Neobanks buying banks & another FinTech gem from LatAm💎🇧🇷; More regulatory heat is coming as the world's largest crypto exchange ignored sanctions 👀; European startup funding doesn’t look good 😔
Good Morning FinTech, 13 July
Good day Everyone,
And happy Wednesday! Today’s issue is undoubtedly the best one this week. We’re going to look at neobanks (again) buying banks and another FinTech gem from LatAm (it’s the most exciting FinTech since Nubank!), more regulatory heat coming to the crypto markets as Binance reportedly ignored sanctions, and European startup funding that doesn’t look good this year (+ why you shouldn’t worry and be building!). Let’s jump straight into the good stuff:
Neobanks buying banks & another FinTech gem from LatAm💎🇧🇷
The news 🗞 Earlier this week I briefly covered that Brazilian FinTech Creditas has raised a solid amount of funding and is buying a bank. This is a very important development related to yet another FinTech gem from LatAm, so today we’re taking a closer look at it.
More on this 👉 Credit is an online consumer loan platform. It just raised $200M and is finalizing the acquisition of Andbank, a Brazilian bank with roughly $30B in assets under management. This will effectively give them a Brazilian banking license. This is a big deal because:
Creditas will begin accepting deposits immediately. Retail deposits will help improve the platform’s margin.
The lender also purchased mortgage marketplace Kzas, which will allow it to offer even more loans from various lenders.
The deal is reportedly worth $100M, but it is still awaiting approval from the Brazilian central bank and CADe, Brazil’s antitrust regulator.
But there’s more to that. Creditas’ recent growth and strategy moves it closer to becoming a proper Super App rather than just a FinTech lender. In fact, it might soon become as big and as an important market player as Nubank currently is.
Let’s take a closer look at it.