FinTech: Brazilian Fintech Hash Fires Dozens, May Shut Shop

https://dailyalts.com/wp-content/uploads/2022/08/Hash-screengrab.jpg

According to a Reuters report, Hash is running out of cash.

Hash, a Brazilian fintech focused on white-label payments infrastructure, has handed out pink slips to “dozens” of employees and is slowly winding up its operations, according to Reuters. Sources told Reuters that the company’s talks to raise more capital from Softbank Group’s Latin America fund had proved inconclusive.

With the startup running low on cash, the failure of the talks meant it had to reduce headcount to conserve liquidity.

Reuters could not obtain a response from Softbank, which declined to comment.

Hash develops customized payment services for B2B clients – typically companies operating large chains of customers and partners. The infrastructure provided by the company includes fintech services from point-of-sale (POS) software and mobile applications to dashboards and payments.

“We provide financial infrastructure for B2B companies to embed payments solutions into their own custom ecosystems,” said Engineer João Miranda, founder and CEO to Tech Crunch at the time of the company’s previous fundraise in October 2021. “By doing this, those companies are offering better, and more competitive, solutions for SMBs inside their ecosystem.”

In the year leading up to the funding, Hash enjoyed a 10X growth in POS transactions, and estimated it would clock $275 million in total payment volume by 2021-end.

The deterioration in macroeconomic conditions have made investors wary, and funds are hard to come by amidst a scenario of recession fears, high inflation and rising rates.

Hash is not alone in confronting this new reality by firing employees.

Previously, companies that resorted to layoffs in recent months include:

  • Robinhood – about 700 heads
  • Shopify – 1,000 staff
  • Klarna – 750
  • Coinbase
  • Wave

Investors in Hash include Kaszek Ventures, QED Investors and Canary.

Related Story: African Fintech Wave Lets Go 15% Of Its Staff

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Shape

Latest Alternative Investment News

https://dailyalts.com/wp-content/uploads/2022/09/Breeding-Black-Soldier-Flies©ParisTsitsosforLivinFarms-scaled.jpg
Venture Capital: LIVIN Farms, A Provider Of Bugs On Subscription, Raises €6M Series A

LIVIN Farms, an industrial technology provider in the alternative protein industry, has developed HIVE PRO, a fully automated process that allows waste management companies and large scale food producers to…

https://dailyalts.com/wp-content/uploads/2022/09/gavel-gbf1ca5f08_640.jpg
Digital Assets: Sam Bankman-Fried’s FTX US Wins Auction For Voyager Digital’s Bankruptcy Assets With $1.4B Bid
September 28, 2022     Digital Assets, News

West Realm Shires Inc., dba FTX US, has won the bankruptcy auction for the assets of Voyager Digital with a bid of about $1.422 billion. It was held to be…

https://dailyalts.com/wp-content/uploads/2022/09/alex-knight-B0-kMa8BgU-unsplash.jpg
Artificial Intelligence: Clearview Nabs Patent For Technology That Creates Bias-Free Algorithms

Clearview AI announced its win of the “Scalable Training Data Preparation Pipeline And Efficient Distributed Trainer For Deep Neural Networks In Facial Recognition” patent (U.S. Patent No. 11,443,553) issued by…

https://dailyalts.com/wp-content/uploads/2022/09/UN17SDGs.jpg
Alternative Investments/ESG: The Newday Sustainable Development Equity ETF

Newday offers portfolios addressing the world’s most pressing environmental and social issues including climate action, ocean health, clean water, diversity, equity and inclusion, wildlife conservation and animal welfare, and stakeholder…