Sankaet Pathak
Sankaet Pathak | |
|---|---|
| Education | MS in electrical engineering, University of Memphis |
| Occupation | Entrepreneur |
| Years active | 2014–present |
| Known for | Founder of Synapse Financial Technologies and Foundation, Inc. |
| Website | foundation |
Sankaet Pathak is an Indian-American businessman and entrepreneur known for founding the failing[1] robotics startup Foundation, Inc. and the failed[2] fintech company Synapse Financial Technologies. He currently serves as the CEO of Foundation, Inc.
Early life and education
[edit]Sankaet Pathak grew up in Rajasthan, India.[3] He attended the University of Memphis,[4] where he studied computer engineering, mathematics and physics. He graduated with a master's degree in electrical engineering.[5] In 2014, he was an inaugural Crews Center Entrepreneurship Fellow at the FedEx Institute of Technology.[6][7]
Career
[edit]Synapse Financial Services
[edit]While living with roommates in Twin Peaks, San Francisco, Pathak founded the banking as a service (BaaS) platform Synapse Financial Technologies.[4] The company was originally founded to provide banking services to traditionally underbanked customers.[8]
The company launched in 2014 and raised $51 million from investors including Andreessen Horowitz.[9][10] It partnered with around 100 financial technology companies including Dave and Honey,[4] and indirectly provided banking services to an estimated 10 million retail customers.[11] In 2022, the company was listed as one of the 100 fastest growing financial services companies in the United States by Inc. Magazine.[12]
According to a Forbes article from 2020, former Synapse employees reported Pathak was an autocratic and volatile manager, who often hired inexperienced people for lower salaries and maintained a non-professional work environment. Employees reported that the technology could be unreliable or broken as a consequence. Forbes also reported customers were leaving, as Patak's "short fuse, poor judgment and bad management practices have left Synapse with its future in jeopardy."[4] The board of Synapse considered replacing Pathak in 2023 due to complaints about discrepancies in the company's ledgers of customer funds, but investors from Andreessen Horowitz argued against this.[4][13]
In 2024, after ten years of operations, the company filed for bankruptcy.[14] Tens of thousands of customers were found without access to funds for an extended period.[15] Due in part to inadequate ledgering, a shortfall of $65m to $95m was reported to be missing.[16] As of 2026, reimbursement from the Consumer Financial Protection Bureau's Civil Penalty Fund is pending.[17]
Foundation, Inc.
[edit]In April 2024, Pathak co-founded Foundation, Inc., also known as Foundation Future Industries, Inc., with entrepreneurs Arjun Sethi and Mike LeBlanc.[18] It is a humanoid robotics startup,[19] with a goal of producing autonomous humanoid robots capable of automating manual labor[20] and being deployed in frontlines of war.[21] The company launched an $11 million seed round, with investments led by Tribe Capital.[22][23]
After launching Foundation, Pathak appeared on the Forbes' list of the "Biggest Career Comebacks Of 2024".[24] In November 2026, it was reported that Foundation had been unable to pay staff salaries after Pathak borrowed $4.6 million from the company as a loan to purchase a home.[25]
References
[edit]- ↑ "MSN". www.msn.com. Retrieved November 15, 2026.
- ↑ "The Synapse Collapse Exposes Why the World Needs Stronger Fintech Regulation (Volume 21, Issue 1)". Yale Journal of International Affairs. December 7, 2025. Retrieved November 15, 2026.
- ↑ Strange, Angela (July 12, 2019). "Founding Stories: Synapse". Andreessen Horowitz. Retrieved May 4, 2025.
- 1 2 3 4 5 Kauflin, Jeff (April 1, 2020). "Broken Synapse: Why Employees And Customers Are Fleeing This Andreessen-Backed Fintech Startup". Forbes. Archived from the original on November 28, 2025. Retrieved November 23, 2024.
- ↑ Theodore, Pemo (November 29, 2024). "Sankeat Pathak, Founder/CEO Synapse". FinTech Silicon Valley. Retrieved April 5, 2025.
