Cryptocurrency application weTrade aims to clock a turnover of Rs 100 crore by the end of FY23, Prashant Kumar, founder, weTrade, told FE Digital Currency, adding that it has been about three and a half months into operation and it requires to complete four months to be able to compute loss or profit for the first quarter.  The application claims to have currently received a total userbase of 2,600. “We expect to have a million download by the end of this financial year,” Kumar said. The application claims to have grown five times since its incorporation in April of FY23. “We currently have a gross profit margin of 3-4% on the net revenue,” Kumar stated.

When enquired Kumar the exchange undertakes 300 transaction on an average every day, he however declined to comment on the average ticket size of the transaction.  It claims to spend Rs 120 on acquisition of per new customer. Currently, the application earns mainly from the 0.25% transaction fee, including goods and services tax (GST), it charges on trading of cryptocurrencies. “We currently support the trading of around 15 different cryptocurrencies. Customers can start trading post the Know Your Customer (KYC) protocol completion,” Kumar stated.

The application plans to introduce a system to relieve customers of the one percent tax deductible at source (TDS) policy which will be applied on digital currency based transactions from July 1. “Along with availing cashbacks, we will refund the TDS back to customers. Apart from that, we plan to provide a return of over 10% on the amount of revenue which will be generated by customers from cryptocurrency based transactions through our smartdeposit product,” Kumar added.

According to Kumar, the application has raised Rs 15 crore from external investors. Venture capital (VC) firms besides members from e-commerce company Flipkart’s leadership team participated in the round. However, Kumar declined to reveal the names of the investors.