Miranda’s Weekly Mex FinTech Monitor

Mexico FinTech News

Mercado Pago to apply for a banking license in Mexico in the coming months

Marking another nail in the coffin of the Ley FinTech, Mercado Pago revealed its intention to commence the process of acquiring a banking license in the country within the upcoming months, underscoring Mercado Pago’s commitment to deepening its presence in the Mexican financial market and expanding its range of services to better serve its customers. By pursuing a banking license, Mercado Pago aims to enhance its capabilities, offer a broader array of financial products, and further solidify its position as a key player in the Mexican FinTech and banking landscape. This is bad news for GBM which relied on Mercado Pago for most of its (low value-added) customers. The pressure is now on remaining large IFPEs such as OXXO (Spin) and Walmart (Cashi); should they remain IFPEs and potentially be left behind, or also seek to become banks?

El Economista, 05/22/2024, Sebastian Estrada: Ley FinTech se quedó pequeña para Mercado Pago

Latam FinTech Hub, 05/21/2024, Staff: FinTech Mercado Pago anunció que iniciará el proceso para obtener una licencia bancaria en México en los próximos meses


FinTech Mejor CDT to expand to Mexico and Brazil

FinTech Mejor CDT is preparing for its upcoming expansion into Mexico and Brazil. Mejor CDT is a Colombian fintech company focused on helping users find the most profitable certificate of deposit (CDT) options. Founded during the pandemic in 2020 by Carlos Correa, a former operations director at Uber in Colombia, Mejor CDT offers a platform that allows users to compare interest rates from various banks and invest in the best options available. The service is free for users, with the company earning revenue from banks that pay to be listed on the platform. The platform has grown significantly, now boasting over 150,000 users. With spreads on CDs very wide in Mexico (15% to 3% or so), the product promises to bring much needed transparency to the market.Latam FinTech Hub, 05/20/2024, Staff: FinTech Luable-Mejor CDT anuncia que está próxima a llegar a México y Brasil

Other news

Contxto, 05/22/2024, Staff: Prometeo plans expansion to Mexico, US, and Brazil in 2024


LatAm FinTech News

Brazil’s Agibank closes a US$8bn funding deal

Brazil’s payroll and credit FInTech Agibank has announced a strategic partnership with a global bank, securing up to R$ 40 billion in funding to support its growth through the issuance of various securities until 2030. Following impressive first-quarter results with a ROE above 42%, this partnership will provide Agibank with medium and long-term funding sources to support the expansion of its credit portfolio. CEO Glauber Corrêa highlighted the benefits of the deal in diversifying funding sources and enhancing the bank’s ability to offer innovative and high-quality financial services.

Brazil’s BNPL player Pagaleve raises R$250mn in credit backing

Pagaleve, a Brazilian fintech specializing in installment payments (BNPL) via PIX, has raised R$ 250 million through a Credit Rights Investment Fund (FIDC) led by Credix Finance. The funding aims to boost the company’s growth and expand its PIX installment services, including the launch of receivables anticipation for partner retailers.

Argentine unicorn Vercel secures $250M Series E

Vercel, an Argentine tech company that focuses on enhancing the front-end development experience for web applications, has raised $250 million in its Series E funding round, marking its entry into the unicorn club.

Latam List, 05/22/2024, Helen Villena: Argentine unicorn Vercel secures $250M Series E

Other news

Latam FinTech Hub, 05/23/2024, Staff: FinTech Evertec adquiere de Zunify, la red de pagos con código QR más grande de Costa Rica

Latam FinTech Hub, 05/23/2024, Staff: FinTech PayRetailers adquiere la empresa de pagos Transfeera en un movimiento estratégico para expandir su negocio en Brasil


Global FinTech News

Visa seeks to “revolutionize the card” with array of new product launches

Visa plans to introduce new offerings such as digital-first cards, personalized rewards, and enhanced security features. These initiatives aim to enhance the user experience, increase engagement, and address evolving consumer needs in the digital age.

FinTech Futures, 05/20/2024, Tyler Pathe: Visa seeks to “revolutionise the card” with array of new product launches

Other news

FinTech Futures, 05/23/2024, Tyler Pathe: Payments FinTech Vitesse raises $93m Series C funding to fuel US expansion efforts

FinTech Futures, 05/23/2024, Tyler Pathe: CFPB says BNPL firms must comply with credit card consumer protection rules for billing disputes and refunds

MR22/1.9 Market review of card scheme and processing fees interim review (psr.org.uk)

Revolut Plans US$500m Employee Share Sale Coordinated by Morgan Stanley | FinTech Magazine

Lightspeed Announces Partnership With Uber Direct and Uber Eats Marketplace – Lightspeed (lightspeedhq.com)

Capital One and Walmart Announce End of Consumer Card Partnership Agreement (prnewswire.com)