VC funding in Q1 2025 remains flat; Binance on Indian crypto ecosystem

Hello,

There are more green number plates on the road than ever before.

In FY25, India registered 1.96 million units of electric vehicles—a growth of 17% YoY, according to the Vahan portal. It was driven by growth in two-wheelers, three-wheelers, and passenger vehicles as established brands expand aggressively.

Ola Electric maintained its leadership in the electric two-wheeler segment in FY25, selling nearly 3.5 lakh vehicles with a market share of 30%. However, the company seems to be in hot water as it fell to the third spot, behind Bajaj Auto and TVS Motor, in March 2025.

The EV maker has been facing inquiries over discrepancies in sales data and non-compliance with trade requirement certificates, stating in a filing that the shift to in-house vehicle registration has created a backlog.

Meanwhile, MG Windsor has asserted its position as the best-selling electric car in India, with over 15,000 units sold. The secret sauce? Its battery-as-a-service programme lowers the upfront cost of the vehicle as owners pay for the battery on a pay-per-usage model.

In other news, the taxman has come knocking on Swiggy’s door. 

The foodtech company has received an assessment order for unpaid dues of Rs 158 crore. It plans to repeal the order, saying it will have no major impact on its finances.

Taxes are certainly taxing.

In today’s newsletter, we will talk about 

• VC funding in Q1 2025 remains flat
• Binance on Indian crypto ecosystem
• Ride in style with Luxorides

Here’s your trivia for today: What country has the highest public debt burden in the world?

Funding

VC funding in Q1 2025 remains flat

Venture capital funding into Indian startups remained flat for the first three months (Q1) of 2025, as larger value deals declined during the period. According to YS Research, Indian startups raised a total of $2.52 billion in VC funding in Q1 2025 across 312 deals, compared with $2.53 billion in the same period last year, with 310 deals. 

On a quarterly basis, funding declined 17.2% compared to Q4 2024 (October to December), where startups bagged $3 billion across 269 deals.

Key takeaways:

• For the first time this year, monthly funding crossed the $1 billion mark. The total VC funding for March stood at $1.1 billion compared to $669 million in February and $712 million in January.
• In Q1 2025, growth-stage startups raised the highest amount at $852 million across 26 deals, followed by the early-stage category at $805 million with 250 deals. 
• The startup capital of India, Bengaluru, bagged the highest VC funding amount at $1.1 billion, followed by Mumbai at $519 million and the Delhi-NCR region at $446 million.

Funding Alert

Startup: The Bear House

Amount: Rs 50 Cr

Round: Series A

Startup: Tvaster Genkalp

Amount: $1.25M

Round: Pre-Series A

Startup: Hasiru Dala Innovations

Amount: Rs 6 Cr

Round: Pre-Series A

Cryptocurrency

Binance on Indian crypto ecosystem

Binance, the world’s largest crypto exchange in terms of trading volume, re-entered India in August last year, after briefly pausing activities to receive FIU-IND compliance. This month, Abu Dhabi-based MGX made a $2 billion investment in Binance, marking the largest investment to be paid in crypto.

Speaking to YourStory on the Indian crypto landscape, Vishal Sacheendran, Head of Regional Markets, sheds light on the country’s compliance landscape, how Binance focuses on educating investors, and the unique demands of the Indian crypto investor community. 

Possibilities:

• “India is a massive market, and interest spans generations. Growing up, investments meant real estate, mutual funds, or FDs. Now, when your 80-year-old mom calls and asks if she should invest in Bitcoin, you know crypto has become mainstream. It’s become a buzzword, and everyone’s paying attention,” he said.
• “...with Bitcoin ETFs now a regulated asset class, it’s almost a fiduciary duty for investment managers to inform their clients. Many Indian investors already put money into global markets, so if their risk appetite aligns, they should at least consider it,” Sacheendran added.
• Right now, only about 1.7% to 2% of the world actively uses crypto. If we can double that to 4% in the next five years, that’s a huge win—not just for Binance but for the [crypto] industry, he added.

Startup

Ride in style with Luxorides

Delhi startup Luxorides offers premium cars on rent—from brands such as Mercedes, Audi, and Jaguar—for travel, airport transfers, film shoots, weddings, and other occasions. It has so far managed transportation for celebrities such as Amitabh Bachchan, Akshay Kumar, Alia Bhatt, Nargis Fakhri, Ranbir Kapoor, and Deepika Padukone, as well as provided its services at the G20 Summit in New Delhi, and more. 

Luxe rides:

• It provides sedans from brands, including Audi, Jaguar, and BMW; luxury convertibles from Mercedes and Porsche; and luxury SUVs like Range Rover and Hummer. It also rents out Chrysler Limousines and Ford Mustang GTs for film shoots.
• The company has a fleet of around 1,000 vehicles. While some cars are owned by the company, the rest are leased through partnerships with travel agencies and independent car owners.
• In the next six months, Luxorides aims to extend its services beyond the road and venture into air and water mobility with private jets and luxury yachts and cruises.

News & updates

• Tariff: White House aides have drafted a proposal that would levy tariffs of roughly 20% on most imports, The Washington Post reported. It also said White House advisors cautioned that several options are still on the table, meaning the 20% tariffs may not come to pass. Another plan considered is the country-by-country “reciprocal” approach.
• Markets: Indian shares logged their biggest one-day drop in a month on Tuesday as concerns regarding US reciprocal tariffs dragged the heavyweight IT and financial indexes. The NSE Nifty 50 fell 1.5% to 23,165.7, while the BSE Sensex lost 1.8% to 76,024.51, in their steepest drop since February 28.
• New model: Alibaba Group Holding plans to release Qwen 3, an upgraded version of its flagship AI model, as soon as this month, as competition from rivals, including OpenAI and DeepSeek, heats up. The Hangzhou-based company’s new offering may arrive later in April, though the exact timing could still slip.

What country has the highest public debt burden in the world?

Answer: Japan. It has a debt-to-GDP ratio of 242%.

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