FinTech
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.
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Robinhood (NASDAQ: HOOD) has launched its Crypto app in the European Union (EU), allowing eligible customers to engage in crypto trading with the added incentive of earning Bitcoin rewards. Customers stand to receive up to 1 BTC as a reward when signing up and can earn an additional 1 BTC for each successful referral. The platform claims to be the sole custodial crypto platform in the EU offering customers a percentage of their trading volume back every month, paid in Bitcoin.
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More Stories on FinTech
FinTech: Payments Giant Stripe May Accept A Lower, $50B Valuation In Funding Round
As negotiations progress, investors are reportedly seeking to lower the Stripe valuation. Payments processing company Stripe has reduced the valuation of its $55 billion fundraise by around 10%, according to sources cited by The Information. The valuation has been reduced from $23 per share to around $20 per share, bringing the company’s overall valuation down…
FinTech: CoreLogic Acquires Digital Mortgage Platform Roostify
CoreLogic (NYSE: CLGX), a property information and analytics provider, has acquired digital mortgage platform Roostify for an undisclosed amount. The integration of Roostify’s digital lending platform with CoreLogic’s data and analytics suite will allow lenders to access important data on borrowers and properties early in the lending process, resulting in a faster and more efficient customer experience with lower underwriting expenses.
FinTech: Revolut Reaches Profitability Milestone In 2021
Revolut has reported revenues of £636.2 million ($766.9 million) in 2021, three times what it made the previous year, and swung to a net profit of £59.1 million. The main drivers of its profitability were higher subscriptions to its paid packages and growing use of its app.
FinTech: Italian Paytech Nexi Buys 80% Of Banco Sabadell’s Merchant Acquiring Business For €280M
Italian paytech company Nexi (BIT: NEXI) has acquired an 80% stake in the merchant acquiring business of Banco Sabadell (BME: SAB), the second-largest merchant acquirer in Spain, for €280 million. The transaction reflects an Enterprise Value of 350 €M for 100%. The business is expected to generate an EBITDA of around 30 €M based on 2023 figures, resulting in an implied EV/EBITDA 2023E of ~11.5x.
FinTech: Hong Kong-Based FundPark Provides Collateral-Free Loans To SMEs
Hong Kong-based start-up FundPark is seeking a new round of fundraising to help small and medium enterprises (SMEs) access trade finance. Unlike banks, FundPark provides SMEs with a range of financing options for working capital without collateral requirements.
FinTech: FinTech Powers LatAm E-commerce Giant MercadoLibre Inc To Quarterly Profit
Mercadolibre (NASDAQ: MELI), a leading e-commerce company in Latin America, reported better-than-expected profits in Q4, leading to a surge in its stock price by over 6% during Thursday’s extended session. The company’s earnings per share for the quarter were $3.25, exceeding consensus estimates by $0.93. The 40.8% increase in revenue from the previous year was also slightly higher than analysts’ expectations.
Digital Assets: Binance And Ingenico Tie Up For In-Store Crypto Payments In France
Ingenico, the world leader in payment acceptance solutions, has partnered with Binance, the world’s largest blockchain ecosystem and digital asset exchange, to offer an in-store cryptocurrency payment acceptance solution in France.
FinTech: Mission Lane Customers To Get Access To Plaid Apps In Expanded Tie-Up
Mission Lane strives to extend financial inclusion to credit excluded people. Fintech company Mission Lane has announced an expansion of its partnership with data network Plaid to provide the latter’s secure open finance solutions to its over two million customers. The partnership will leverage Plaid’s open finance API data connectivity solution to enable customers to…
FinTech: Dutch Challenger Bank bunq Pivoted To A Profit In Q4 Of 2022
Bunq, the second largest neobank in the European Union, has achieved a significant milestone by reporting a pre-tax profit of €2.3 million in the final quarter of 2022. This achievement marks the first time the challenger bank has recorded a quarterly profit and is expected to fuel its future growth and expansion as it aims to become the world’s first neobank for location-independent people and businesses.
FinTech: Israeli Fintech Liquidity Group Turns Unicorn After $40M Investment By MUFG
Israeli-founded fintech company Liquidity Group has raised $40 million from Japanese banking giant MUFG Bank (NYSE: MUFG), valuing the company at $1.4 billion and pushing it into unicorn status.
FinTech: Revolut May Report A Profit In Audited 2021 Accounts
Revolut, a UK-based fintech, is expected to finalize its 2021 financial accounts next week after months of delay, according to people familiar with the matter. The company’s audit committee will meet on Thursday to approve the accounts, which are then expected to be signed off by auditor BDO on Friday.
