Israeli Fintech Kipp Wins Mastercard Fintech Forum CE and Joins Start Path Program

Israeli fintech Kipp has secured first place at Mastercard’s Fintech Forum CE in Berlin, tackling the persistent issue of declined card transactions. For fintech professionals, this win highlights the growing importance of collaborative data-sharing between merchants and issuers to recover lost revenue and improve the checkout experience in a volatile e-commerce landscape.

What was announced

Kipp, an Israeli startup with 15 employees, emerged as the winner from a pool of 700 applicants across Europe. After qualifying for the final round in Berlin alongside five other startups, the company presented its technological solution to a jury and live audience. Winning the competition grants Kipp entry into Mastercard’s Start Path program, a global initiative for scaling high-growth startups.

The company’s platform addresses a significant friction point in digital commerce: transaction refusals by card issuers. Data from the European Union indicates that these declines lead to 30% of customers abandoning a specific card entirely after a refusal. Furthermore, 71% of shoppers who exit an e-commerce site during the purchase process do so because of payment failures or related technical issues.

Kipp’s model facilitates the exchange of enriched data between merchants and issuing banks. By sharing information in real-time, both parties can better assess risk and share the associated costs of that risk. This collaborative approach aims to increase authorization rates, thereby boosting revenue for issuers and merchants while maintaining consumer loyalty. To date, Kipp has raised $12.5 million in funding from venture capital firms including TLV Partners, Entree Capital, Augmentum Fintech, IZBA Ventures, and R-Squared Ventures.

"We are excited about winning first place and are grateful to our customers, partners and investors for joining us on our mission to authorize more card payments. We are thrilled to join Mastercard's prestigious program and continue to contribute to improving the customer experience,"

Chanan Lavi, Co-founder and CEO of Kipp.

The companies involved

Kipp is a Herzliya-based fintech operating under its parent organization, The Lifetime Value Company. Led by Co-founder and CEO Chanan Lavi and CTO Nir Levy, the startup focuses on the intersection of payment processing and risk management. Kipp is already integrated into the regional fintech ecosystem as a portfolio company of the FinSec Innovation Lab, a joint venture between Mastercard and Enel X. This lab provides a technological and business umbrella for startups, offering access to professionals and mentors from Israel and abroad. It allows companies to complete proofs-of-concept and test their solutions in an infrastructure that simulates real-world environments to support international growth.

Mastercard is a global leader in payment technology, facilitating transactions across more than 210 countries and territories. The company has increasingly positioned itself as an incubator for fintech innovation through programs like Start Path and regional forums. By engaging with startups like Kipp, Mastercard maintains its influence over the evolving standards of digital security and payment authorization. The Fintech Forum CE serves as a primary gateway for European and Middle Eastern startups to access Mastercard’s global network and technical expertise.

What FF News has reported before

Mastercard’s involvement in the global fintech space is extensive, with recent coverage highlighting its diverse strategic partnerships. FF News has recently reported on Mastercard and Olist Partner to Drive Growth for Brazilian SMEs with AI-Powered ERP Solutions, as well as the company's move into the creator economy through Mastercard and MrBeast's Beast Industries Partner to Launch Creator Co-Brand Cards. Additionally, the network's expansion into challenging markets was noted in Mastercard Launches Gateway in Syria to Reconnect Nation to Global Digital Payments, while its role in the liquidity space was featured in PhotonPay Secures $40M Series C to Bridge Stablecoin Liquidity with Global Fiat Networks.

What this means

The success of Kipp signals a shift in how the industry views transaction declines. For years, "false positives" in fraud detection have been a silent revenue killer, but the burden of proof has traditionally sat with the issuer. By moving toward a cost-sharing and data-sharing model, the industry is acknowledging that neither the merchant nor the bank can solve the authorization puzzle in isolation. This puts pressure on traditional payment gateways that rely on binary "yes/no" responses without providing the context necessary to save a sale. The open question remains whether issuers will be willing to cede control over risk decisions in exchange for the incremental revenue Kipp promises.