$27.81 million in fintech funding (equity and debt)

Hola amig@s fintech,

Let’s all welcome December and start saying goodbye to 2023. This week you can find below the weekly Latam fintech news. Remember we always appreciate your support by sharing and subscribing.  

💛 Until next weekend. Até a próxima!

• Lorena

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📊 Stat of the Week

Customers in Brazil prefer 11 out of the 17 credit card brands that are from fintechs. However, there are areas for improvement in cards, including increasing credit limits, cashback, and reducing commissions. (Source)

📖  Read of the Week

According to Tech Valuations Q3’23 Report by CB Insights, private tech companies' valuations surged in Q3'23, especially in later stages. Median valuations increased in all stages, with Series C and D+ startups experiencing the largest jumps of 54% and 43%, respectively. However, the number of deals is comparatively low, and it is expected to decrease on an annual basis across all stages in 2023.

🎙️Podcast of the Week

💸 Venture Financing

💸 Equity & debt

🇧🇷 Destaxa, the Brazilian POS solutions company, raised $6.11 million in a round led by Astella, and with the participation of Quona Capital, Supera Capital, Caravela Capital, and Endeavor ScaleUp Ventures. No further details were disclosed. 

🇧🇷 BomConsorcio, the Brazilian company for consortium members of large administrations, raised $19.5 million in the third issuance of shares in its FIDC. The issue was structured by Crescera Capital and Milenio Capital. 

🇨🇱 Colaboramed, the Chilean prepaid card for medical services, secured $1 million from U-Payments for the 12% of the company’s ownership. 

🇸🇻 DiiMO, the Salvarorian microloans startup, raised $1.2 million in a Pre-Series A investment round, from equity and credit. They had the participation of Endless Ventures and HAguila Investments.

💰 Venture funds 

🌎 NXTP, the B2B Latam investor, closed a third round (NXTP III) of $98 million to partner with tech founders in the region. 

☯️ Exits

🤝 M&A - Fintech

🇲🇽 Webull, the US-based stock trading app, announced the acquisition of Flink, the Mexican investment platform. This expansion into Mexico includes gaining control of Mexican brokerage Vifaru Casa de Bolsa. Webull plans to offer a broader range of investment products and integrate its technology. No further details of the transaction were disclosed.

🚀 Product Launches & Partnerships

💻 Fintech 

🇦🇷 Mobbex, the Cordoban payment services platform, and Binance announced a partnership to introduce crypto payments in Argentina, aiming to empower users to use crypto for transactions at any participating business.

🇦🇷 Ualá, the Argentine financial ecosystem platform, announced its inaugural no-fee credit card. The Mastercard-branded card, facilitated through its subsidiary Uilo and processed by Fiserv, will enhance credit accessibility.

🇧🇷 Clara, the Mexican B2B spending management platform, announced its expansion to Brazil by launching a payment account, featuring corporate cards and expense management solutions. 

🇨🇴 Duppla, the Colombian alternative housing financing platform, announced a rent-to-own housing financing model, promoting accessibility for families struggling with high-interest rates and stringent mortgage approval processes.The company aims to address the challenges faced by the informal workforce. 

🌎 Nubank, the Brazilian digital bank, announced a new feature allowing users to transfer up to 99% of their personal credit card limit to their business credit card, aiming to enhance financial organization for entrepreneurs. Additionally, Nubank launched free additional cards for business accounts.

🌎 CryptoMate, the Argentine crypto APIs solution, announced the launch of a cost-reducing solution for large enterprises by integrating with SAP technology, which will facilitate the connection to blockchain. 

📜 Policy

🇧🇷 Brazil’s Senate approved a 15% tax for foreign crypto exchanges, which will be applicable in 2024. The proposal had been passed to the Senate’s plenary for discussion and vote last week. As the bill sponsor is the Executive, it is expected to be published by the government in a few days. 

🇧🇷 Transfeera, the Brazilian payment infrastructure for companies startup, was authorized by the Central Bank of Brazil to operate as a payment institution. 

📰 Other News 

🇨🇴 Samson Mow, the CEO of Blockstream, a Canadian blockchain company, presented the President of Colombia, Gustavo Petro, with 100,000 satoshis in BTC,  which has began conversations on the potential adoption of Bitcoin in Colombia.

📚 Deeper Reads

Payments has always been the gateway drug to fintech

LatAm neobanks show promising signs, soaring profits in Q3

AI's Impact On Venture Capital And 5 Tips For Success

Jason Simon: Leading the FinTech Revolution as Technology Reshapes Finance

Who will benefit the most from Latam’s rise in banking-as-a-service?

🔦 Spotlight on Myriam Cosío, Chief External Affairs Officer at Clip

Q. Can you give us three words to describe yourself?

A. Adaptable, unstoppable, committed to delivering results.

Q. What made you get interested in the fintech industry after working in a big corporation?

A. The possibility to create something from scratch, to develop and try new things, to influence a new business, to test myself in an organization and structure I had never been in before. The possibility to transform the reality of Mexico with an innovative and unique solution.

Q.Which has been your greatest professional challenge?

A. It hasn't been just one. Every time I have faced a position where I had no experience or a new project... It was a challenge at the time. The most recent one has been to create and lead the External Affairs team. This is something I had never done before, which has led me to become the president of ASAMEP, vice president of competition for Fintech Mexico and position us as a leader in the industry.

Q. What is your opinion about the fintech industry in Latam?

A. The Fintech industry in Latin America, as elsewhere in the world, is facilitating significant advances in financial inclusion through technology, innovation, investment, and the development of customer-centric products. They are the disruptors of the region’s financial system through their innovative and differential solutions.

Q. What advice would you give to young women and men that are starting their careers in the fintech industry?

A. My first piece of advice is not to start directly in the fintech industry. Go and get to know a bit of the traditional financial industry to learn about its problems, complexities, regulation, shortcomings, and opportunities. Once you have this experience that also gives you development, knowledge about controls and organizations, leadership, strategies... 

Go to the fintech industry to apply this acquired knowledge in a more efficient way. And once you are there, the advice is to be comfortable with uncertainty, with constant change, challenging yourself, falling down and getting up, experimenting and trying again. Be resilient. The only constant is change and it is important to have this mentality to withstand this environment and continue to contribute, to grow, to bring solutions that are effective for clients.

📣 Latam startup alum who have been impacted by layoffs and recruiters looking for top talent, check out the Startups Alumni and Layoffs Brasil databases.  

If you’re looking to hire from a group of 10,000+ smart, motivated fintech professionals, come pick up a Collective Pass and post a job here.  If you’re looking for your next adventure at one of the best fintech companies, check out the open roles here!

Made in Latam with 💛 by Elena, Daniela, and Lorena

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