and secure gold locker services at much cheaper rates than traditional banks. The New Delhi-based platform also offers a credit line for the deposited gold.
Speaking on the development, the founders said,
“India offers a large $650 billion addressable gold loan market which is highly fragmented and currently dominated by the informal segment.”
Nitin and Deepak added,
“Even the formal segment hasn’t adopted digital practices at scale. Indiagold’s suite of financial products bridges this critical need gap…”
As per the World Gold Council, Indian consumers are sitting on a $1.5 trillion hoard of gold that is mostly in the form of ornaments passed down for generations. Additionally, the council expects the gold loans market to grow at an annual rate of 15.7% to reach Rs 4.617 lakh crore in FY22.
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