N26 cuts headcount by 4%
Happy Wednesday fellow FinTech Fanatic,
On the day neobank N26 announced the launch of new saving accounts in Spain, they also made clear to reduce its headcount by 71 people, or around 4 per cent.
Tackling what the company described as “significant and long-lasting changes to the global business landscape†over the last year, it is reducing the size of some of its teams.
The layoffs add to a number of departures for the FinTech at the start of the year. It notably lost two members of its C-suite in the first quarter of the year; CFO Jan Kemper and chief risk officer Thomas Grosse.
The news of the upcoming layoffs also comes a month after Allianz was reportedly considering the sale of its 5 per cent stake in N26.
Meanwhile LatAm challenger Nubank reported some growth (again). Nubank turned $141m profit in Q1, as nearly half the adult population of Brazil have an account with the bank.?
Outside of Brazil, the company has reached 3.2m customers in Mexico, up 52 per cent year-on-year, and 635,000 customers in Colombia, up 200 per cent YoY.
Nubanks global customer base reached 79.1 million (!) by now. Impressive numbers.
To stick to Latin America for a moment, MercadoLibre is another example of the increasingly mature market.
The company was founded in 1999 in Argentina, now headquartered in Uruguay, and active in 18 LatAm countries.?
Read the interesting story by Lars Markull on MercadoLibre's FinTech performance.
Last but not least, I would like to set sight at the Innovating FinTech newsletter, by the ever great Monica Millares.?
I highly recommend subscribing this newsletter, to receive your weekly reflection on customer insights, new launches and best practices to build FinTech products with impact!
Well, thanks for reading this far and onwards to the rest of the FinTech news??
During 2022, a closing gap between Europe and the U.S. Insurtech industry has been observed again. However, the rationale behind this is not quite the same compared to 2021. Read all about it and download this complete report by NTT Data.
INSIGHTS
Funding Alert - Last week 7 European FinTech Funding deals were spotted for a total amount of €36.3m raised, with 3 deals in the UK, 2 in the Netherlands, and one in Italy. Read the complete BlackFin Tech overview article here.?
FINTECH NEWS?
ComplyAdvantage takes on payment fraud using machine-learning algorithms. ComplyAdvantage announces the launch of Fraud Detection, its new solution that uses machine learning algorithms to detect and prevent the menace of transaction-related fraud.?
Zimpler unveils instant cross-border payouts for a secure and swift transaction experience. This unique innovation enables Zimpler’s clients to send Euros instantaneously to all 20 Eurozone countries via SEPA (Single Euro Payments Area) without the need for hidden fees or complicated administrative tasks.
German BNPL player Tilta goes live on Mambu. Powered by Mambu, Tilta can enhance the payment experience for B2B merchants and their end customers, while closing the working capital gap on eCommerce marketplaces. Read more
Nubank México reaches 500,000 debit card users and Ualá doubles down on offering for businesses. Nu México has finally made its debit card generally available in Mexico slowly unveiling it in a beta version. Meanwhile, Ualá announced that it would allow businesses to accept credit card payments and send payment links through its business platform Ualá Bis.
Chile recently inaugurated the Fintech District, a dedicated space designed to foster the country's Fintech industry. This initiative, led by FinteChile in partnership with cowork IF, mirrors global financial centers' approach to supporting Fintech companies.
PicPay is embracing Open Finance by introducing a new feature aimed at simplifying users' financial lives: PicPay Open Finance. Users can view all their financial information in one place, manage their finances more easily, and gain a better understanding of their spending and income. Link here
Uber has been granted final approval to establish and operate an Electronic Payment Funds Institution, branded as UBR Pagos México. This authorization aligns Uber with the Law to Regulate Financial Technology Institutions, commonly known as FinTech Law. Read more
领英推è
DIGITAL BANKING NEWS
Allica Bank offers 5% cash savings fixed rate bond. While a bond, the fixed rate account is treated in the same manner as cash savings or deposits in terms of consumer protections to ï¿¡85,000 under the Financial Services Compensation Scheme.
Barbados challenger Sagicor Bank launches on Mbanq’s BaaS platform. Using Mbanq’s platform, Sagicor Bank customers will be able to open deposit and savings accounts in a “couple of minutesâ€, access virtual and physical cards, loans and mortgages and make payments domestically and internationally.
BLOCKCHAIN
Crypto companies are playing poker with the SEC as agency cracks down on the industry. Major players are hoping that the SEC and Washington takes, what crypto watchers see as bluffs, seriously and soften the hard line that regulators have taken on the industry. Read more
Bitpanda invests $10m in AI to “revolutionise†wealth creation. The new platform will focus on creating and delivering new AI-driven products and investing features, as the company plans to work on an entire new product range with products including personalised investment ideas.?
PARTNERSHIPS
Bud Financial teams with Google to provide insights from transaction data. Bud’s platform will help clients better understand their customers, optimize lending and underwriting, monitor their loan portfolios and personalize every customer touch point.?
Deutsche Bank wins Moss payments mandate. The partnership with Deutsche Bank is the first step for Moss to be able to offer payment services under its own license in the future. Link here
Quantexa teams up with ING to strengthen anti-money laundering efforts. The collaboration aims to strengthen ING’s risk detection. This will enable ING to gain a 360-degree view of customer data, identify risk, and continue advancing their world-class customer experiences.?
Jack Henry to contribute to FedNowSM's launch. The companies aim to offer clients and users the possibility to modernise their payment strategies and platforms, with real-time payments solution or services that allow them to remain at the center of the payment process. Read more
Skaleet joins forces with Salt Edge. This alliance will considerably facilitate the compliance of banking and electronic money institutions with the strict regulatory requirements of open banking.?
Yield App boosts crypto accessibility with Volt real-time payments. The partnership is a strategic move by Yield App to ensure its customers have a seamless experience when accessing the platform's full suite of products.?
#DONEDEAL
Hands In bags ￡550,000 funding to shake up group payments. “With this investment, we are looking to accelerate Hands In’s tremendous growth by supporting our global enterprise clients and payment partners.†Said Samuel Flynn, Founder and CEO of Hands In.?
Global payables automation platform Tipalti snares $150m. The company will use the funding from this latest raise to enable it to further invest in product innovation and supporting its customers. Read more
Mortgage fintech Finspo raises $2.55 million Series D. The funding will help Finspo enhance its platform, which digitises and automates the home loan application process ahead of ambitions to deliver a fully automated mortgage broking process.
Zip raises $100 million Series C at $1.5 billion valuation to revolutionize procurement. Zip’s latest funding will allow the company to accelerate product and user experience innovations to increase employee adoption across its rapidly growing customer base, including new applications of generative AI.?
MOVERS AND SHAKERS
Lizzie Chapman, other co-founders of Zest Money resign months after PhonePe acquisition deal fails. Since March, some 170 Zest employees have moved to PhonePe. The fintech, which had some 500 employees last December, is now left with some 100. Link here
Fernanda Ribeiro, co-founder and former CCO of Conta Black, has recently been appointed as its CEO. Ribeiro also serves as president of the AfroBusiness Association, a diversity leader for the Brazilian Fintech Association, and an ambassador for the Ibero-American Network of Women in Fintech.
PPRO chief Simon Black to step down. The firm has also reshaped its management team with a new CTO, new CFO and new chief commercial officer, beginning with the appointment of Lázaro Campos as chairman a year ago.
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Cheers,
Marcel van Oost
Wonderful to see Sagicor Bank Barbados making strides to improve the experience and products on offer to customers in #Barbados. Well done to the who team (cheers to you and your team Lee-Anne O'Selmo ??). This is only the beginning I'm sure. ???? ??
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