Fintech Startup Zynk Secures $5 Million Seed Funding for Global Payment Solutions

Fintech startup Zynk has successfully closed its seed funding round, securing $5 million (about INR 44 crore). The round was spearheaded by Hivemind Capital, a firm specializing in Web3 and blockchain investments. Other notable investors participating in this funding include Coinbase Ventures, Transpose Platform VC, Polymorphic Capital, and Tykhe Ventures.

Founded in April 2025 by Prashanth Swaminathan (ex-Woodstock Fund), Manish Bhatia (ex-Amazon Pay India CTO), and Abhishek Pitti (IBC Media cofounder), Zynk aims to revolutionize global payment systems. Its core service is to facilitate instant cross-border settlements for international payment companies, charging a fee based on transactions or liquidity usage.

The newly acquired capital will be strategically deployed to expand Zynk's international money transfer network, which currently supports currencies like the US Dollar, Euro, Dirham, Indian Rupee, and Peso. The company also plans to bolster its security and compliance systems to adhere to global financial regulations. Furthermore, Zynk intends to forge partnerships with banks and payment firms worldwide to streamline cross-border transactions.

Zynk leverages a blockchain-based platform that allows its partners to scale globally without the usual hurdles of local licensing or establishing multiple banking relationships. The startup positions itself as the underlying infrastructure for fintechs, remittance providers, trading platforms, exchanges, neobanks, and payroll systems.

This development occurs amidst a significant surge in cross-border payments originating from or involving India, fueled by increasing global trade, the growth of the gig economy, and rising international travel and education. Traditional cross-border payment systems often suffer from high fees, lengthy settlement times, and regulatory complexities. Fintechs like Zynk are addressing these issues by utilizing technologies such as blockchain and AI to offer real-time settlements and improved tracking capabilities.

Prashanth Swaminathan explained that cross-border transactions are prone to delays due to complex systems like SWIFT correspondent banking networks and liquidity shortages. He noted that fintechs overcome this by using capital to pre-fund transactions in destination countries, enabling faster settlements and greater predictability for businesses.

Impact: This funding round is significant for Zynk's growth and its ability to enhance cross-border payment efficiency. For investors in the fintech sector, it signals continued interest and potential in solutions that address global payment friction. The expansion of such services can positively impact Indian businesses involved in international trade by reducing costs and speeding up payment cycles. Rating: 7/10

Difficult terms: Fintech: Financial technology, companies that use technology to offer financial services. Web3: The next evolution of the internet, emphasizing decentralization, blockchain, and token-based economics. Blockchain: A distributed, immutable ledger system that records transactions across many computers. Seed funding: The first official equity funding stage for a startup, used to finance early operations. Cross-border settlements: The process of transferring funds or assets from one country to another to finalize a transaction. Liquidity: The ease with which an asset can be converted into cash without affecting its market price. Fiat currency: Government-issued currency not backed by a physical commodity like gold. Payment Aggregator–Cross Border (PA–CB): An entity licensed by the Reserve Bank of India to facilitate cross-border payment transactions. SWIFT: Society for Worldwide Interbank Financial Telecommunication, a global network used by banks to send and receive information securely. Correspondent banking: Banking services provided by one bank on behalf of another bank, typically in a different country. Gig economy: A labor market characterized by the prevalence of short-term contracts or freelance work, as opposed to permanent jobs. UPI: Unified Payments Interface, an instant real-time payment system developed by the National Payments Corporation of India. Non-Resident Indians (NRIs): Indian citizens living outside India. Interoperable payments: Payment systems that can work together seamlessly across different platforms or countries.