Welcome to your daily FinTech news!
MercadoLibre posted record revenues of $2.6 billion for the second quarter, an increase of 56% year-on-year, surpassing analysts’ expectations of $2.5 billion. The regional e-commerce giant beat forecasts for all key metrics. Analysts expected a gross margin of 45.9%, but the company posted a 49% gross margin for the second quarter. Link here.
- Twid raised $12 million in a funding round led by Rakuten Capital, to expand its reward points-based service. Twid is a network effect platform that combines loyalty/reward points across issuers such as banks, fintech firms, and retail/e-commerce brands. Link here.
- Galoy raised $4 million in funding in an investment round led by Hivemind Ventures. On the same day, the startup launched a new product called Stablesats. This stablecoin concept leverages derivatives contracts to create a bitcoin-backed synthetic dollar pegged to the U.S. dollar. Link here.
- Bounty raised $4.7M to help everyday TikTokers make money from reviews. The new service, currently in beta, is designed for everyday TikTok users — not just professional creators — who want to earn money by reviewing brands’ products. Link here.
- Ben secured $16M in a Series A round of funding led by Atomico. The latest round brings the total funding raised by the company to $21M (approximately €20.6M). Link here.
- Beams Fintech Fund is India’s first Growth Capital Fintech Fund, which invests in companies operating at the confluence of Financial services and Technology space. With more than 2.6 million members and a 30% population share, Indians constitute the largest expatriate community in the UAE and becomes the natural entry point for Beams portfolio companies. Middle East Banks, NBFCs and Large Tech Founders can become part of Beams ecosystems to support the Middle East Fintech ecosystem. Link here.
- Credit Fair raises $10 million in debt and equity. Founded in 2018, the company aims to drive financial inclusion by offering customized lending solutions to under-served business and consumer segments. Link here.
- Consumers in Indonesia can now use PayPal after the payments company registered in that country as an electronic systems operator. PayPal was among several websites blocked by Indonesia over the weekend for failing to adhere to new licensing rules. Link here.
- PayPal’s most recent earnings results spotlight the continued digital shift, as active user counts eclipsed pre-pandemic levels. And buy now, pay later (BNPL) volumes surged by triple-digit percentages. Link here.
- Previ connects users who want cash-back deals and ease of payment with partners that want a cheaper way to acquire customers. To further sweeten the collaboration, Previ takes on the “risk” of consumers and pays its partners on behalf of them (and plans to take out a debt line in the future to fund these payments). Link here.
- AMTD Digital stock increased 21,000% since its July IPO. The Hong-kong based company that went public in New York on July 15 saw its market cap surge past $300 billion on Tuesday before crashing to $203 billion yesterday. AMTD primarily provides loans and services to startups in exchange for fees. Link here.
- ZayZoon plans to continue its expansion in the United States following its recent $12.5 million CAD equity raise and a new $13 million CAD credit facility with ATB Financial. In fact, look for ZayZoon in Canada, and you won’t find it. Link here.
- PayStand and Yaydoo partner to create the biggest blockchain B2B fintech platform, covering the US and Latin America. The combined company will be one of the first global B2B blockchain platforms to have processed over $5 billion in payments. Link here.
- letus has selected Splitit to bring its Installments-as-a-Service to its cloud payment platform for the property rental market, allowing tenants to pay expenses in several interest-free installments on their credit card. Link here.
- The profitability of emerging markets FinTechs. The ‘growth at any cost’ approach that some FinTechs have taken is now likely a thing of the past, as access to funding becomes tougher. In Tellimer’s view, profitability has moved up the pecking order of performance metrics that investors track. Link here.
- Mexico’s 101 Fastest Growing FinTech Startups 🇲🇽. Check them out here.
DIGITAL BANKING NEWS
- The Super App Shift: How Consumers Want To Save, Shop And Spend in the Connected Economy. A PayPal and PYMNTS collaboration, examines how the growing consumer preferences for streamlined payment experiences have evolved into a significant interest in a super app to manage everyday life. Link here.
- Novo launched Express ACH, a service that will allow all of Novo’s small business customers to process same-day ACH payments. Link here.
- SoFi says it’s reaping the benefits of becoming a bank, which allowed it to pull in some $1.6 billion in deposits during the second quarter as other funding sources became more expensive. Link here.
- Revolut has launched a cryptocurrency service in Singapore, allowing users to buy, hold and sell over 80 tokens through its app. Link here.
- TymeBank bolsters its business banking offering with a series of initiatives, including a proposed acquisition of Retail Capital. Retail Capital is a fintech company providing funding to small and medium-sized businesses in South Africa. Link here.
- Four banking trends shaping the sector in Australia. With more than 60 mutual banks and credit unions operating in Australia, servicing more than 4 million customers, the customer-owned banking landscape is a diverse and important one. Link here.
- MENA’s payments market will only continue to grow, and so MENA banks and organisations looking to centralise and unify all their digital payments needs in a single hub, will be looking for solutions that give them scalability and flexibility to expand their offerings to respond to newer trends. Link here.
- In Asia, bigtechs and new digital banking challengers are rapidly gaining ground, forcing incumbent banks to rethink their business strategy and become a part of the super-app ecosystem, a new report by Finextra, in association with Infosys Finacle and OneSpan, says. Link here.
This ends Your Daily Fintech News. Let me know if there are any questions or comments. Until the next!
Marcel van Oost
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