Save $200 When You Register for FinovateSpring By This Friday!

Venue Demo

This Friday is the final day of Very Early-Bird ticket sales for FinovateSpring 2017. To take advantage of these early discounts and save $200 off the regular price, be sure to register before the end of the week.

Our spring conference returns to San Jose on April 26 & 27 for two days of live fintech demonstrations and high-caliber networking. The show will take place at the San Jose Convention Center. Find out more about the venue and local hotels on the event’s website.

Based on the early ticket sales we’ve seen and the impressive applications we’ve received from companies eager to present, this show promises to be one you won’t want to miss (stay tuned in the coming weeks for the presenter announcement!). If you’d like a refresher of what you can expect to see on stage, check out last year’s demo videos in our video archives.

And remember, tickets are fully refundable through March 3, so there’s no risk in securing these savings and your spot today. We hope to see you in Silicon Valley this April!


FinovateSpring 2017 is sponsored by: FT Partners, Leverage PR and more to be announced.

FinovateSpring 2017 is partners with: Aite Group, BankersHub, Banking Technology, Celent, FemTech Global, Financial IT, Fintech Finance, Mapa Research, Mercator Advisory Group, Ovum, Paybefore, The Paypers, SME Finance Forum, and Western Independent Bankers.

Fintech Favorites

Featured

  • U.K.-based challenger bank Atom opens to the public. The bank’s iPhone and iPad app is built on the Unity gaming platform and is the only way to access the mobile-only bank. Atom has a customer service team equipped with AI and machine learning, and has bolstered its security using voice and face biometric login. Atom Bank is the first of a handful of U.K. challenger banks set to launch this year, including Mondo, Starling Bank, and Tandem. Atom is headquartered in Durham and is already valued at almost $190 million. Check out Business Insider’s coverage.

Deals

  • Akamai (FEU 15) acquires Soha Systems, which offers secure access as a service for enterprises. This matches well with Akamai’s aim to offer cloud-based services to enterprises, and places it in a good position for a potential acquisition. See our coverage.
  • Jack Henry & Associates (FF 15) collaborates with Visa (FDSV 14) to accelerate P2P payments to debit cards. This may help banks compete with other services that have sped up settlement times, such as Zelle (formerly clearXchange) and Venmo (FS 13). See the press release.

Milestones

  • IBM (FF 16) announced a $200 million investment for a new global headquarters for its Watson IoT business. The headquarters will be located in Munich and is one of IBM’s largest-ever investments in Europe. This move is part of a $3 billion initiative to bring Watson’s computing expertise into the world of IoT. See IBM at FinDEVr Silicon Valley, 18/19 Oct 2016. See VentureBeat’s coverage here.
  • Banking Technology reported that Misys (FEU 15) is preparing to issue an IPO in Nov 2016 with a $6.9 billion float. Advisory firm Moelis will be overseeing the move. Misys was delisted from the London Stock Exchange in 2012 when it merged with Turaz. Misys CEO Nadeem Sayed says going public is a “logical step in our evolution.” See Banking Technology’s coverage.
  • Aire (FEU 15) raised $2 million. Along with the funding announcement, the alternative credit-scoring platform announced it is now authorized and regulated by the Financial Conduct Authority (FCA), the U.K.’s financial regulator. This places it on a more level playing field to compete with the big three credit bureaus. See our coverage.

Tech

  • Thomson Reuters (FF 12) unveils blockchain-dev platform, BlockOne ID. Built for Ethereum, BlockOne ID is an experimental framework in which app owners can manage access to their blockchain contracts in a controlled environment. See Banking Tech’s coverage.

I’ve Got 99 Fintech Problems and a List Ain’t One

With apologies to Jay-Z (and a hat tip to The Middle Ground which, unbeknownst to me, came up with a better twist on his lyrics), we point you to the latest reference for those looking to solve real financial services problems.

The fintech wizards at Singapore’s MAS recently published a list of 100 problems in financial services. The problem 100 fintech problems tocstatements, and suggested enabling technologies, were crowdsourced from around the world. The list is as an aid for participants in its 2016 hackcelerator (which has a 31 July deadline for submissions for the S$20,000 prize), but it’s also a good reference for anyone in the fintech startup space.

