Cross-border payments startup Skydo raises $10 million in Series A round led by Susquehanna Asia Venture Capital

Skydo Founders Srivatsan Sridhar and Movin Jain

Cross-border payments fintech Skydo has raised $10 million in a Series A round led by Susquehanna Asia Venture Capital with participation from existing investor Elevation Capital, at a time when investor interest in cross-border payments startups is picking up again.

The company plans to use the capital to expand local collection capabilities in more than 20 countries, obtain international licences, and build deeper card and compliance infrastructure.

“With this capital, we now have the confidence to invest in the US market, build a team there, and really double down on our global expansion journey,” said cofounder Movin Jain in an interaction with Moneycontrol.

The Bengaluru-based fintech says it serves more than 30,000 MSMEs, freelancers and startups across over 50 cities, processing payments in 32 currencies. In December 2024, the company raised $5 million in a pre-Series A funding round led Elevation Capital.

Skydo was founded in 2022 by Srivatsan Sridhar, former head of business at OLA, and Jain, a former head of payments product at PhonePe.

The startup received in-principle authorisation under the PA-CB regime, allowing it to operate both collections and payouts for exporters.

Until recently, Indian exporters primarily used banks or global platforms such as PayPal, Wise and Payoneer to receive payments.

These channels involve currency mark-ups, fees and longer compliance processes. Skydo says its platform provides transparent pricing and faster settlement, along with tools for invoicing, documentation and reconciliation.

“Our revenue has grown about four times in the last year, and we are projecting a similar trajectory. We are on track to reach five billion dollars in annualised payment volume within two years,” Jain added.

The company said it grew four times over the past year and is targeting USD 5 billion in annualised payment volume within two years. The new capital will also support developer-focused APIs for SaaS firms, marketplaces and fintech companies that want to embed global payment rails.

India’s cross-border payments market is undergoing regulatory change. Razorpay recently received approval under the PA-CB framework, while other payment aggregators are in various stages of compliance.

Recent months have seen a rise in RBI approvals under the Payment Aggregator – Cross Border (PA-CB) framework, creating a small cohort of regulated players.

Alongside Skydo, Pine Labs recently secured the PA-CB licence, adding it to its suite of RBI approvals. Razorpay also received the PA-CB authorisation in December, allowing it to process both inward and outward cross-border payments.

“This space has always been of interest to investors, but now that things are settling macroeconomically, it is easier to take these bets. Payments is a business that is heavily macro-dependent,” Jain said.

Other players that have obtained similar permissions include PayGlocal, which received final approval for two-way cross-border transactions.

Skydo’s funding signals growing investor interest in domestic players building infrastructure for international commerce.

“India's evolving cross-border payment landscape, with the introduction of the new PA-CB framework, demands high-quality, focused players with a technological edge. Skydo’s focus on solving the real costs of cross-border transactions, opacity, time, compliance risk, and working capital blockage is a clear differentiator,” said Bhavanipratap Rana, Investment Advisor to Susquehanna Asia VC.