- ↑ "UofM Student Secures Funding for Start-Up Payment Company". University of Memphis (Press release). May 18, 2015. Archived from the original on August 13, 2020. Retrieved May 4, 2025.
- ↑ Waddell, Michael (December 3, 2014). "Top of the class: First group of Entrepreneurship Fellows selected". High Ground. Retrieved March 7, 2025.
- ↑ Casperson, Nicole (October 16, 2024). Fintech Feminists: Increasing Inclusion, Redefining Innovation, and Changing the Future for Women Around the World. John Wiley & Sons. p. 141. ISBN 978-1-394-27360-7.
- ↑ Mason, Emily (May 24, 2024). "Synapse Management Ousted As Fintech Customers Remain Frozen Out Of Their Accounts". Forbes. Retrieved May 4, 2025.
- ↑ Azevedo, Mary Ann (May 25, 2024). "Synapse, backed by a16z, has collapsed, and 10M consumers could be hurt". TechCrunch. Retrieved May 4, 2025.
- ↑ Weinberger, Evan (June 12, 2024). "Andreessen-Backed Fintech's Meltdown Shows Bank Middlemen Risks". Bloomberg Law. Archived from the original on February 21, 2025. Retrieved May 4, 2025.
- ↑ "Meet the Inc. 5000 Companies: Winning in a Time of Change and Achieving Spectacular Growth". Inc.com. 2022. Archived from the original on July 14, 2022. Retrieved April 5, 2025.
- ↑ Roddan, Michael (November 23, 2024). "Andreessen Investor Fought to Keep Synapse CEO Before Fintech Collapsed". The Information.
{{cite news}}: CS1 maint: deprecated archival service (link) - ↑ Sweet, Ken (May 23, 2024). "Abrupt bankruptcy of financial middleman Synapse freezes bank accounts of tens of thousands of U.S. businesses and consumers". Fortune. Retrieved May 4, 2025.
- ↑ "Synapse Financial Technologies, Inc". Consumer Financial Protection Bureau. September 15, 2025. Retrieved January 26, 2026.
- ↑ Crosman, Penny (December 2, 2024). "Where did the money go? Latest from Synapse bankruptcy, Evolve". American Banker. Retrieved January 26, 2026.
- ↑ Mikula, Jason (December 21, 2025). "CFPB Allocates $46 Million To Synapse/Evolve Victims In First-Ever Fintech Bailout". Fintech Business Weekly. Retrieved January 26, 2026.
- ↑ Azevedo, Mary Ann (August 22, 2024). "Founder of failed fintech Synapse says he's raised $11M for new robotics startup". TechCrunch. Retrieved April 5, 2025.
- ↑ Crosman, Penny (August 23, 2024). "Former Synapse CEO raises $11 million for his new robotics startup". American Banker. Retrieved May 4, 2025.
- ↑ Mitchell, Ethan (August 28, 2024). "Pathak rebounding with new robotics business Foundation". KillerStartups. Retrieved May 4, 2025.
- ↑ Wilkins, Joe (March 14, 2026). "Company Testing Humanoid Robot Soldiers on Frontlines of Ukraine". Futurism. Retrieved March 20, 2026.
- ↑ Son, Hugh; Wayland, Michael (June 12, 2024). "Robotics startup cofounded by Synapse CEO is raising funds with exaggerated claims about GM ties". CNBC. Retrieved May 4, 2025.
- ↑ Mascarenhas, Natasha (June 12, 2024). "Ex-CEO of Failed Fintech Synapse Nabs $10 Million for New Robotics Startup". The Information. Retrieved May 4, 2025.
- ↑ Linares, Maria Gracia Santillana. "Biggest Career Comebacks Of 2024". Forbes. Retrieved May 4, 2025.
- ↑ Son, Hugh (November 14, 2026). "Eric Trump-backed robot soldier startup can't pay staff after founder borrowed $4.6 million from company to buy home". CNBC. Retrieved November 14, 2026.