FinTech: Visa, Froda, And Lunar Tie-Up For Global SME Lending Solution
Fintech company Froda has partnered with Visa (NYSE: V) and Nordic digital bank Lunar to create a new, global loan solution for small and medium-sized enterprises (SMEs). The solution will utilize push-payment technology to reduce transaction times to a few seconds (instead of months, as now), aiming to offer easy access to financing and instant payouts for entrepreneurs.
FinTech: Aspire, The All-In-One Finance OS, Snags $100M
Aspire, a Singpaore-based financial services provider founded in 2018, has closed an oversubscribed Series C round at $100 million. The round included investments from Lightspeed, Sequoia Capital SEA, Paypal Ventures, LGT Capital Partners, Picus Capital, and Mass Mutual Ventures. (Aspire)
FinTech: Across The Pond, Tie-ups In Fintech On Cashbacks And Insurance
France: BNP partners with Lemonade on renters’ insurance; Belgium: ING ties with Amazon on cashbacks.
Venture Capital/FinTech: Indian Payments Giant PhonePe Lands $100M
PhonePe, one of India’s largest fintech platforms, has raised an additional $100 million in funding from investors Ribbit Capital, Tiger Global, and TVS Capital Funds (TCF), bringing the total amount raised in six weeks to $450 million.
FinTech: NatWest Group Acquires Cushon, A UK Savings FinTech
NatWest Group (LON: NWG) plans to acquire a majority shareholding of 85% in Cushon, a workplace savings and pensions fintech, for £144 million (US$175 million), with the remaining 15% retained by Cushon management.
FinTech: Fintech Collaborations In The News
Mastercard (NYSE: MA) and Xsolla have announced a partnership to improve the digital payment experiences for gamers. The collaboration aims to provide secure, frictionless and rewarding payments for gamers, from in-game currency gifting to improved creator payout processes.
FinTech: UK Digital Bank Monzo Eyes Potential Profitability In 2023
UK neobank Monzo achieved revenue growth of 250% during 2022, raising hopes that 2023 would be the first year it makes into the black. Revenues surged 250% to £440m in the year ending December 2022, compared to the 92% growth to £154.2m reported for the year ending February 2022. Monzo now aims to break even this year, a singular achievement among Europe’s neobanks. The bank has been cash flow positive since October 2022.
FinTech: Stripe Could Raise $2.5B At A $55B-$60B Valuation
Thrive Capital, founded by Joshua Kushner, is leading an investment in Stripe, a payments provider, at a $55 billion to $60 billion valuation, down from two years ago, according to sources. Stripe aims to raise $2.5 billion and Thrive has committed $1 billion, another source said.
FinTech: Stripe Becomes Primary Payments Infrastructure For BMW Of North America
Stripe, the fintech firm, has been chosen by BMW of North America to handle its US ecommerce, including preorders and online sales of BMW warranties, maintenance, digital services, and more. The move comes as automakers seek digital solutions to meet rising customer expectations.
FinTech: Kroger Health To Use Its Vast Network To Facilitate Clinical Trials
Kroger Health, the healthcare division of The Kroger Co. (NYSE: KR), announced the creation of its clinical trial site network in partnership with pharmaceutical companies, contract research organizations, and health systems. The company’s first trial, in collaboration with Persephone Biosciences, is currently recruiting participants for a study on colorectal cancer gut and immune health. Initial enrollment for the study will take place at select Kroger pharmacies and The Little Clinic LLC locations in Toledo, Ohio, with plans to expand locations and participants over the next year.
FinTech: Stripe Evaluating Alternatives To Enable Employees To Cash In Soon-To-Expire Options
Payment startup Stripe plans to go public next year, according to a Thursday report by The Information. Despite being valued at $95 billion in 2021 and being one of the most highly-anticipated IPOs of 2023, Stripe co-founder John Collison had previously stated that there were no immediate plans for a public offering. This may now change as the company faces the issue of 10-year stock units awarded to veteran employees that are set to expire at the end of this year.
FinTech: Kayak And Affirm Tie-Up To Offer ‘Pay Later’ To Air Travellers
Affirm, a payment network that helps consumers and merchants, announced a partnership with KAYAK, a leading travel search engine, making Affirm (NASDAQ: AFRM) the company’s exclusive ‘buy-now-pay-later’ (BNPL) provider in the US.
FinTech: Wahed, A Fintech Backed By Aramco, Opens London Branch For Shariah
New York-based fintech startup Wahed, which is backed by oil giant Saudi Aramco (TADAWUL: 2222) and French soccer player Paul Pogba, has opened a physical branch in London, UK to target the country’s 3.9 million Muslims with sharia-compliant investment management and advice services.