Big Week for BNPL
One of the most recent headliner news events in fintech this month (so far) has been U.K.-based Klarna 's announcement that it filed paperwork for its IPO. While the company has not released any details about its expected valuation or share price, Fortune estimates that Klarna could earn a valuation of about?$14.6 billion.
Earlier this month, California-based Affirm unveiled plans to launch in the U.K., marking Affirm's third geographical location. The move also pits it against established U.K. BNPL players, including Klarna, Clearpay (Afterpay), and Laybuy.
Today, Google Pay announced that it is doubling its number of BNPL partnerships, and will now offer Afterpay and Klarna at select merchants' points of sale. Google Pay already holds partnerships with Affirm and Zip.
All of this comes at a heady time for BNPL. The U.S. CFPB issued an interpretive rule earlier this year stating that BNPL lenders are credit card providers. About a month ago, fintech trade group Financial Technology Association (FTA) filed a lawsuit challenging the interpretive rule, arguing that the CFPB violated the Administrative Procedure Act’s (APA) notice-and-comment requirements.
As we prepare to move into 2025, I anticipate we'll see more maturity in the BNPL subsector as fintechs prepare to contend with pending regulations.
I'm Julie Muhn, saving now to pay later, bringing you today's newsletter.
Weekly news
PayPal to enable disbursement partners to use PayPal USD (PYUSD) to settle cross-border money transfers made with Xoom, A PayPal Service .
Google Pay adds Afterpay and Klarna to BNPL options.
Prepping for crypto's breakout year
With growth in decentralized finance set to explode next year, there's no better time to prepare for the new era than to read up on the latest news and announcements. Fortunately, Finovate's David Penn has you covered, with his Tales from the Crypto series.
Check out today's installment: 5 Tales from the Crypto: Acquisitions, New Markets, New Rules, and New Tools.
Pause button: the benefit of being cold
It has started to snow in earnest in the valley where I live, and while I'm not ready for the colder weather, I've been researching the benefits of cold exposure on the human body.
As it turns out, humans' desire to stay completely comfortable at all times isn't necessarily healthy. Check out this podcast snippet on the benefits of spending 11 minutes per week exposed to colder temperatures.
Planning your 2025? FinovateEurope is just around the corner!
While you may be currently focused on planning your winter ski trip, don't forget to pencil in FinovateEurope, which is taking place February 25 and 26 in London.
We are currently accepting demo applications, so prepare your product pitch and apply today.
Interested in attending? Tickets are currently discounted, so buy early and save!
Great updates, thanks for sharing!