ToneTag, CityCash Among Fintech Startups Added To RBI’s Retail Payments Regulatory Sandbox

The Reserve Bank of India (RBI) has added four more startups to its regulatory sandbox cohort for digital retail payments, taking the total number to six. Fintech startup ToneTag, Mumbai-based PoS smart card provider CityCash, voice biometrics authentication startup Ubona Technologies, and Delhi NCR-based Eroute Technologies have been selected for the cohort.

The four startups join Jaipur-based Natural Support Consultancy Services and Delhi-based Nucleus Software Exports in the cohort. Both companies had already begun testing their payments solutions under the sandbox framework in November this year.

Natural Support Consultancy Services’ product ‘eRupaya’ is a set of near-field communication (NFC)-based prepaid card and NFC-enabled point of sale (PoS) device, while Nucleus’ ‘PaySe’ helps connect with rural areas for epayments. Both help facilitate offline transactions at merchants and retailers in remote locations.

New Fintech Startups In RBI’s Retail Payments Sandbox

Like the existing companies in the cohort, the new startups also work in various areas solving problems in retail payments as identified by the RBI.

CityCash offers a smart card for NFC-based contactless payments. Founded in 2017, it’s working with state government transport departments and tourism authorities to facilitate card-based payments. It was part of VC firm Orios Venture’s third cohort of the Misfits programme, announced in August 2020.