Better Capital flags fintech infrastructure as the foundation for India’s digital finance growth

Better Capital points to portfolio firms M2P, Upswing and Hyperface as examples of the infrastructure layer enabling banking connectivity, card issuance, investing and compliance products across India and overseas markets.

— Source publishedTue, 8 Sept, 2026, 11:55 IST·First seen Tue, 8 Sept, 2026, 11:57 IST·Source Entrackr · Newsletter

What happened

Better Capital highlights India’s fintech infrastructure opportunity, citing portfolio companies M2P, Upswing and Hyperface. The investor says infrastructure

Key facts

  • six or seven years
  • five-part series

Why this matters

Retail and financial-services strategics should evaluate partnerships or acquisitions in API-led fintech infrastructure to accelerate payments, credit and loyalty-finance offerings.

What to watch

  • New RBI guidance affecting digital lending, KYC, card issuance, account aggregation, data sharing or fintech-bank outsourcing.
  • Major partnerships between retailers, marketplaces or quick-commerce firms and card-issuance, banking-connectivity or lending-infrastructure providers.
  • Changes in UPI monetization, credit-on-UPI adoption, co-branded card rules and interchange economics.
  • Fintech infrastructure funding rounds, consolidation, outages or partner-bank disruptions involving M2P, Hyperface, Upswing or comparable providers.
  • Evidence that embedded credit raises retail conversion without materially worsening delinquency, fraud or customer-acquisition costs.
  • Prioritize payment, loyalty and credit use cases where financial products directly improve conversion or retention rather than launching standalone fintech features.
  • Evaluate fintech infrastructure partners on bank relationships, RBI compliance readiness, API reliability, fraud tooling, data-governance controls and ability to support multi-market expansion.
  • Structure co-branded card and embedded-credit programs with clear ownership of underwriting, collections, customer support, fraud losses and regulatory disclosures.
  • Use transaction and loyalty data to segment pre-qualified offers, while maintaining explicit customer consent and minimizing data-sharing risk.
  • Pilot merchant working-capital, supplier payments or settlement products if the retailer operates a marketplace, franchise network or large vendor ecosystem.

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