170: Unravelling Fintech Infra and Banktech Opportunities

On our latest episode of Reflections, join us as we unravel opportunities in Fintech infrastructure and Banktech. We will explore the changing landscape of BaaS and delve into how it has revolutionized the delivery and accessibility of financial services. The episode covers:

🚀 BaaS 2.0: BaaS 2.0 represents the evolution and maturation of the concept since its initial inception. BaaS 2.0 offers a more robust and scalable platform, enabling a wider range of services and features.

🔀 Fintech vs. SaaS: What aspects are different? While both Fintech and BaaS focus on leveraging technology in the financial sector, they differ in their primary offerings.

💡 Exciting spaces and our investment framework: Within the BaaS ecosystem, we are excited about certain spaces like payment gateways, lending platforms, wealth management solutions and more. We will discuss our investment framework used to evaluate and select opportunities.

🌐 Identifying adjacencies and tapping into them: Adjacencies play a crucial role in the growth and expansion of BaaS platforms. Tapping into adjacencies is essential for expanding the customer base, increasing revenue streams and creating synergies.

🔧 Skillsets required for building a Banktech play: Building a successful Banktech platform requires a specific set of skillsets. These include expertise in banking operations and regulations, technology infrastructure, regulatory compliance, and customer experience.

📲 Indian rails as public goods vs. private in the US: Boon or bane? The Indian rail infrastructure, including Aadhaar Authentication (AA), Unified Payments Interface (UPI), and Open Credit Enablement Network (OCEN), is considered public goods. In contrast, the rail systems in the United States are predominantly private. Comparing these two models raises important questions about the benefits and challenges of each approach.

🌍 Global expansion: Is it imminent? As the BaaS industry grows, evaluating the Total Addressable Market (TAM) in India is crucial to assess its potential for building a large-scale business. Additionally, exploring the feasibility and necessity of expanding to geographies similar to India provides valuable insights into global expansion opportunities and challenges.