FTX, seriously? Fintech investment in Q3, Upgrade's B2C lending strategy in a tough market, PayPal growth slows , and more

FTX, seriously? Fintech investment in Q3, Upgrade's B2C lending strategy in a tough market, PayPal growth slows , and more

The FTX saga continues to unfurl spectacularly. This isn't a case of a perfect storm -- it's a case of a company and industry that can't stop incesutous business decisions, destablizing?the whole ecosystem with lack of controls and a pursuit of self-aggrandizement. This is a major setback for crypto but probably a big step forward for the bankification of crypto, or bankchain, as we like to all it.?--?Zack Miller, editor

Our top stories this week

How fintech investments fared in Q3 2022, in 4 charts

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VC investment in fintech has fallen for a third straight quarter in 2022, as health edges past to become the most invested industry.

Fintech investments are down more than 60% YoY, from $35 billion in Q3 2021 to $13.3 billion in Q3 2022.

Read?more

Where Credit’s Due Ep. 12: Diving into Upgrade’s B2C fintech lending strategy, with CEO Renaud Laplanche

With a recession looming, consumer spending and overall financial health is under pressure, creating a tricky environment for B2C fintech lenders.?In this context, we sat down with Renaud Laplanche, CEO at Upgrade, one of the main direct-to-consumer fintech lenders in the US.

Read / listen more

Behind Galileo’s payments fraud management revamp

Fraud attacks on financial institutions are nothing out of the ordinary – what's different now is the rise in their frequency and intensity.?We take a look at how Galileo Financial teamed up with fraud management firm DataVisor to bolster its payment risk mitigation platform.

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The Green Finance Podcast Ep. 13: Debunking carbon credits and voluntary carbon markets, with BeZero Carbon CEO Tommy Ricketts

We need more funds to flow towards climate solutions, and carbon markets can facilitate this by creating investable carbon assets. But we need to ensure that carbon credits are of the highest quality and that they are used mindfully.?

Our guest is Tommy Ricketts, CEO of BeZero Carbon, a company that provides carbon credit ratings and research tools to support buyers, intermediaries, investors, and carbon project developers.

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Data Snack: PayPal continues to report slow user growth, focusing on monetization

PayPal reported its third-quarter results last week, beating market expectations on both top and bottom lines.

However, much of the focus went towards its stagnant user growth figures, which left the market pondering over the firm's strategy through the market downturn.

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Join JPMorgan Chase, Citi, Cross River, Citizens, Grasshopper for The Big Bank Theory conference December 8-9 online

The Big Bank Theory Conference is Tearsheet’s end-of-the-year celebration and exploration of the changing face of the financial institution.?Bringing the industry’s top decision and opinion makers to one virtual space, TBBT is where the leading banks, credit unions, challenger banks, and payment firms come to wrap up 2022 and get inspired and educated towards 2023.

Get your ticket

Helix and BM Technologies provide embedded banking services for consumer brands

Helix by Q2 and BM Technologies have announced a partnership to make embedded finance a plug-and-play offering for non-FI brands.?Embedded financial offerings tend to deepen customer-brand relationships and make them more lucrative.

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Lending Briefing: The ethical use of alt data and AI could pave the way to a fairer financial system

While AI and alternative data have been around for a while, the industry has only begun to scratch the surface regarding their potential to unlock a fairer financial system.?If these tools are used ethically, the results can be beneficial for both the lender and the borrower at scale.

Read more ?(exclusive to Outlier members)

A tale of two phones: A day in the life of Ankur Sinha, CTO of Remitly

Ankur Sinha is CTO of Remitly, a company that does?international transfers.?But for Ankur, being tech-focused doesn’t mean losing sight of the customer – or missing out on family time. With an early start and a steady routine, here’s how he makes it work.

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Data Snack: Digital authentication is a hard nut to crack for banks

The age of passwords seems to be giving way to more frictionless mechanisms like biometrics or behavioral analysis.?Passwords, biometrics and Face ID are the computer engineer’s answer to traditional and real-world authentication processes.

Read more

How financial institutions can get the most out of artificial intelligence

Artificial intelligence is a complex technology with a variety of applications. For best results, financial institutions should implement AI with a specific need, plan, and strategy in mind.

AI can help financial institutions move beyond a transactional, generalized digital banking experience, and deliver branch-like banking on digital channels at scale.

Read more ?(sponsored by Finalytics)

Weekly 10-Q: Did Robinhood deliver a “confetti-worthy” financial performance?

We take a look at how Robinhood and SoFi's performances in Q3 impact their stocks.?Also, Coinbase sides?with Ripple in Ripple v.?SEC lawsuit.

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**Exclusive stories for?Outlier Members

Read the charts

1. In-store payment preferences around the world

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Source:?Sandra Mianda

2. Customer satisfaction scores for Black and non-Black respondents

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Source:?McKinsey

What we're reading

Tearsheet's Daily Newsletter covers the day's top stories so you're prepared to face your day.?Subscribe here .?

Collapsed crypto exchange?FTX?hit by rogue transactions (Reuters )

  • Crypto lender?BlockFi?pauses withdrawals in wake of FTX collapse?(CoinDesk )

FedNow?says 2023 fee schedule includes discount on credit transfer rate?(PYMNTS )

a16z-backed?Tellus?wants to offer consumers a much better savings rate?(TechCrunch )

JPMorgan?and?Mastercard?unveil Pay-by-Bank service?(Finextra )

Elon Musk details his vision for a?Twitter?payments system?(TechCrunch )

US quietly asks banks to keep some ties with Russia, even as Congress balks?(Bloomberg )

Q3 M&A Highlights: Deal volume down, number trending up?(Finovate )

Robo-adviser?Betterment’s?challenger mindset drives growth?(The Financial Brand )

TIAA?agrees to sell its banking arm to suite of investors?(Fintech Futures )

JPMorgan?and?Goldman?Sachs?battle for British customer deposits?(FT )

Square Loans?originated $1.14 billion in loans in Q3?(deBanked )

Ant?rolls out BNPL product in Hong Kong (Finextra )

The fintech layoffs just keep on coming (TechCrunch ))

Why?Xiaomi?left India’s fintech market?(The Diplomat )

Resources

Stay ahead of the game with?Outlier ?-- Tearsheet’s exclusive members-only content program?and join the leading financial services and fintech innovators reading us every day.

Justin Wolz

Marketing at Rho | NYC Angel | Pod Host

2 年

Looking forward to the conference next month, Zack Miller!

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