Visa invests in Japan-based fintech startup Paidy

According to TechCrunch, the startup states that cash accounts for 40% of the country’s JPY 16.5 (USD 148 billion) annual ecommerce spend. Paidy aims to change the current state of affairs in the country with an account tied to a customer’s phone number or email address that sits as a payment option at ecommerce checkouts. The startups also offers payback options to give users the features of a credit card.

The company claims there are 1.5 million active Paidy accounts and it is aiming to grow that figure to 11 million by 2020 by onboarding large retailers who integrate the service into their online sales process, the online publication continues.

Paidy counts Itochu Corporation, Goldman Sachs, Eight Roads (the investment arm of Fidelity), SBI Holdings, SBI’s FinTech Business Innovation LPS, Arbor Ventures and SIG Asia as existing investors.