Mexico FinTech News
Will Mexican IPO Hopes Have To Wait? It’s Tough Out There For LatAm Fintechs
The last few months have been generally positive for Mexican fintechs: Plata and Revolut got the green light to start operating as fully licensed banks, Klar bought Bineo bank from Banorte, while others keep moving forward in the regulatory pipeline; portfolios keep on expanding, and while credit quality remains an area of concern, increasingly profitability has been achieved, or is close.
Alas, it might be some time before that good news translates into IPOs. The issue is not just the overall market pullback, driven by the Iran war. But more importantly, recent Brazilian FinTech IPOs have been a car crash, likely making it far more difficult for regional peers to come to market, given the investor base (hedge funds, EM institutional investors, global finance FinTech and funds) is much the same.
PicPay and Agibank, the two headline Brazil FinTech IPOs of the year, have dropped by over 40% in dollar terms, respectively, since going public earlier this year. Given they are profitable, they have now become enticing value plays, (PicPay at 6 to 7 P/E and Agibank at 5 to 6 P/E based on last quarter’s earnings), which is not how FinTechs were marketed. Apart from broader market concerns, some investors have expressed concerns about credit quality trends, PicPay moving away from FGTS credit to riskier and more capital intensive private payroll loans, and low quality investor base given listed abroad. The sharp drops are especially bad news for Bicycle Capital, former Softbank Marcelo Claure’s asset manager, which has 3.6% of PicPay and anchored the IPO.
The overall competitive environment for Brazil fintech challengers is also tough: Nubank is down close to 20% YTD, amid concerns operating expenses will accelerate as it embarks on global domination. (While mostly in retail, Mercado Libre has also had a brutal year, down about 20%.) Interestingly, the broader Brazilian market (EWZ) has rallied 15% in the same period, while legacy banking giant Itau is up 10%; in other words, it’s Brazil fintech that has fallen out of favor. Some wonder if Banco Master’s liquidation and the wider scandal clearly rattled confidence in reporting and general Brazilian financial oversight of FinTechs.
That’s not to say, of course, that all IPOs are out of the question for the foreseeable future, but, convincing the same group of investors to take a chance so recently after significant losses, won’t be easy, a lesson some Mexican non-bank lenders learned the hard way when wholesale liquidity dried up after the collapse of Credito Real and others.
Apple Enables Tap-to-Pay on iPhone in Mexico via Fintech Partners
Apple launched Tap-to-Pay in Mexico, allowing merchants to accept contactless payments directly on iPhones through partners including Clip, Mercado Pago, Adyen, and Visa, expanding softPOS adoption beyond Android devices. The rollout lowers barriers for SMEs by removing the need for dedicated terminals, strengthening fintech distribution, and accelerating digital payment acceptance in a cash-heavy market. The move also aligns with rising contactless penetration, growing from <5% in 2023 to ~30% in 2025, and could see further tailwinds from the 2026 World Cup, positioning mobile-based acquiring as a key driver of payment digitization in Mexico.
BloombergLínea, 24/03/26, Italia López: Apple enables iPhone payments in Mexico via Mercado Pago, Clip, Adyen, and Visa.
Mexico Cryptocurrency Market to Reach $91.5 bn by 2034
Mexico’s cryptocurrency market is projected to more than double by 2034, grow from $41.1 bn in 2025 to $91.5 bn, reflecting a 9.03% CAGR, driven by rising digital adoption, remittance demand, and expanding fintech infrastructure. The market is increasingly relevant for fintechs, payment providers, and institutional players exploring blockchain-based solutions, particularly in cross-border payments and digital asset management, although regulatory ambiguity and financial literacy remain key constraints.
IMARC Group: IMARC Report | LinkedIn post, 19/03/26, Deepak Mishra: Mexico cryptocurrency market projected to reach USD 91.5 bn by 2034 (CAGR 9.03%)
DiDi Expands Fintech via SOFIPO
DiDi is expanding its financial services business in Mexico, leveraging its SOFIPO license (JP Sofiexpress) to offer deposits, credit, and payments without seeking a full banking license, while simultaneously deepening regulatory engagement through a new collaboration agreement with Mexico City’s Congress. The company has issued over 20 mn revolving loans since 2021, reached ~2 mn users in both its credit card and deposit products, and operates within a super app used by more than 30 mn people. The agreement with local authorities focuses on shaping regulatory frameworks, data sharing, and financial inclusion, reinforcing DiDi’s strategy of scaling financial services through its platform while influencing policy.
