FinTech Daily News – Edition 34, 18.08.2017
August 18, 2017
FinTech Daily News – Edition 36, 22.08.2017
August 22, 2017

FinTech Daily News – Edition 35, 21.08.2017

FinTech Daily News

by Florin Oprea

Edition 35, 21.08.2017

Deals, Investments & M&As

Twitter Backer IVP In Talks To Buy Stake In £1bn TransferWise

Mark Kleinman – Sky News

IVP, whose roll-call of deals includes Snapchat parent Snap, Twitter and Netflix, is close to a deal to invest tens of millions of pounds in TransferWise.

FAO: TransferWise launched the “Borderless” service earlier this year – we reported this in May. The company had a fantastic development and it’s absolutely natural to attract more and more important backers.

Founders Fund’s Geoff Lewis Leaves to Start His Own Fund

Sarah McBride – Bloomberg

Lewis is the second partner to depart in recent months from the fund, launched 12 years ago by PayPal co-founder Peter Thiel. Luke Nosek left to start an investment fund called Gigafund that will help Space Exploration Technologies Corp., the rocket company founded by Elon Musk, raise money.

Lewis intends to raise more than $100 million for the new fund.

FAO: This adds to the plethora of new investment funds we reported in Blockchain Daily News.

Payments

PayPal Expansion Includes Tie-Ups With Rivals

Mamiko Fujita – Nikkei Asian Review

PayPal is aggressively expanding its payment network worldwide by forming partnerships with global players in various sectors. The moves are aimed at increasing convenience for users and expanding its customer base.

FAO: Among the new partners – Chinese search engine provider Baidu,  Bank of America, JPMorgan Chase, Wells Fargo, Alphabet, Apple etc.

How China’s Central Bank Is Clamping Down On The Mobile Payment Industry

Jinshan Hong – Forbes

On August 4th, the People’s Bank of China (PBoC) mandated that mobile payment groups must channel payments through a new clearing house by next June. Central bank-affiliated institutions are the largest shareholder (35%) of this newly established China Nets Union Clearing Corporation. Alipay and Tenpay account for 10% each.

FAO: We reported China’s move here. The agreement was signed with 44 financial firms that will need to connect to the clearing platform by October 15.

Alipay, WeChat Take Battle for Mobile-Payment Dominance Overseas

Chuin-Wei Yap – Wall Street Journal (subscription)

China’s tech titans are expanding into foreign markets, signing partnerships with merchants in Southeast Asia and Europe and looking to invest in payment systems in other countries.

FAO: Looks like the battle for world domination in fintech has begun. Giants are clashing everywhere.

Lending

Funding Circle Set to Support UK Small Business Growth Through Strategic Partnership With Aegon

Samantha Hurst – Crowdfund Insider

Aegon is set to invest in loans to UK small businesses through its lending platform. The partnership will notably see the financial service company fund £160 million of loans in the first 12 months under a framework agreement, with the intention to extend this step-by-step into a four-year funding program.

FAO: Interesting approach. Another win-win.

Retail banking

Revolut Expands Team In 20 European Countries, Prepares For US Launch

Emily Spaven – UKTN

UK FinTech firm Revolut has expanded its international team hiring country managers in 20 European nations including France, Germany, Spain, the Netherlands and Italy.

FAO: Revolut recently raised $66m in a funding round and some $5.3m in a oversubscribed crowdfunding campaign (reported here). So this is what they had in mind…

FinTech People

GitHub CEO Chris Wanstrath To Step Down After Finding His Own Replacement

Alex Konrad – Forbes

Three and a half years after his return, Chris Wanstrath will step down as CEO of popular developer platform GitHub after leading the search to find his own replacement.

Wanstrath will continue as CEO until the new leader is found, at which time he’ll move into an executive chairman role.

Accelerators & Hubs

Eastern Europe’S Surprising New Tech Hub

Dan Peleschuk – Ozy

According to the IT Ukraine Association, an advocacy group, the nation has the world’s fourth-largest number of certified tech professionals (those who are specially trained to work with custom software). With around 100,000 specialists and more than 1,000 IT service firms across the country, the industry generated a whopping $3.2 billion in revenue last year, according to Oleksandr Kubrakov, the director of IT Ukraine. “It’s growing faster than all other industries.”

FAO: Hmm…Interesting numbers. I think the entire Eastern Europe is an important “brain pool” and there has been a significant “brain exodus” in the region states in the early 2000s. Fortunately a lot of these states have implemented vital changes in their legislations in order to prevent the phenomenon from growing.

 

FAO: Florin Adrian Oprea, Editor-in-chief FinTech Daily News

DNT: Decebal Nicolaie Todarita, Editor FinTech Daily News