While I’ve seen bigger lists (in 2014, we published a report with more than 1,000), the MAS version covers more diverse topics than most, addressing regulatory bottlenecks, trade finance opportunities, financial inclusion, along with the usual payments and consumer banking issues. Check out the table of contents (inset) and the full PDF here.

Fintech Fundings: 113 Companies Raised $1.7 Billion in May

money_pig_sunglassesTotal fundings worldwide in May were $1.7 billion across 112 deals and 1 IPO. The weekly details can be found through the following links:

The final week of the month saw 29 companies raise $592 million, including $238 in Cotiviti’s IPO. Venture funding was $354 million, of which just $100,000 was debt.

Two Finovate alums raised substantial rounds:

  • TransferWise raised $26 million, at a $1.1 billion valuation, for its international funds-transfer service
  • DashLane raised $22.5 million to fund growth of its digital password-management system

The total number of deals YTD stands at 551, 80% more than last year’s 306. Total dollars raised YTD is now $15.7 billion, more than twice the $7.2 billion raised during the same period a year ago.

——-

Fintech deals by size from 21 May to 27 May 2016:

Cotiviti
Healthcare payments analytics
Latest round: $238 million IPO
Total raised: Unknown
HQ: Atlanta, Gerogia
Tags: SMB, enterprise, healthcare, payment, insurance, bookkeeping, analytics, cost savings
Source: FT Partners

Weidal
P2P lending platform
Latest round: $153 million Series C
Total raised: $177 million
HQ: Hangzhou, China
Tags: Consumer, lending, peer-to-peer, credit, underwriting, investing
Source: Crunchbase

Nvest
Crowdsourced investment information
Latest round: $30 million Series D
Total raised: $57.2 million
HQ: Toronto, Ontario, Canada
Tags: Consumer, investors, advisers, investing, trading, wealth management
Source: Crunchbase

TransferWise
International funds transfer network
Latest round: $26 million Series D
Total raised: $116.4 million
HQ: London, England, United Kingdom
Tags: Consumer, SMB, payments, remittances, foreign exchange, fx, Finovate alum
Source: Finovate

Carson Group
Wealth management platform
Latest round: $35 million
Total raised: $35 million
HQ: Omaha, Nebraska
Tags: Advisers, investing, wealth management, trading
Source: Crunchbase

Dashlane
Password management and secure digital wallet
Latest round: $22.5 million Series C
Total raised: $52.5 million
HQ: California
Tags: Consumer, B2B2C, password management, security, Finovate alum
Source: Finovate

Invest.com
Online alternative investments
Latest round: $20 million
Total raised: $20 million
HQ: Limassol, Cyprus
Tags: Consumer, investing, alt-investments, trading, wealth management, advisers
Source: Crunchbase

AutoFi
Point-of-sale system for vehicles
Latest round: $17 million
Total raised: $19.5 million
HQ: San Francisco, California
Tags: Consumer, B2B2C, credit, lending, auto lending, indirect loans, underwriting
Source: Crunchbase

NetWealth
Wealth management platform
Latest round: $9.6 million Angel
Total raised: $9.6 million
HQ: London, England, United Kingdom
Tags: Consumer, advisers, investing, trading, asset management
Source: FT Partners

TrueEX
Electronic execution platforms for interest rate swaps
Latest round: $9.2 million Series A
Total raised: $33.7 million
HQ: New York City
Tags: Enterprise, investing, trading
Source: Crunchbase

Konfio
Alt-lender to small businesses
Latest round: $8 million Series A
Total raised: $8 million
HQ: Mexico City
Tags: SMB, credit, commercial loans, lending, underwriting
Source: Crunchbase

zlien
Lien rights platform
Latest round: $5.0 million Series A
Total raised: $6.77 million
HQ: New Orleans, Louisiana
Tags: SMB, commercial lending, construction loans, security, underwriting
Source: Crunchbase

Syndicate Room
Equity crowdfunding platform
Latest round: $4.6 million Series A
Total raised: $8 million
HQ: Cambridge, England, United Kingdom
Tags: Consumer, SMB, investing, equity, P2P, peer-to-peer
Source: Crunchbase

