MVO BLOG
REPORT
The open banking movement started in Europe and the United Kingdom but then spread around different parts of the world through regulation changes, technological shifts, new business models, and emerging consumer trends.
The unprecedented technological changes that are happening in LATAM are pushing regulators to move faster: digitalization is spreading across all sectors of the economy, infrastructure providers are building new common rails to enable the safe access and interpretation of data, and fintech services are gaining adoption.
👉 Download the full Belvo report “The State Of Open Banking in Latin America” here.
👀 NEWS HIGHLIGHT
Pix, rolled out by the Banco Central do Brasil in Nov. 2020, was built for efficiency and financial inclusion.
It now has 107.5 million registered accounts, more than half of the country's population. One year after implementation, more than half a trillion Brazilian reais were transacted through the low-cost payments system last month.
According to central bank data, Pix payments volume is already equivalent to 80% of debit and credit card transactions.
Pix continues adding new features, making older payment forms obsolete. Traditional banks may be losing revenue as a result, but the system has replaced cash, bringing more people into the digital realm.
👉 Read the fullSP Global article here.
😎 SPONSORED CONTENT
PayRetailers is your payment processor in Latin America. With PayRetailers grow your business in emerging markets, through a network of local payment methods that allow you to accept payments, send payouts and settle funds, regardless of the country you operate in.
💡INSIGHTS
You can now think of Mercado Libre as a Fintech business and a pioneer in the field. Its top product nowadays is MercadoPago.
The service started as a solution for the largely unbanked population of Argentina (and Latin America) to pay for things on MercadoLibre's marketplace.
🎤 PODCAST
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NOW, ON TO THE SUMMARY OF LAST WEEK'S NEWS
☕️ REGIONAL HIGHLIGHTS
⭐️The mayor of Rio de Janeiro said Thursday he plans to allocate 1% of Brazil's second-most populous city's treasury reserves to cryptocurrencies. Link here.
⭐️Itaú Unibanco will purchase Ideal in two stages, acquiring 50.1% of the share capital initially before making the second acquisition of shares worth R$651 million (US$117 million) and taking control of the company. Link here.
⭐️ Ebanx, a Latin American payments fintech company, announced the expansion of its presence and portfolio in Mexico with the launch of solutions focused on Mexican e-merchants. Link here.
⭐️ Latin American Crypto Exchange Bitso to sponsor São Paulo Football Club and becomes an official sponsor of Mexico’s national soccer team. The three-year partnership with São Paulo FC will enable fans to purchase tickets and merchandise with cryptocurrencies. Link here.
BRAZIL
Brazil’s 2TM Group, the owner of MercadoBitcoin.com, Latin America’s largest crypto exchange, announces the acquisition of a controlling stake in CriptoLoja, the first licensed Lisbon-based crypto exchange operating since July.
In June 2021, CriptoLoja received Portugal’s first official licence as a “virtual asset service provider” from Banco de Portugal, the nation’s central bank, which still needs to approve this acquisition.
👉 Read the full Finextra article here.
CHILE
Open Banking Exchange (OBE) announced the launch of Open Banking Exchange Chile.
Following the successful launch of OBE into Colombia, Mexico, the Philippines, Southeast Asia and Ukraine in 2021, OBE is expanding its Latam operations into Chile. Key stakeholders of the open finance movement will come together at a Summit on 20 January 2022 to introduce the OBE programme.
👉 Read the full Finextra article here.
MEXICO
Mexican revenue-based investment startup Fairplay secured $35 million in Series A funding to invest in the online marketing campaigns of direct-to-consumer e-commerce brands and marketplace sellers in Latin America.
The investment round consists of $15 million in equity, co-led by Dila Capital and Kayak Ventures, participation from Speedinvest and Elevar Equity, and $20 million in debt led by Architect Capital.
Existing investors in the round also included QED Investors, Nazca, and several individual investors, including Kavak CEO Carlos García, Jüsto CEO Ricardo Weder, and ZeBrands CEO Carlos Salinas. In total, the company has raised $40 million.
👉 Read the full Techcrunch article written by Christine Hall here.
MOVERS & SHAKERS
Paysend, the card-to-card pioneer and international payments platform, announced the appointment of Jairo Riveros, as managing director of the United States and Latin America, effective 01 January, 2022.
Paysend has had an active presence in the United States since September 2020 and helps American residents securely send funds to over 100 countries in close to real-time - without visiting a physical bank location.
👉 Read the full Finextra article here.
If you are a fintech startup and have over 100 questions send me an email, maybe I can answer a few.