Mobile payment startup Qvivr announced today a funding round of $5 million.
Founded in 2013, the Santa Clara, Calif.-based startup has been developing Swyp (pronounced Swipe) over the past two years. The product is a connected card, or “smart wallet,” that consolidates any credit, debit, or loyalty cards.
Users can then taptically select which card they want to use and connect Swyp to the Qvivr mobile app to customize and control every transaction. Tens of thousands of people have preordered the card, Qvivr founder and chief executive Ashutosh Dhodapkar told VentureBeat in an email.
Competitors include giants like Android Pay and Apple Pay, but also smaller players like Coin and Plastc.
Swyp was initially scheduled to be shipped to customers in 2016. However, due to logistical problems, the product will only be shipped later this year. “The manufacturer at the time could not ramp up production and maintain quality so we had to make the difficult decision to move to a different CM [contract manufacturer] and commence shipping in 2017,” Dhodapkar wrote. Customers paid $79 plus shipping for the card.
In the meantime, Qvivr is working on a second product, especially designed for millennials. “The new product is a fresh take on consumer payment cards that transforms every payment into a social experience,” Dhodapkar wrote. The startup will release more information about it later this year.
The round was led by Khosla Ventures, with participation from other investors, including a multinational bank based in Asia that does not wish to be named. The new money will be used to expand sales, accelerate product development, and introduce Qvivr into new markets. The startup currently has 15 employees.