Coin by Zerodha to offer fixed deposits soon; Rainmatter to invest in Blostem: Report

Zerodha is set to roll out a fixed deposit (FD) product on its Coin platform within the next two weeks, reported Moneycontrol.

The move marks Zerodha’s latest effort to expand beyond mutual funds and government securities into low-risk fixed-income offerings for long-term investors.

Partnership with Blostem

The FD product will be launched in collaboration with Blostem, a New Delhi-based fintech startup that has raised close to $1 million so far. Alongside the product launch, Zerodha’s investment arm Rainmatter Capital is expected to lead a fresh funding round in Blostem, sources said. The funding amount, however, has not yet been disclosed.

Blostem already counts AC Ventures, Mobikwik, and Delhivery founder Kapil Bharti among its investors.

Fully digital FD experience

The upcoming feature will allow users to open fixed deposits directly through the Coin app, without having to maintain a savings bank account with the same institution. Most deposits are expected to be with Small Finance Banks, which typically offer higher interest rates than traditional commercial banks.

The entire process will be fully digital, aligning with Zerodha’s minimalist approach to finance, making long-term investing simpler, paperless, and more transparent.

Zerodha’s Coin

Coin operates separately from Zerodha’s trading platform Kite, which caters to active traders and short-term investors. Coin, by contrast, focuses on long-term wealth-building products such as Mutual Funds, Sovereign Gold Bonds, Government Securities, and the National Pension Scheme (NPS).

The platform already manages assets worth ₹1.6 lakh crore, primarily through commission-free direct mutual fund investments and systematic investment plans (SIPs).

According to a person aware of the development, Zerodha’s goal is to make Coin the go-to platform for passive, low-risk investing, a place where users can “put money and forget about it” until they need it years later.

“Kite will continue to serve the active investors and traders, while Coin will focus on those seeking steady, long-term returns. The separation helps reduce impulsive trading and emotional decision-making,” the source said.

The company believes that keeping long-term and short-term investment journeys distinct helps investors manage risk and behavior better, a philosophy that’s consistent with Zerodha’s long-standing focus on financial discipline and simplicity rather than aggressive cross-selling.