Proximity-based mobile payment startup ToneTag has raised $1 million in funding from Reliance Capital’s venture fund arm.
ToneTag’s contactless payment system integrates its own SDK at the merchant’s end as well as well with consumer facing m-wallet and m-banking apps.
Unlike NFC or QR codes which are hardware dependent, ToneTag does not require any capital investment to upgrade payment infrastructure and works on all devices including feature phones.
ToneTag will utilize the investment in hiring of technical, sales and marketing resources and also to market the product to users and onboard merchants.
The payment solution will work with existing m-wallets, card on file, card present (HCE) and direct bank transfer, which in itself is a great incentive for users to get onboard.