Bengaluru-based ToneTag, a startup with a focus on mobile payments has received new funding. The $1.33 million of funding comes from Tropical Star limited, Financial Express reported. The fintech startup founded in 2014 provides a mobile payment platform which is available on all mobile devices. The program enables users to send and receive payments whether or not they have internet access because of the platform’s use of sound and near-field communication tags.

With the number of smartphone users expected to grow to 500 million by the year 2020 according to a PWC report, the startup, founded by Vivek Singh and Abhishek Kumar, is in a sector which can be expected to see expansion in its user base.

The platform also provides users with other services based on location or proximity. The company, operated by Naffa Innovations also allows for withdrawals at ATMs of contactless money, mobile payments for railway tickets, tolls and parking. The platform is available to both merchants and other customers.

The company has previously received investments from the Reliance Venture Asset Management in 2015 and Nasscom foundation trustee Arun Seth, TV Mohandas Pai, Anand Chandrasekaran, and Deepak Ghaisas in 2016.

The startup developed plans last year to use technology from Infosys Finacle in a joint partnership to provide users with a service for proximity payments.

(Picture courtesy: https://www.startpath.com/)