El CEO, 26/03/26, Fernanda Celis: DiDi uses its SOFIPO to compete with fintechs without seeking a banking license | Congreso de la Ciudad de México.
Additional reading…
- Hey Banco launches Hey Tech to sell AI, treasury, and payments solutions in Mexico and Latin America.
LatAm FinTech News
In Rare Hit, Mastercard Absorbs Losses As Banco Master Collapse Exposes Network Risk
Mastercard covered roughly half of ~R$5 bn (US$954 mn) in outstanding card balances after the collapse of Brazil’s Banco Master and its fintech unit Will Bank, stepping in to settle merchant payments under network rules. The company is now seeking reimbursement through the liquidation process, supported by collateral, but the episode highlights the latent credit and counterparty risk borne by payment networks. The case also raises broader questions around liability allocation and risk controls as fintech-driven credit scales, exposing how failures at the issuer level can cascade across the payments ecosystem.
Bloomberg, 23/03/26, Matheus Piovesana: Mastercard faces losses after Banco Master collapse in Brazil.
MercadoLibre to Invest US$11 bn in Brazil to Expand Logistics and Credit
MercadoLibre will invest US$11 bn in Brazil in 2026, a 50% increase YoY, focusing on logistics expansion, marketplace growth, and scaling its fintech arm Mercado Pago’s credit portfolio. The company plans to open 14 new fulfillment centers and add 10,000 jobs, reinforcing Brazil as its core market, which generates over half of its revenue. The investment underscores MercadoLibre’s strategy of integrating e-commerce, payments, and lending to deepen ecosystem dominance, particularly through credit expansion as a key growth lever in Latin America’s largest market.
Reuters, 24/03/26, Staff: MercadoLibre to invest $11 bn in Brazil this year.
Nubank Evaluates Acquisition to Secure Banking License in Brazil
Nubank has been shortlisted to acquire the Brazilian subsidiary of Portugal’s Caixa Geral de Depósitos as part of its ongoing evaluation of pathways to obtain a full banking license, though no transaction has been confirmed. The move reflects a broader strategic consideration to strengthen its regulatory positioning in its core market, either through acquisition or organic licensing, as fintechs increasingly converge with traditional banking structures. The potential deal remains early-stage and subject to regulatory timelines, but signals Nubank’s intent to deepen its operating model within Brazil’s regulated financial system.
Valor International, 27/03/26, Álvaro Campos: Nubank shortlisted to acquire Portuguese bank unit in Brazil.
Tpaga Acquires MYMOID to Build End-to-End Payments Infrastructure
Colombian fintech Tpaga acquired Spanish payment gateway MYMOID to accelerate its entry into card processing and strengthen its position as a full-stack payments provider. The acquisition adds a PCI-certified platform with over a decade of operating history and ~$300 mn in annual transaction volume, enabling Tpaga to integrate online card acquiring into its existing suite of QR, softPOS, and payment link solutions. Strategically, the move allows Tpaga to consolidate merchant payment flows into a single platform while also opening the door to potential expansion into Europe, illustrating how LatAm fintechs are leveraging acquisitions to fast-track capability building and compete more directly in payments infrastructure.
Latam Fintech Hub, 24/03/26, Staff: Tpaga acquires Spanish payment gateway MYMOID to expand card processing in Colombia.
Additional reading…
Global FinTech News
Revolut Posts Record Profits and Accelerates Shift Into Lending and Banking
Revolut reported record profits of $2.3 bn (£1.7 bn) in 2025 and secured its long-awaited UK banking license, enabling it to roll out credit cards, personal loans, and overdrafts as it pushes deeper into core banking. The company more than doubled its loan book and is actively transitioning customers into its banking entity, signaling a strategic pivot from fee- and crypto-driven revenues toward interest income and balance sheet expansion. At the same time, Revolut is scaling its global infrastructure, with plans to base ~40% of its workforce in India to support operations, product, and risk functions. The combination of profitability, licensing, and lending expansion positions Revolut to compete more directly with incumbent banks while operating a globally distributed, cost-efficient model.
Reuters, 24/03/26, Elizabeth Howcroft and Haripriya Suresh: Revolut profit soars to record $2.3 billion in 2025, plans UK lending & India workforce | Other sources: Bloomberg.
Additional reading…
Download PDF: Mexico Fintech Chatter – 30.03.26