CoinSwitch Parent Takes On Zerodha, Groww With Stock Trading App Lemonn
For the initial three months, Lemonn will be not be charging customers any brokerage fees for trades.
CoinSwitch parent PeepalCo on Tuesday announced its formal expansion into stock broking with Lemonn, taking on well-entrenched giants such as Zerodha, Groww and Upstox.
Lemonn will aim at solving two problems -- decision-making and stock discovery, according to Ashish Singhal, co-founder and group chief executive at PeepalCo.
"Stock investing is largely broken today and mainly focused in urban centres. We've seen tens of players in the field do amazing work, but today's stock apps have solved for urban customers," Singhal said.
For the initial three months, Lemonn will not be charging customers any brokerage fees for trades. Apart from that, the app will showcase expert ratings for stocks, backed by research reports.
It will also have sections where investors can put their money in stocks based on ideas in trending sectors such as electric vehicles or semiconductors.
"The first target is to reach a product market fit with Lemonn," Singhal said. "We'll be focusing on scaling after that."
Lemonn will be housed as a separate business division with its own managing and operations teams led by Devam Sardana, who assumes the role of business head.
"We will be considering getting into stock advisory soon. The app focuses only on equities right now, but we will launch a bunch of products and cater to futures and options, mutual funds and applying for IPOs," Sardana said.
PeepalCo has over five years of runway left, to run and scale both their brands, Coinswitch and Lemonn, and there is no plan for a fresh fundraise so far, Singhal said.
There also wouldn't be any customer data flowing between the two entities, and both would operate in silos. "We'll be showing our new product on Coinswitch, but users will have to sign up and get their KYCs done separately," Singhal said.
