Is Banking-as-a-Service over? 🤔; The Great FTX Heist: how executives looted $8B in customer funds 🤯; PayPal teams up with Apple Pay to break down its walled garden 🤝📱

FinTech is Eating the World, 10 October

Hey Everyone,

Happy Tuesday! Today we’re going to question whether Banking-as-a-Service (BaaS) is over (what happened to Synapse & what should others expect + some bonus reads), look at the Great FTX Heist (how executives looted $8B in customer funds + some bonus reads about the legacy of FTX), and PayPal that teamed up with Apple Pay to break down its walled garden (what it’s all about & why it’s a win-win for both parties + a closer look at PayPal). Let’s jump straight into the fascinating stuff 🌶

Is Banking-as-a-Service over? 🤔

The news 🗞️ FinTech startup Synapse laid off 40% of its staff this week, just months after cutting 18% of its workforce in June.

The latest round of layoffs follows the loss of a major client, business banking platform Mercury, which decided not to renew its contract with Synapse in favor of working directly with its banking partner, Evolve Bank & Trust.

Let’s take a closer look at this and what it means for BaaS.