From All Things D:

Fivestars, a loyalty program for local retailers, has raised $13.9 million in a first round of funding.

The Mountain View, Calif., company is trying to eliminate the need for loyalty punch cards in a very low-tech way — in other words, no fancy iPads or mobile applications.

Investors in the round include Lightspeed Venture Partners and DCM. Other investors include Y Combinator, Mayfield Fund, and angel investors Chamath Palihapitiya and brothers Hadi and Ali Partovi.

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