Happy Monday! Peak XV Partners is rebooting Surge after executive exits and a broader strategy reset. This and more in today’s ETtech Morning Dispatch.Also in the letter:■ ETtech Done Deals■ Coinbase’s India play■ The rise of tokenmaxxingPeak XV folds Surge into broader early-stage investing amid executive exits, fewer cohorts Rajan Anandan, managing director, Peak XV PartnersPeak XV is overhauling Surge – once its flagship seed platform modelled on Y Combinator – after senior exits, fewer cohorts, and a broader rethink of how big venture firms want to play at seed in India and Southeast Asia.What’s happening:Surge is being pulled closer to Peak XV’s wider early-stage practice, with the main venture team now owning more of the sourcing and support for seed deals.Aaditya Sood, one of the last senior executives closely associated with Surge, has not been active for at least eight months. Peak XV says he has transitioned to an advisory role.Since 2024, Surge has been running one cohort a year – down from the twice-a-year cadence it promised when the programme launched in 2019.Tell me more:Surge started out with $1.5-million cheques, intensive founder workshops, mentors, global immersions and a community-led model aimed at very young startups.Back in 2019, Peak XV (then Sequoia Capital India & SEA) had explored a dedicated $150-200 million Surge, but that plan never quite took the shape originally envisioned.From Peak XV’s latest fund, the seed/Surge pool is expected to be about $225 million, down from around $300 million in its 2022 fund.Zoom out: Surge's reset comes as Accel and Lightspeed are also rewiring their seed and deeptech founder programmes.Digital lenders clock strong FY26 on sturdier fundamentals Despite a tough operating environment and slower economic growth, a clutch of fintech lenders turned in robust FY26 profits, regulatory filings reviewed by us show.How they fared: Better underwriting and stronger balance sheets helped both listed and unlisted digital lenders sustain profitable growth during the year.Kreditbee posted the highest net profit in the pack at Rs 478 crore in FY26, up from with Rs 221 crore a year earlier. Operating revenue rose to Rs 3,025 crore from Rs 2,185 crore.Fibe increased revenue by 37% year-on-year to Rs 1,288.5 crore, while net profit climbed 64% to Rs 165 crore.Navi, backed by Flipkart cofounder Sachin Bansal, reported a 32% rise in net profit to Rs 292 crore. Operating revenue came in at Rs 2,461 crore for FY26.Recently listed Kissht also posted a net profit of Rs 281 crore on operating revenue of Rs 2,179 crore for FY26.Quote, unquote: “Consumer lending startups tightened their lending game plans and strengthened their balance sheets. Now that the Kissht IPO has sailed through, it should encourage other players to also go for their public listing soon instead of waiting for perfect market conditions,” said Rohan Lakhaiyar, partner, Grant Thornton Bharat, a consultancy major.Also Read: Listed digital payment majors finally turn a corner in FY26Simple Energy raises Rs 250 crore, eyes IPO in FY28 second half (L-R) Shreshth Mishra, Suhas Rajkumar and Ankit Gupta, founders, Simple EnergyBengaluru-based electric scooter maker Simple Energy has raised Rs 250 crore through a mix of debt and equity to fuel its next phase of growth.Round details: The round drew capital from the family office of Thyrocare Technologies founder Arokiaswamy Velumani and Simple Energy’s founders. HDFC Bank, Capitar Ventures and other NBFCs extended Rs 123 crore in debt financing.“We want to scale manufacturing from 3,000 scooters a month to 10,000 by January and 15,000 by March next year,” Suhas Rajkumar, founder of Simple Energy, told us. “A large part of the working capital is going towards scaling production capacity, expanding our distribution network and product development.”What else? The company is targeting an IPO in the second half of FY28 and is reportedly looking to raise around Rs 3,000 crore ($350 million) to back expansion, R&D, and a new manufacturing facility.Simple Energy also plans to enter the mass-market scooter segment with more affordable models, moving beyond its current premium focus.Clean-label food brand Anveshan raises Rs 150 crore led by Vertex Ventures (L-R) Aayushi Khandelwal, Kuldeep Parewa & Akhil Kansal, founders, AnveshanClean-label food brand Anveshan has secured Rs 150 crore ($15.7 million) in a round led by Vertex Ventures Southeast Asia & India.ET reported on this round in March, which was set to more than double the value of the startup.Round details: The round also saw participation from the International Finance Corporation (part of the World Bank Group), Swiggy cofounder Sriharsha Majety, and existing backers, including Wipro Consumer Care Ventures, Titan Capital, Force Ventures, and the boAt founders, Aman Gupta and Sameer Mehta.The company plans to deploy the fresh capital to scale manufacturing, broaden its product portfolio and deepen brand-building efforts, cofounder and CEO Kuldeep Parewa said.Also Read:Health food brand Anveshan raises Rs 48 crore from Wipro Consumer Care Ventures, otherOther Top Stories By Our Reporters Crypto exchange Coinbase ups India play: Coinbase is rolling out INR rails in India, making it the only international crypto exchange offering direct rupee deposits and withdrawals – and giving it a sharp edge over rival, Binance.AI costs spiral as firms lose spending control: Engineers are racing to top the charts on a new productivity metric: Tokenmaxxing. According to some experts, staff are using AI for what may be regarded as unnecessary tasks, such as stuffing prompts with excessive context, running endless agent loops, or feeding it large documents, thereby burning up tokens. HC ruling on Google keyword ads likely to reshape e-advertising: Justice Mini Pushkarna, in a May 22 ruling, held that Google could not avoid liability for trademark infringement by offering a tool that enabled such misuse. The court permanently barred the company from using Hindware or similar variations as keywords in the programme.Global Picks We Are Reading■ AI agents plunged the tech world into chaos. Here’s exactly how that happened (Wired)■ Pope’s encyclical raises questions on who gets to shape AI (Rest of World)Plots, love letters and remedies: The medieval secrets being revealed by AI (BBC)