Blostem raises pre-Series A funding; Rainmatter picks up 9% stake

B2B banking infrastructure platform Blostem has raised its Pre-Series A round led by Rainmatter, the investment arm backed by Zerodha, for an undisclosed amount. The round gives Rainmatter a 9% stake in the startup. 

Founded by Ravi Jain, Sandeep Garg, Uday Sharma, and Pankaj Pratap Singh, Blostem offers a plug-and-play layer that enables brokers, fintech apps, payment players, and wealth-tech firms to offer digital retail-banking products without building integrations with each bank. Its stack supports fixed deposits, FD-backed credit cards, and Credit-on-UPI. Partners integrate once and gain access to multiple banks and NBFCs through a unified API.

The firm has built a network of 10 banks and NBFCs for its fixed-deposit product, including Suryoday Small Finance Bank, Unity SFB, Shivalik SFB, Utkarsh SFB, Bajaj Finance, Shriram Finance, and Mahindra Finance. More integrations are in progress.

Blostem works with large fintech platforms such as Mobikwik, Jupiter Money, Upstox, Aditya Birla Capital Digital, IRIS by KFin Technologies, Centricity Wealth, and GoldenPi. The company said its FD marketplace will go live on Zerodha and other large platforms shortly. Blostem aims to capture 40% of India’s digital FD volumes over the next few years through its partner ecosystem.

The proceeds will be used to expand its distribution network, strengthen partnerships with banks, and launch new products including FD-backed credit cards and Credit-on-UPI. Funds will also be used to hire senior talent across technology, compliance, and partnerships.