Hello Fintech Friends,

Goldman and JP Morgan's investment banking teams are picking up the phone for crypto clients again, as reported by The Information below.

A few other good reads from the TWIF team this week:

The Future of Fintech: According to Experts and the TWIF Community

If you’re reading this, it means you (almost) survived another Money 20/20, congratulations! Last year, we did a survey of over a dozen fintech experts as well as dozens of our community members on their outlook for fintech. Here’s a summary of what they said in the

This Week in FintechJulie VerHage-Greenberg

Argentina and Latin America: How Technology is Reshaping the Financial Landscape

In a region where high inflation and currency depreciation erode wealth, and traditional banks and governments fail to provide stability, how are fintech innovations—such as stablecoins, neobanks, and fintech startups—reshaping the financial landscape in Argentina and across Latin America? One of the reasons I decided to study Economics

This Week in FintechClara Estol

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Please find another week of fintech exits and deep reads below.

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Fintech’s next chapter: New report explores the future

Under the backdrop of regulatory scrutiny and security concerns, SVB’s 2024 Future of Fintech report finds that while fintech companies are facing headwinds, they’re also finding immense opportunity. Get insight into the health of the fintech sector in this new report leveraging SVB’s unmatched proprietary data and deep sector knowledge. Read the report.

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📖 Reads of the Week

CFPB’s open banking rule will kill community banks with kindness

By exempting small banks from compliance with its open banking rule, the Consumer Financial Protection Bureau is relegating them to the dustbin of history. That cannot be allowed to happen.

American BankerChris Lewis

☯️ Exits

💻 IPOs & SPACs

• Mexican fintech Klar is aiming for a 2026 IPO, targeting $500 million in annual revenue by Q3 2025. With 2 million users, Klar projects growth to 10 million in five years by focusing on credit services for middle-income consumers. Klar is part of a broader trend of fintechs addressing Mexico's underbanked population, following companies like Blu Financiero and Aviva.
• Goldman Sachs and JP Morgan are beginning to court crypto clients again as their potential IPO prospects brighten under a new admininstration.

🤝 M&A - Fintech

• IN Groupe acquires Nexi’s eID business: IN Groupe finalized the acquisition of Nexi's electronic ID division, including the Danish digital identity platform MitID. IN Groupe, specializing in secure digital identity solutions, aims to enhance MitID's development. Nets, part of Nexi, will support a smooth transition, transferring 300 employees to IN Groupe, which will operate new offices in Denmark and Norway.
• BNZ acquires BlinkPay: BNZ (Bank of New Zealand) purchased BlinkPay, a New Zealand-based open banking fintech, to improve customer offerings and digital experiences through streamlined payment and financial data sharing.
• Delta Capita acquires Aurora: Delta Capita, a consulting firm in financial services, acquired Aurora, a client lifecycle management advisory company. This acquisition strengthens Delta Capita’s regulatory compliance and technology-driven solutions.
• Everfox acquires Yakabod Inc.: Everfox acquired Yakabod Inc., a technology company specializing in secure data management and IT services, broadening its capabilities in high-security software for government and private sectors.
• Bumper acquires Autobi: Bumper, a financing platform for car dealers, acquired Autobi, a data insights provider. This acquisition allows Bumper to expand its data-driven solutions for vehicle financing and dealer customer experience.
• FIS is Still Hungry: Core banking giant FIS said on its latest earnings call, "we’re looking at small tuck-in acquisitions that can advance our growth verticals … [in] digital payments, commercial lending, treasury, et cetera, risk. So these are areas that have higher growth, higher margin for us … The universe continues to be fairly robust and we think valuations are fair."
• The Access Group acquires Paytronix: The Access Group, a business management software provider, acquired Paytronix, a U.S.-based guest engagement, loyalty, and payment platform for restaurants and convenience stores.

🏦 M&A - Bank and FinServ

• BM Technologies Acquired by First Carolina Bank: BM Technologies, a banking-as-a-service (BaaS) provider, will be acquired by First Carolina Bank for $67 million. This acquisition, expected to close in the first half of 2024, will enhance First Carolina Bank’s digital banking offerings and expand BM Technologies’ reach into additional regions..
• Runway Growth Capital Joins BC Partners Credit: Runway Growth Capital, a provider of growth loans to companies, will combine with BC Partners Credit, a credit investment arm with $8 billion in assets under management. Runway’s current management team will remain in place, and the partnership aims to accelerate growth, offering expanded financing solutions, such as asset-based lending and structured equity options​.
• Bremer Financial Exploring a Sale: Minnesota-based Bremer Financial Corporation, a regional bank, is reportedly seeking buyers as it navigates competitive pressures. Although no definitive buyers are mentioned, this potential sale highlights the ongoing consolidation trend among mid-sized banks​.
• J.C. Flowers Acquires Pepper Europe: Private equity firm J.C. Flowers has acquired Pepper Europe, a financial services firm, marking a significant expansion into the European market. This acquisition will leverage Pepper's European customer base and operational network to increase J.C. Flowers' influence across Europe.
• Ryan Specialty Completes Acquisition of Innovisk Capital: Ryan Specialty, an insurance brokerage and specialty services provider, finalized its purchase of Innovisk Capital Partners. This acquisition will expand Ryan Specialty’s specialty insurance and underwriting capabilities in a variety of sectors​.
• Elsewhere, asset manager State Street is shopping for a private credit fund and BlackRock is in talks to buy a stake in hedge fund Millennium Asset Management.

Fintech’s next chapter: New report explores the future

Under the backdrop of regulatory scrutiny and security concerns, SVB’s 2024 Future of Fintech report finds that while fintech companies are facing headwinds, they’re also finding immense opportunity. Get insight into the health of the fintech sector in this new report leveraging SVB’s unmatched proprietary data and deep sector knowledge. Read the report.

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🌎 Fintech Around the World

US BNPL firm Affirm takes “slow move” into UK market

How Data-Driven Finance Will Transform Middle East Banking

📚 Deeper Reads & Features

Building Sustainable Bank-Fintech Partnerships

Trump’s Election Win Wakes Up Sleepy Decentralized-Finance Cryptocurrencies

Meet the pro-crypto contenders who could replace SEC chief Gary Gensler

Request for Information on Bank-Fintech Arrangements Involving Banking Products and Services Distributed to Consumers and Businesses

AI in Banking: Should I Build or Should I Buy?

Bloat, Redundancies Inflate Ever-Increasing Tech Spend

Building the Road to 'Small Business Utopia' with AI and Fintech

Squirrel spotted onstage before Kamala Harris’ concession speech — and internet thinks it’s the ghost of P’nut

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