ToneTag, a global offline proximity based mobile payment technology startup, has raised $1 Million in funding from Reliance Capital’s Venture fund arm. Founded in year 2013 by ex-Infosys Kumar Abhishek and co-founder Vivek Kumar Singh with clutch of Angel Investors like Ram Sellaratnam and Rajesh Yohahanna, ToneTag enables contactless payment solution in
existing payment eco system by integrating its proprietary software development kit (SDK) at both Merchant (mobile,POS,EDC) and Customer interaction points (M-Wallet, M-Banking Apps).
“ToneTag has placed itself as an enabler to make mobile transactions a reality for all. Our technology is providing tools to all stakeholders- the issuers, the acquirers, the merchants and the consumers to realize frictionless in-store and in-app mobile payments. It is going to redefine payments in the future,” said Kumar Abhishek, CEO at ToneTag. “Reliance understands disruption and value technology innovation. ToneTag will benefit immensely from their forward looking culture and global service network.”Unlike NFC or QR Codes, which are hardware dependent; ToneTag works on all mobile devices including feature phones and does not require any capital investment in existing infrastructure.
“We plan to use most of the funding for Hiring Technical and Sales & Marketing resources, Marketing for influencing user adoption and Sales to enable merchants accept cashless transactions. We are not only building a world class product, but we are also investing in building a world class team which reflects innovation both on technology and business fronts”, said Himaghna Dey Sarkar, VP & Head of Business Development at ToneTag.
Fund Manager, Reliance Venture Asset Management, said “We are delighted to provide the consumer a frictionless off-line mobile payment solution which offers both convenience and security. The consumer now has the ability to make payments directly from their mobiles phones using their existing m-wallets, card on file, card
present (HCE) and direct bank transfer options. We believe this product enriches the transaction experience of the consumer and will assist in changing the proximity payment landscape”.
Mumbai based Investment Banking firm Multistrato Capital Advisors was the financial advisor for the deal.
In a span of two years since its inception, ToneTag has created ripples in the industry and has given a new significance to the mobile payment technology. ToneTag was declared as a winner of Great Tech Rocketships as India’s fast growing Technology Company. It’s also been selected as a product startup in inTech50 in the year 2015.
Apart from these, ToneTag has been reviewed as an alternative contactless payment by multiple card networks and was the finalist in Citi Mobile Challenge held in New York