# Yotta **Source:** https://geo.sig.ai/brands/yotta **Vertical:** Finance **Subcategory:** General **Tier:** Emerging **Website:** withyotta.com **Last Updated:** 2026-04-14 ## Summary NYC YC W20 prize-linked savings/sweepstakes fintech at 700K+ members; severely impacted by Synapse bankruptcy May 2024 leaving 85K customers unable to access $112M in deposits; $17.9M total ($13.2M Base10 Series A 2021). ## Company Overview Yotta is a New York-based fintech company — backed by Y Combinator (W20) with $17.9-21.2 million in total funding including a $13.2 million Series A in January 2021 led by Base10 Partners with Y Combinator, Core Innovation Capital, and Slow Ventures — offering sweepstakes games with a member base of 700,000+ people, after previously operating prize-linked savings accounts before being severely impacted by the Synapse Financial Technologies bankruptcy in May 2024. When Synapse (Yotta's banking-as-a-service middleware partner) failed, approximately 85,000 Yotta customers with $112 million in deposits lost account access — and as of November 2024, 13,725 depositors were offered only $11.8 million of $64.9 million in claimed deposits, illustrating the systemic risk that BaaS middleware dependency creates for fintech customer funds. Yotta's prize-linked savings model was built on behavioral finance research showing that lottery participation and savings are competing financial decisions for low-to-moderate income households — lottery spending ($100+ annually for the average US lottery participant) is fungible with savings deposits if the savings product provides the same excitement trigger (small, frequent prize payouts) that lottery tickets deliver. Yotta's original savings account (FDIC-insured, earning interest plus weekly ticket draws where balances translated to lottery-style prize entries) successfully attracted the unbanked and undersaved demographic by making savings as engaging as lottery play. The Synapse collapse disrupted this model by making customer deposits inaccessible through the BaaS infrastructure failure — demonstrating that FDIC-insurance protection does not extend to BaaS middleware that comingles or mismanages funds between customer and bank. In 2025, Yotta competes in the consumer fintech, prize-linked savings, and gamified financial services market with Current (consumer neobank, $220M raised), Chime (consumer neobank, $1.5B raised at $25B valuation), and Cashapp (Block, NASDAQ: SQ, peer payments and banking) for consumer banking and prize-linked financial engagement adoption — while rebuilding customer trust after the Synapse crisis and navigating the regulatory scrutiny that followed the BaaS sector collapse. The Synapse bankruptcy (filed May 2024) has become a cautionary tale in BaaS risk management. Y Combinator W20 backing connects Yotta with the consumer fintech investor community. The 2025 strategy focuses on reestablishing customer trust through direct FDIC bank relationships without BaaS middleware, building the sweepstakes entertainment product that generates revenue without deposit-account regulatory complexity, and growing the user base through referral mechanics. ## Frequently Asked Questions ### What is Yotta? Yotta is an American fintech company founded in 2019 that offers sweepstakes games and formerly offered prize-linked savings accounts. The company is backed by Y Combinator (W20) and is based in New York, NY. ### What products and services does Yotta offer? Yotta currently offers sweepstakes games and a financial rewards program. The company previously offered prize-linked savings and a gamified savings platform, but these banking services were disrupted in 2024. ### Who is Yotta designed for? Yotta serves consumers interested in gamified savings and sweepstakes games, having attracted over 700,000 members. The platform targets individuals looking for alternative financial products that combine savings with reward opportunities. ### When was Yotta founded? Yotta was founded in 2019. The company participated in Y Combinator's Winter 2020 batch (W20). ### Where is Yotta headquartered? Yotta is based in New York, NY. ### How much funding has Yotta raised? Yotta has raised between $17.9M and $21.2M in total funding. The company raised a $13.2M Series A round in January 2021 led by Base10 Partners, with participation from Y Combinator, Core Innovation Capital, and Slow Ventures. ### How many customers does Yotta have? Yotta served over 700,000 members before the May 2024 crisis. At the time of the crisis, 85,000 customers had deposits frozen due to the Synapse failure. ### What technology or approach does Yotta use? Yotta uses a gamified approach to savings and financial services, incorporating sweepstakes games and prize-linked savings accounts. The company operates as a fintech platform in the consumer finance industry. ### How can I get started with Yotta? Based on the provided information, specific details about getting started with Yotta or contact information are not available. The company currently operates in the sweepstakes games space. ### What happened with Yotta in 2024? In May 2024, Yotta faced a major crisis when its fintech partner Synapse failed, causing 85,000 customers with $112M in deposits to lose account access. As of November 2024, 13,725 depositors were offered $11.8M of their $64.9M in deposits following the Synapse bankruptcy. ## Tags b2c, fintech, mobile-first, startup, north-america --- *Data from geo.sig.ai Brand Intelligence Database. Updated 2026-04-14.*