Neobank Startup Jupiter Gets Final RBI Nod For Mobile Wallet License
The startup is backed by notable investors such as Tiger Global, Peak XV, and Matrix Partners
### Jupiter Secures RBI Approval for Prepaid Payment Instrument License
Jupiter, a neo-banking startup supported by Tiger Global and Peak XV Partners, has received a Prepaid Payment Instrument (PPI) license from the Reserve Bank of India (RBI). This approval allows Jupiter to offer digital wallets to users making UPI payments and transferring funds.
A PPI license is a regulatory endorsement from the RBI for entities providing prepaid payment services. With this license, Jupiter plans to introduce the prepaid account facility in the coming months.
Jitendra Gupta, Founder and CEO of Jupiter, highlighted the significance of this development: “PPI functionality today is almost equal to a bank account and has all the required facilities for a user to operate the account for most types of payments, i.e., UPI payments and gift cards.” Gupta added, “Through PPI, we intend to significantly increase our user base, particularly those who want to use accounts exclusively for UPI and similar transactions, offering a safe and risk-free option.”
Jupiter had received in-principle approval from the RBI last year. Gupta emphasised the importance of regulatory compliance, stating, “While we received in-principle approval from the RBI last year, it is important for Jupiter to be fully compliant with all regulatory requirements. The final authorisation was received today.”
Founded in 2019, Jupiter Money offers a range of financial services through its website and mobile app, including credit cards, expense management, UPI payments, savings accounts, investments, loan services, and mutual funds. The startup is backed by notable investors such as Tiger Global, Peak XV, and Matrix Partners. Jupiter has raised USD 165 million through multiple equity funding rounds and was valued at USD 654 million as of June 2023, according to data platform Tracxn.
Earlier this year, Amica Financial Technologies, which operates Jupiter, received a non-banking finance company license from the central bank. This further solidifies Jupiter’s position in the fintech sector, enhancing its capacity to provide diverse financial services.
