This Week in Startups
This Week in Startups

Avi Patel on the startup that copied Kled and why he called out General Catalyst by name | E2291

May 20, 2026

AI Summary

5 min read

Avi Patel, founder of Kled, a human data marketplace that pays users to upload personal files for licensing to AI labs, described a direct copy of his product and the choice to publicly name both the competitor and its backer, General Catalyst. The discussion centered on how founders navigate imitation, investor signaling, and the tradeoffs of confrontation versus quiet execution.

Handling Direct Imitation

Patel observed that the competitor launched after his conversations with General Catalyst and reproduced Kled’s website layout, templates, and claims almost exactly. He noted discrepancies in the rival’s reported user numbers, geographic traffic patterns, and compliance certifications. Rather than pursue legal action or ignore the issue, he posted side-by-side comparisons and called out General Catalyst by name. The decision rested on the view that reputation is the primary asset in a consent-driven data business; allowing the claims to stand unchallenged would have damaged trust with both users and future lab customers.

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What you'll learn

  • 1 (01:05) **Mercury Bank intro and scale** - Amad Akun joins to discuss the latest round and growth metrics
  • 2 (05:28) **Founding story and early PMF** - Why Amad started Mercury and how it achieved instant traction with YC startups
  • 3 (07:54) **IPO and long-term vision** - Amad's stance on going public versus staying independent
  • 4 (09:10) **Bank charter process** - Current status, timeline, and operational benefits of becoming a real bank
  • 5 (13:17) **Stablecoins and global payments** - Amad's view on stablecoins as a complement rather than replacement
  • 6 (15:21) **Product-market fit lessons** - How Mercury won distribution in the startup ecosystem
  • 7 (22:07) **AI strategy at Mercury** - Current features and vision for agents handling financial workflows

+ Full timestamped outline available in the app

Show Notes

This Week In Startups is made possible by:

Grasshopper Bank - https://grasshopper.bank/twist

LinkedIn - https://linkedIn.com/twist

Northwest Registered Agent - https://northwestregisteredagent.com/twistPlaud - https://Plaud.ai/twist 

Why raise $200 million if you are already profitable? That’s the question Jason and Alex put to Mercury’s founder and CEO, Immad Akhund, after the entrepreneur raised another massive round for his upstart, technology-friendly bank. TWiST then welcomed Kled founder Avi Patel to discuss the startup he considers a clear ripoff of his own company. Jason gavels in verdicts on all parties involved, including Y Combinator and venture capital firm General Catalyst. The show closes with a news lightning round, including OpenAI’s decision to offer $2 million in token credits to hundreds of startups.

Guest Links:

Mercury https://mercury.com

Mercury funding announcement https://www.businesswire.com/news/home/20260520511817/en/Mercury-Raises-$200-Million-Series-D-at-$5.2B-Valuation

Immad Akhund on X https://x.com/immad

Kled https://www.kled.ai/

Avi Patel on X https://x.com/avipat_/

Avi’s complaint https://x.com/avipat_/status/2055384102409253056

General Catalyst https://www.generalcatalyst.com/

Y Combinator https://www.ycombinator.com/

Delve https://techcrunch.com/2026/04/23/another-customer-of-troubled-startup-delve-suffered-a-big-security-incident/

Discussion links:

Anthropic’s attack on secondary trading This Week in Startups