Jirnexu
Mobile sales and fulfillment for financial institutions
Latest round: $3 million
Total raised: $3 million
HQ: Kuala Lumpur, Malaysia
Tags: Enterprise, online marketing, account opening, marketing, lead gen
Source: FT Partners

Clarity Money
Personal finance management app
Latest round: $2.5 million
Total raised: $2.5 million
HQ: New York City, New York
Tags: Consumer, personal finance, PFM, mobile
Source: Crunchbase

United Mobile Technology
Mobile payments platform, iPAYst
Latest round: $2.2 million Series A
Total raised: $2.2 million
HQ: Munich, Germany
Tags: Consumer, B2B2C, payments, analytics, big data
Source: FT Partners

ClearTax
Online tax preparation
Latest round: $2 million Seed
Total raised: $15.4 million
HQ: New Delhi, India
Tags: Consumer, taxes, personal finance, tax prep
Source: Crunchbase

Penny
Personal finance coach
Latest round: $1.2 million Seed
Total raised: $1.2 million
HQ: San Francisco, California
Tags: Consumer, personal finance, PFM, service, sales, chatbot
Source: Crunchbase

GoalWise
Online investment manager
Latest round: $1 million Seed
Total raised: $1 million
HQ: Bangalore, India
Tags: Consumer, investing, trading, advisers, wealth management
Source: Crunchbase

WiseAlpha
Online investment platform for secured loans
Latest round: $870,000 Equity Crowdfunding
Total raised: $1.28 million
HQ: London, England, UK
Tags: Consumer, advisers, investing, commercial loans
Source: Crunchbase

LeaseOnline
Online automobile leasing service
Latest round: $725,000
Total raised: $725,000
HQ: Sweden
Tags: Consumer, credit, auto loans, lending, underwriting
Source: Crunchbase

Pleo
Company credit cards
Latest round: $560,000 Seed
Total raised: $560,000
HQ: London, England, United Kingdom
Tags: SMB, credit cards, expense management, bookkeeping, controls, security
Source: Crunchbase

Flattr
Micropayments
Latest round: $335,000 Seed
Total raised: $2.43 million
HQ: Malmo, Sweden
Tags: SMB, B2B2C, payments
Source: Crunchbase

Accredify
Retail investor services platform
Latest round: $100,000 Debt
Total raised: $100,000
HQ: Miami, Florida
Tags: Consumer, advisers, investing, trading, deal management
Source: Crunchbase

WealthyLife
Financial literacy app
Latest round: $10,000 Grant (from JP Morgan)
Total raised: $85,000
HQ: California
Tags: Consumer, personal finance information, gamification, underbanked, mobile
Source: Crunchbase

BitOasis
Bitcoin exchange
Latest round: Not disclosed
Total raised: Unknown
HQ: Dubai, UAE
Tags: Consumer, crypto-currency, bitcoin, blockchain
Source: Crunchbase

Chainlab
Blockchain-based smart contracts (aka Wings)
Latest round: Undisclosed Seed
Total raised: Unknown
HQ: Tel Aviv, Israel
Tags: SMB, blockchain, bitcoin
Source: Crunchbase

Expensya
Expense reporting
Latest round: Unknown
Total raised: Unknown
HQ: Paris, France
Tags: SMB, bookkeeping, accounting, employee management
Source: Crunchbase

Pepins
Equity crowdfunding platform
Latest round: Undisclosed
Total raised: Unkown
HQ: Nacka, Sweden
Tags: Consumer, SMB, equity investing, investors
Source: Crunchbase

Fintech Fundings: 28 Companies Raise $400 Million Week Ending May 20

Money_clickTotal fundings in second quarter hit $8.4 billion as 28 companies raised $401 million the third week of May. Eight deals passed the $10-million mark, with one more at $9 million.

Along with the usual payment and lending startups, two insur-tech companies raised substantial rounds: Embroker ($12.2 million) and Jetty ($4 million).

Finovate alums accounted for 40% of the week’s dollar volume including:

The total number of deals YTD stands at 522, 80% more than last year’s 290. Total dollars raised YTD is now $15.1 billion, more than twice the $7.1 billion raised during the same period a year ago.

