Nikhil Kamath, co-founder of Zerodha, voiced significant concerns regarding the startup ecosystem during a podcast in Bangalore on October 12, 2024. He highlighted the dangers of excessive regulation, emphasizing that regulators have the power to drastically impact revenues for startups [6fe6830b]. Kamath stressed the importance of fostering collaboration between entrepreneurs and regulators to create a more supportive environment for innovation and growth [6fe6830b].
During the discussion, Nithin Kamath, also a co-founder of Zerodha, noted that the company's revenue growth might slow down due to new regulations imposed by the Securities and Exchange Board of India (SEBI) [6fe6830b]. Nikhil Kamath pointed out a pervasive sense of fear within the startup ecosystem, urging for a shift towards a more encouraging atmosphere that promotes entrepreneurship [6fe6830b]. Despite these challenges, the Kamath brothers remain optimistic about the potential of India's startup landscape [6fe6830b].
This concern about regulatory pressures reflects a broader sentiment among entrepreneurs who fear that stringent regulations could stifle innovation and growth in the rapidly evolving startup sector [6fe6830b].