A New Venture from Sankaet Pathak, the Founder of Fintech Synapse
Tens of millions of customer dollars remain unaccounted for at his previous startup, fintechSynapse. However, that’s not deterring Sankaet Pathak from forging full steam ahead with his new robotics venture.Foundationis a robotics startup with a self-proclaimed mission to ‘create advanced humanoid robots that can operate in complex environments’ to address the labor shortage.
Foundation Raises $11 Million in Pre-Seed Funding
The company has already raised $11 million in pre-seed funding from Tribe Capital and ‘other angels,’ Pathak told TechCrunch on Thursday. Tribe co-founder and managing director Arjun Sethi is also a co-founder of Foundation, according to Pathak.
Pathak’s New Venture Amidst Controversy at Synapse
The news comes amidst controversy surrounding Synapse, which operated a service that allowed others — mainly fintechs — to embed banking services into their offerings. The San Francisco-based startup had raised a total of just over $50 million in venture capital in its lifetime, including a 2019$33 million Series B raiseled by Andreessen Horowitz’s Angela Strange.
Synapse’s Troubled History
Synapse wobbled in 2023 with layoffsandfiled for Chapter 11in April of this year. As of July, millions of consumers (mostly customers of fintechs that worked with Synapse) with nearly $160 million in depositsremained unable to access their funds.
Pathak’s Response Regarding Missing Customer Funds
When asked about the missing customer funds, Pathak — who founded Synapse in 2014 and served as its CEO until May — pointed me to anAugust 20 postin which he charges that Synapse’s former partner Evolve Bank ‘needs to start paying out customers and cover the deficit they created.’
Allegations and Rebuttals
He added in the post: ‘To that effect, I’m making all known Evolve deposit shortfalls and their causes public. Any customer, regulator, government agency, or member of the press can contact me directly for more details.’ TechCrunch has reached out to Evolve for comment.
Pathak’s Previous Accusations Against Evolve
However, when Pathak or Synapse have made similar accusationspreviously blaming Evolve, most recently in May, Evolve has said it is not responsible and pointed the finger right back at Synapse.
Foundation’s Goal: Automating GDP with AI and Robotics
Meanwhile, in avideo posted on his Twitter account, Pathak outlines Foundation’s ambitious goal of automating GDP growth using advanced humanoid robots. He explains that these robots will be designed to operate in complex environments, from manufacturing facilities to healthcare settings, thereby augmenting human capabilities.
The Potential Impact of Foundation’s Technology
The potential impact of Foundation’s technology is vast. With the ability to automate tasks and free up human labor for more strategic and creative work, businesses can increase productivity, reduce costs, and improve efficiency. Additionally, the technology could also be used to address the growing labor shortage in many industries.
Pathak’s Vision for a Robot-Augmented Future
In an interview with TechCrunch, Pathak shared his vision for a future where robots and humans collaborate seamlessly to drive economic growth. He emphasized that Foundation’s goal is not only to create advanced humanoid robots but also to develop the infrastructure and software needed to support their integration into various industries.
Conclusion
While controversy surrounds Synapse’s troubled history, Sankaet Pathak’s new venture, Foundation, holds great promise for addressing one of the world’s most pressing issues: the labor shortage. With its cutting-edge technology and ambitious goals, Foundation is poised to make a significant impact on the future of work and economic growth.