——-

Fintech deals by size from 14 May to 20 May 2016:

Clover Health
Health insurance provider
Latest round: $160 million Series C
Total raised: $295 million
HQ: San Francisco, California
Tags: Consumer, insurance, healthcare, human resources, benefits, employees
Source: Crunchbase

Personal Capital
Digital wealth manager
Latest round: $75 million Series E ($500 million valuation)
Total raised: $175.3 million
HQ: Redwood City, California
Tags: Consumer, investing, wealth management, robo-adviser, trading, asset management, trading, Finvoate alum
Source: Finovate

SigFig
Digital investment adviser
Latest round: $40 million
Total raised: $56 million
HQ: San Francisco, California
Tags: Consumer, investing, trading, portfolio management, wealth management, Comerica Bank (investor), Santander (investor), New York Life (investor), Finovate alum
Source: Finovate

EZBob
Small business alt-lender
Latest round: $35.5 million Debt
Total raised: $130.8 million ($83.1 million Equity, $47.7 million Debt)
HQ: London, England, United Kingdom
Tags: SMB, credit, loans, underwriting, lending
Source: Crunchbase

Tally Technologies
Consumer credit-card management
Latest round: $15 million Series A
Total raised: $15 million
HQ: San Francisco, California
Tags: Consumer, credit cards, personal finance, PFM, debt management, lead gen
Source: Crunchbase

Embroker
Business insurance
Latest round: $12.2 million Series A
Total raised: $14.4 million
HQ: San Francisco, California
Tags: SMB, insurance, claims management, broker, lead gen, price comparison
Source: Crunchbase

Tink
Personal finance app
Latest round: $10.2 million Series B
Total raised: $14.2 million
HQ: Stockholm, Sweden
Tags: Consumer, personal financial management, PFM, spending, budgeting, mobile, Finovate alum
Source: Finovate

Shift Technology
Fraud detection for ecommerece and financial services
Latest round: $10 million Series A
Total raised: $11.8 million
HQ: Paris, France
Tags: Enterprise, security, insurance, ecommerce, fraud protection
Source: Crunchbase

Chime
Neo bank
Latest round: $9 million
Total raised: $20.75 million
HQ: San Francisco, California
Tags: Consumer, prepaid/debit card, savings account, deposits, payments, billpay
Source: Crunchbase

efileCabinet
Document management for accounting and financial firms
Latest round: $5 million
Total raised: $31.05 million
HQ: Lehi, Utah
Tags: Enterprise, SMB, , credit, loans, underwriting, lending
Source: Crunchbase

Ceterus
Accounting services for small businesses 
Latest round: $4.2 million
Total raised: $4.2 million
HQ: Charlston, South Carolina
Tags: SMB, accoounting, bookkeeping, receivables/payables, financial reporting
Source: Crunchbase

Jetty
Digital property and casualty (P&C) insurance
Latest round: $4 million Seed
Total raised: $4 million Seed
HQ: New York City
Tags: Consumer, insurance, P&C, millennials
Source: Crunchbase

Tandem
Full-service digital bank
Latest round: $3.05 million Equity Crowdfunding
Total raised: $34.8 million
HQ: London, England, United Kingdom
Tags: Consumer, credit, deposits, banking, payments, credit/debit cards
Source: Crunchbase

Goodlord
Mobile rent payments
Latest round: $2.9 million
Total raised: $2.9 million
HQ: London, England, United Kingdom
Tags: SMB, payments, property management, rentals
Source: Crunchbase

Mesitis
Data aggregation and visualization for wealth management
Latest round: $2.35 million
Total raised: $6.13 million
HQ: Singapore
Tags: Advisers, SMB, investing, wealth management, investing tools, investors
Source: Crunchbase

Fund That Flip
Real estate marketplace lending
Latest round: $2 million
Total raised: $2.04 million
HQ: New York City
Tags: Consumer, SMB, credit, loans, underwriting, investing, P2P, peer to peer, crowdfunding
Source: Crunchbase

Hey You
Mobile ordering and payment app
Latest round: $2 million Series B
Total raised: $7 million
HQ: Surry Hills, Australia
Tags: SMB, merchants, acquiring, credit/debt card processing, restaurants, payments
Source: Crunchbase

Properati
Latin America real estate portal
Latest round: $2 million
Total raised: $4.23 million
HQ: Buenos Aires, Argentina
Tags: Consumer, home buying, mortgage, lead gen
Source: Crunchbase

