Digital payments alone could become a $100 trillion industry, according to PwC. And that’s just one component of the global Fintech industry. This channel tackles the lenders and buyers, the obstacles and achievements, and the trends and trend makers leading the ongoing technological evolution in global finance.
In an article in a newly released book from the central government explaining the country’s economic priorities and development plan for 2035, Guo warned of a disturbance in global financial markets if the United States stepped up its strategic containment and rivalry with China. Given this circumstance, China is taking steps to address financial vulnerabilities that could stem from fintech giants such as the Ant Group.
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UK the Epicenter of Fintech in Europe, says Report. The fintech sector in the UK raked in a record $4.9 billion in investments during 2019, despite political turmoil from Brexit.
Policygenius, an online marketplace for comparing and buying insurance products, announced the successful raising of $100 million via its Series D funding round.
Jennifer Fitzgerald and Francois de Lame founded Policygenius in 2014. Its digital platform connects consumers with reputed insurance carriers. It is the fastest growing life insurance distributor, having issued $45 billion in life cover till date. Policygenius has grown annualized revenues to $60 million, a 10 times increase since 2017 and the culmination of its C Round Funding.
Ethical online lender LendUp announced Thursday its achievement of having disbursed aggregate loans worth $2 billion on its platform.
Founded in 2012, the company’s main goal is to help anyone improve their financial condition. Along the way, it has handed out 6.5 million loans at an average ticket size of $300.
FinTech: Founding Member Standard Chartered Boosts Investment in Contour, the Blockchain Trade Platform
Standard Chartered invests an undisclosed amount in Contour.
Contour is a global trade finance platform that runs on R3’s Corda blockchain. It specializes in digitally creating, exchanging, approving, and issuing Letters of Credit (LCs). Last week, Contour announced the success of a series of live pilot tests in 14 countries and a global trial with over 50 banks and corporates.
CurrencyCloud Gets $80 Million From Top Notch Investors Including Visa. London-based startup CurrencyCloud builds remittance APIs for money transfer businesses.
It’s software you are never likely to see. It works in the background when you make a money transfer across borders. CurrencyCloud builds these APIs (as the software is called), and more than 350 companies were using it as at end-2019.
The Global X FinTech Thematic ETF (FINX) has rallied more than 32% over the last 12 months. Shares have climbed from a 52-week low of $24.49 per share to $32.40 this week. The fund aims to replicate the performance of the Indxx Global FinTech Thematic Index.
There are too many fintechs out there, but many can’t survive on their own.
A Barron’s analysis of likely deal-making in the fintech sector after the landmark Visa-Plaid deal shows a mixed picture.
Fundbox, the fintech startup that finances SMEs, is planning a potential IPO. Fundbox has appointed Marten Abrahamsen as its CFO effective this January. Abrahamsen was previously a partner at The Chernin Group LLC, a Los-Angeles-based investment firm. Before that, he managed Coatue Management LLC’s investments in Grab Holdings Inc. and Jet.com Inc., an online retailer. He also worked as an investment banker at Goldman Sachs
Northwestern’s VC arm joined a $3.5 million funding round for U-Nest Inc., a California-based financial services mobile app.
U-Nest was founded by Ksenia Yudina, CFA, MBA. The U-Nest app facilitates saving for college and other educational expenses. It helps parents and families to find the right 529 college savings plan.
Visa Snaps Up Fintech Network Plaid for $5.3 Billion. Plaid allows people to connect their finances to apps.
Fintech applications need to connect up with a user’s financial accounts to deliver true benefits of immediate updation and convenience.
Online bank Marcus from Goldman Sachs Group has finally come to mobile devices. The Wall Street financial giant launched its long-awaited app for customers last week. The lack of an app has been an ongoing source of frustration for customers who could only see balance transfers, account information and make payments on loans with their phones and other devices.
The Reserve Bank of Australia is the latest central bank to suggest that the Libra cryptocurrency project will not work. It also questioned the viability of central bank digital currencies (CBDCs), which have previously received support from central bankers like Mark Carney and Christine Lagarde.
The State of California could soon overhaul the regulatory oversight of financial technology companies. Governor Gavin Newsom released details of his 2020-2021 budget. Inside, the proposal includes a provision to make the California Department of Business Oversight as the regulator of fintech companies. The agency would also regulate debt collectors, credit reporting agencies, and other firms tied to consumer finance.
The browser extension Honey just lost a huge source of opportunity. Just weeks after PayPal purchased the browser extension for $4 billion, Amazon has told customers to uninstall it. The e-commerce raised questions about consumer privacy and said that the extension represented a “security issue.”
ING announced Tuesday the spin-off of Katana Labs – an in-house start-up nurtured at its ING Lab incubator.
ING Ventures, the venture capital arm of ING, will invest £ 1.5 million along with other investors in a £ 3 million funding round that will take the startup forward in its life as an independent fintech. ING Ventures is a € 300 million venture fund that makes minority investments in early-stage companies having a strategic relevance to ING.
Ripple targets SWIFT in Brazil and wants to make inroads into Brazil’s remittances market.
Vanguard ETF commissions and stock commissions don’t exist anymore. The firm has expanded its commission-free online trading for stocks and options to all Vanguard Brokerage clients.
The Motion Code Card has hit Spain. Deutsche Bank launched the innovative credit card this week in a partnership with industry leaders. The card contains an advanced CVC code that alters every four hours. The German Bank has teamed up with Idemia and Mastercard to launch the “Motion Code” card. It will operate under the brand name “Tarjeta Calma.”
TransferWise Now Transfers $5.25 Billion Per Month. The upstart fintech claims it does so saving people and businesses $4.5 million per day.
What’s more, the TransferWise customer community is now 6 million strong. The fund transfer specialist aims to facilitate money transfers to foreign destinations at rates cheaper than banks.
The next agenda for TransferWise is to effect remittances instantly.
ZestMoney, the Loan Startup for India’s Credit-challenged, Raises $20 Million from Goldman Sachs and others
Easy lending to borrowers with sub-prime credit is winding down.
Peer-to-peer lenders, or fintech lender platforms, are back-pedaling on their early promise to provide loans to people with sub-par credit profiles, observes Bloomberg. Burned by loan losses, individual investors have revolted. As a result, the original marketplace-like model of P2P lending has long gone.
Ant Financial has started raising $1 billion for a fund focused on Southeast Asia and India. The fintech arm of Alibaba is looking to expand its presence across the growing region.
Robinhood, the pioneering zero commission stockbroker, has put banking ambitions on the backburner.
Robinhood withdrew its bank charter application to launch a federally insured bank. It had filed an application with the Office of the Comptroller of the Currency on April 19, 2019.