India’s leading discount brokerage firm Zerodha is set to launch a fixed deposit (FD) investment feature on its Coin app, marking a significant expansion of its low-risk investment offerings. The rollout, expected within the next two weeks, will allow users to invest in fixed deposits directly through the Coin platform without requiring a savings account with the issuing bank. This move is part of Zerodha’s broader strategy to diversify beyond mutual funds and government securities, offering more stable and long-term financial products to retail investors.
The FD product will be launched in collaboration with Blostem, a New Delhi-based fintech startup specializing in fixed-income solutions. Blostem has already secured backing from prominent investors including AC Ventures, Mobikwik, and Delhivery co-founder Kapil Bharti. Zerodha’s investment arm, Rainmatter Capital, is also expected to lead a fresh funding round in Blostem, further strengthening the partnership.
📱 Coin App Expansion: What’s New
| Feature | Description |
|---|---|
| Fixed Deposit Integration | Direct FD investments via Coin app |
| Partner Institution | Blostem (aggregator of small finance banks) |
| Account Requirement | No need for savings account with issuing bank |
| Interest Rates | Competitive, varies by bank and tenure |
| Investment Tenure Options | Ranges from 3 months to 5 years |
| Safety | Deposits insured up to ₹5 lakh under DICGC norms |
This integration will simplify FD investing for Zerodha users, offering seamless access to fixed-income products alongside mutual funds and bonds.
🧠 Why Zerodha Is Betting on Fixed Deposits
| Strategic Objective | Impact |
|---|---|
| Diversification | Expands beyond market-linked instruments |
| Retail Investor Demand | Addresses need for low-risk, stable returns |
| Financial Inclusion | Brings fixed-income access to digital-first investors |
| Monetization | Opens new revenue stream via lead generation |
Zerodha’s move reflects a growing trend among fintech platforms to offer comprehensive investment solutions under one roof.
🏦 Blostem’s Role and Capabilities
| Attribute | Details |
|---|---|
| Founded | 2022 |
| Headquarters | New Delhi |
| Core Offering | FD aggregation from small finance banks |
| Technology Stack | API-based onboarding and interest rate comparison |
| Existing Investors | AC Ventures, Mobikwik, Kapil Bharti |
| Upcoming Funding | Rainmatter Capital-led round |
Blostem’s platform enables real-time rate discovery and digital KYC, making FD investing frictionless for users.
📊 Fixed Deposit Interest Rate Comparison
| Bank Name | 1-Year FD Rate | 3-Year FD Rate | 5-Year FD Rate |
|---|---|---|---|
| Ujjivan Small Finance Bank | 7.25% | 7.50% | 7.75% |
| Equitas SFB | 7.10% | 7.40% | 7.60% |
| AU Small Finance Bank | 7.00% | 7.35% | 7.55% |
| Jana SFB | 7.20% | 7.45% | 7.70% |
Rates are indicative and subject to change. Users can compare and select FDs based on tenure and returns.
🗣️ Industry Reactions
| Stakeholder | Commentary Summary |
|---|---|
| Fintech Analysts | “Zerodha is redefining digital wealth management” |
| Retail Investors | “FDs on Coin will simplify fixed-income investing” |
| Competitors | “Expect similar offerings from other brokers soon” |
| Regulators | “Digital FD onboarding must comply with RBI norms” |
The launch is expected to trigger a wave of innovation across India’s fintech ecosystem.
📌 Conclusion
Zerodha’s decision to introduce fixed deposits on its Coin app in partnership with Blostem marks a pivotal moment in India’s digital investment landscape. By bridging the gap between market-linked and fixed-income products, Zerodha is empowering retail investors with more choices, better accessibility, and enhanced financial planning tools. As the feature goes live, it could redefine how millions of users approach long-term wealth creation.
Disclaimer: This article is based on publicly available financial reports and company announcements. It does not constitute investment advice. Readers are advised to consult certified financial professionals before making investment decisions.
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