Miranda’s Weekly Mex FinTech Monitor

Mexico FinTech News

FinTech Fiado authorized as an Electronic Payment Funds Institution in Mexico

Pago Confiado has been authorized as an Electronic Payment Funds Institution under Mexico’s FinTech Law, becoming one of 76 firms in this category. Pago Confiado is associated with Fiado, a company providing financial services to Mexican migrants in the US and their families in Mexico. Additionally, Lendera, a Collective Financing Institution, is now listed in the Financial System Catalog, pending the publication of its official letter.

Contxto, 04/10/2024, Staff: FinTech Fiado authorized as an Electronic Payment Funds Institution in Mexico

 

Uber freezes FinTech plans in Mexico, while competitors inDrive and DiDi double down on financial services

Uber, DiDi, and inDrive have been expanding their ecosystems beyond transportation into finance, delivery, and food marketplaces. While their strategies are similar, their approaches to finance differ. Uber obtained a FinTech license but postponed its digital wallet launch. inDrive partnered with FinTechs and card issuers to offer loans and credit cards for drivers, enhancing driver retention and revenue. DiDi extended its loan offerings to all Mexicans through its DiDi Finanzas app, disbursing millions of loans and launching a credit card. DiDi aims to become a super-app, offering various services within one platform. These developments highlight opportunities in the gig economy and the potential for financial inclusion in Mexico.

Contxto, 04/10/2024, Staff: Uber freezes FinTech plans in Mexico, while competitors inDrive and DiDi double down on financial services

 

FinTechs try to get on the agenda of presidential candidates

Mexico’s FinTech association is bravely trying to put FinTech on the agenda of Presidential candidates, even if there is little evidence so far of such efforts having much of an impact. What Mexican FinTechs need above all from the next government are 1) Moves to promote financial digitalization, and curb use of cash in the economy. This would have the added benefit of reducing tax evasion, but harm certain vested interests. 2) Pro Open banking regulations (opposed by some key members of the much more powerful ABM).

El Economista, 04/10/2024, Sebastián Estrada: Buscan posicionar FinTech en la agenda de los presidenciables

 

Elektra gets approval to operate an IFPE

Tecnología e Innovación en Pagos EKT, S.A. de C.V., a Grupo Elektra subsidiary, gained authorization to operate as an Electronic Payment Funds Institution (IFPE). Grupo Elektra joins major retailers like Walmart and Oxxo with IFPE licenses, enhancing its financial sector presence through its extensive network, including Banco Azteca. Additionally, the new crowdfunding platform Tec SDF, S.A.P.I. de C.V., received authorization as a Collective Financing Institution (IFC), bringing the total to 78 entities authorized under this framework.

Billetera digital de Grupo Elektra recibe autorización bajo la Ley Fintech  (eleconomista.com.mx)

Other news

El Economista, 04/03/2024, Sebastián Estrada: Mastercard busca solucionar problemas de innovación para adquirentes

 

LatAm FinTech News

Nubank News: Wise JV, Colombia obtains US$150M, Mobile Phone Brazil

Nubank Brazil announced that its premium service, Nubank Ultravioleta, has partnered with Wise Platform to allow users to instantly convert Brazilian Real into dollars and euros via the Nubank app. Nubank states that its Wise-powered service could offer up to 9% savings on international transfers compared to traditional credit cards due to exclusive conversion rates.

Nubank Brazil is also planning to launch its own mobile phone operator in Brazil. The decision aligns with Nubank’s mission to offer innovative and accessible services to its customers, potentially disrupting the telecommunications market in Brazil.

Nubank Colombia has secured a $150 million credit from the U.S. International Development Financial Corporation to bolster access to credit and digital banking in the country. The funding aims to support Nubank’s mission of democratizing financial services by providing accessible credit options and enhancing digital banking capabilities in Colombia.

FinTech Futures, 04/09/2024, Tyler Pathe: Nubank partners Wise Platform to power new Global Account offering

Latam FinTech Hub, 04/08/2024, José Caparroso: Nubank Colombia obtiene US$150M para contribuir al aumento del acceso al crédito y a la banca digital en el país

Latam FinTech Hub, 04/12/2024, Staff: Nubank will launch its own mobile phone operator in Brazil

Other news 

Contxto, 04/09/2024, Staff: PayRetailers obtains payment institution license from Brazil’s Central Bank

Latam FinTech Hub, 04/11/2024, Staff: FinTech Brasil Cash recibe autorización del Banco Central para convertirse en institución de pagos en Brasil

FinTech Futures, 04/09/2024, Cameron Emanuel-Burns: HSBC to sell Argentinian banking arm to Grupo Financiero Galicia for $550m

 

Global FinTech News 

ECB launches central bank money trials for wholesale transactions

The European Central Bank (ECB) is considering the settlement of wholesale transactions using central bank money. This move represents a potential shift in how large financial transactions are settled, aiming to enhance efficiency and security within the financial system. The ECB’s exploration of this concept indicates a growing interest in leveraging central bank digital currencies for wholesale transactions, which could have significant implications for the future of financial markets in Europe.
FinTech Futures, 04/09/2024, Cameron Emanuel-Burns: ECB launches central bank money trials for wholesale transactions

Other news

FinTech Futures, 04/11/2024, Tyler Pathe: Linqto to go public via $700m SPAC merger with BCSA

Empower Signs Definitive Agreement to Acquire Petal, and Completes Acquisition of Cashalo, to Accelerate Access to Fair Credit for Underserved Consumers (prnewswire.com)

Worldline Global | A new payment services brand for merchants in France: Crédit Agricole and Worldline unveil CAWL