Locus (paywithlocus.com)

Overview

Tempo MPP API aggregator startup. Batch API services and resell through Tempo's micropayment infrastructure.

Company Profile

• Type: Startup (API Reseller / MPP Service Provider)
• Batch: YC W25
• Stage: Pre-seed (~YC $500K)
• Team Size: 2 people

Founders

• Cole Dermott — ex-Coinbase
• Eliot Lee — ex-Scale AI

Business Model

1. Batch sign contracts with 50+ API service providers
2. Wrap interfaces as MPP-compatible endpoints
3. Sell through Tempo MPP at 2-3x markup
4. Example: Perplexity API cost $0.005 → Locus price $0.015

Services Offered

• Perplexity Sonar (chat + search)
• Finnhub (financial data)
• Alpha Vantage (financial data)
• 50+ other API services

Financials

• Revenue Model: Margin on API resale
• Margins: 2-3x markup on base API costs
• Runway: YC pre-seed only (~$500K)

Competitive Position

Strengths

• First mover in Tempo MPP aggregator space
• Access to 50+ API services under one roof
• Simplified micropayment abstraction

Weaknesses

• Low moat: Any competitor can replicate
• Vulnerable: Tempo can natively support these APIs and undercut
• Small team: Only 2 people, limited capacity

Strategic Analysis

Locus is a classic API reseller arbitrage — buy APIs wholesale, sell at retail through Tempo. The business works while Tempo hasn't built native integrations. Long-term risk is Tempo eating their margin by building direct provider relationships.

Watch for: Locus Series A (if they survive), Tempo native API expansions that overlap with Locus services.

Related

• tempo-mpp — The payment infrastructure Locus rides on
• perplexity — One of the APIs Locus resells
• yc-valuation-math — YC $125K @ 7% = $1.78M implied