Every fortnight we compile the most important news updates and events across fintech focusing on digital banking, payments, cryptocurrency, and more.
Challenger Revolut is on its way to a $5 billion valuation according to the investor leading its upcoming funding round, which is expected to raise $500 million with the addition of a $1 billion convertible loan from JP Morgan. The funding round is expected to leave the digital bank with a valuation nearly three times its last estimated valuation of $1.7 billion in April 2018.
Check out our comparison of four major UK fintechs including Revolut, Monzo, Monese and TransferWise across customer numbers, revenue, and profit.
Over the past five months, N26 has managed to attract 250,000 customers in the U.S. The company operates under a slightly different model in the U.S. N26 has partnered with Axos Bank, a white-label partner that manages your money, while N26 takes care of all the interactions between customers and their money.
The start-up is understood to be seeking to raise around £100m in new funding following a £113m investment from US fund Y Combinator Continuity in June. The Y Combinator investment valued the company at over £2bn, double its previous valuation.
Holvi, the Finnish digital banking service for businesses owned by Banco Bilbao Vizcaya Argentaria (BBVA), is launching in the UK this week. Headquartered in Helsinki, Holvi already has 200,000 customers largely in Finland and Germany, which consist of the self-employed, sole traders, freelancers and small business owners. It offers them a business payment account powered with Mastercard, invoicing tools and bookkeeping capabilities, promising to save them “up to 10 hours a month on time spent managing business finances”.
Tokopedia, Indonesia’s largest ecommerce marketplace, is in the final stages of preparing a fundraising of up to $1.5bn from investors including Temasek, Alibaba and SoftBank that would cement its position as the country’s second-biggest unicorn. The fundraising, which could come as soon as next quarter, would value Tokopedia at between $8bn and $9bn.
To know more about how payment processing works for ecommerce marketplaces such as Tokopedia, check out our blog post.
‘Buy now, pay later’ outfit Klarna has officially launched in Australia, backed by a further $200 million investment from Commonwealth Bank of Australia. The Klarna app, which has been downloaded over 12 million times, offers Australian consumers an elevated one-stop shopping experience and allows them to pay in four equal installments at any online retailer with no interest or fees, when they pay in time.
Singapore-based financial services company DBS has launched an industry-first, QR code-based solution for B2B payments and collections. The new product is an end-to-end, QR-based platform that drives fast, cashless F&B payments and automated accounts reconciliation. Payments are being facilitated through PayNow in Singapore.
Read more about DBS’s Digital Transformation in our blog post.
Tink said it raised $99.8 million (90 million euros) in its largest-ever funding round, led by Dawn Capital, HMI Capital and Insight Partners, and will use the funds to develop new products for its open banking platform and continue to expand across Europe. The Stockholm-based firm enables thousands of banks, fintechs and startups to develop data-driven financial services through a single API, including initiating payments, developing personal financial management tools and accessing aggregated financial data.
Monese, a UK-based fintech that offers current accounts to people who are underserved by mainstream banks, is in talks to raise £100m from investors in a deal that is expected to make it the latest British technology “unicorn”. It is aiming to close a deal with new and existing investors in the first half of this year, according to three people close to the company.
Check out our infographic featuring 2019’s fintech unicorns and their company profiles here.
Denmark-based fintech Pleo, a business spending platform based on smart company cards, today announces a new collaboration with J.P. Morgan and Mastercard. The collaboration will allow Pleo to offer its customers a variety of new features such as corporate credit cards and scale faster across Europe. The fintech has also secured an e-money license in Denmark to offer credit to its “key clients” in Europe.