Capshare
Online cap-table management
Latest round: $1.99 million
Total raised: $2.99 million
HQ: Sandy, Utah
Tags: SMB, financial management, investors, investing, valuations
Source: Crunchbase

ET Index
Investor tools to evaluate carbon risk
Latest round: $1.6 million Equity Crowdfunding
Total raised: $1.6 million
HQ: London, England, United Kingdom
Tags: Investors, trading, valuations, analytics, eco, investing tools
Source: Crunchbase

Propellr
Alt-investments
Latest round: $1.6 million Convertible Note
Total raised: $1.6 million
HQ: New York City
Tags: Advisers, investors, wealth management, investing
Source: Crunchbase

Monetise
Consumer alt-lender
Latest round: $600,000 Seed
Total raised: $600,000
HQ: Stockholm, Sweden
Tags: Consumer, credit, loans, underwriting, lending
Source: Crunchbase

TableSafe
Mobile point-of-sale solution
Latest round: $513,000 Debt
Total raised: $18.96 million
HQ: Kirkland, Washington
Tags: SMB, merchants, acquiring, credit/debit card processing, hospitality, restaurants, underwriting, POS
Source: Crunchbase

Dvdendo
Automated financial advice
Latest round: $385,000 Seed
Total raised: $385,000
HQ: Miami, Florida
Tags: Consumer, investing, portfolio management, trading
Source: Crunchbase

i2iFunding
Consumer marketplace lender
Latest round: $300,000 Angel
Total raised: $300,000
HQ: Noida, India
Tags: Consumer, credit, loans, underwriting, lending, P2P, peer to peer, investing
Source: Crunchbase

Monotto
Funds-transfer service
Latest round: $50,000 Seed
Total raised: $60,000
Acclerator: VC Fintech
HQ: Charlston, South Carolina
Tags: Consumer, savings account, investing, ACH
Source: Crunchbase

Renew Financial
Renewable energy financing
Latest round: Undisclosed
Total raised: $102.2 million
HQ: Oakland, California
Tags: Consumer, SMB, loans, credit, lending, underwriting, personal finance management, energy consumption management
Source: FT Partners

TwoWayPay
Peer-to-peer payments
Latest round: Undisclosed Angel
Total raised: Unknown
HQ: London, England, United Kingdom
Tags: Consumer, P2P payments, remittances, funds transfers
Source: Crunchbase

 

Lending Club’s Stock Price is Not a Leading Indicator for Fintech

Lending-Club-NYSE

Lending Club (LC) will always have a fond place in my heart. Renaud Laplanche’s small team presented at our very first Finovate in 2007. And until a few months ago, they were our most successful startup alum, at least measured by company valuation (Credit Karma gets the nod for now). While LendingClub is still a unicorn (market cap = $1.5 billion today), the loss of 7 or 8 unicorns’ worth of market cap in the past 12 months is unsettling.

I have had little interaction with the company in the past few years as it moved from demoing tech at Finovate to keynoting alt-lending events. But I’ve always been a fan, both of the business model, and also of Laplanche and the company as a whole. I will say this, though, they were one of our more intense alums. But that’s not necessarily a negative. That’s often what it takes to scale in the difficult world of consumer credit where one misstep can sink you (RIP Nextcard).

But they’ve also been willing to give back. Laplanche personally introduced us to a potential strategic partner several years ago. He did it purely as a friendly favor. It was long past the point where he had anything to gain from that introduction.

So, yeah, it’s been hard to watch the s***storm of the past 10 days. I was preoccupied with FinovateSpring during the worst of it last week, but I’ve been soaking up the various articles the past few days. I agree with Peter Renton’s post today: Lending Club must overcome some serious challenges in the short-term. But to say that the marketplace lending model is broken (paywall warning), or to jump to the conclusion of a fundamental flaw in the entire fintech industry is just so much hyperbole.

lc ytd stockFrom what I can discern, Lending Club had a relatively minor disclosure issue. And while LC lost major trust-points (albeit a HUGE issue), it’s important to note there were ZERO financial losses for anyone involved other than shareholders (see inset) and fired LC execs. A single bad consumer loan would produce more financial damage to LC lenders than this whole sordid situation.

What does this mean for the future of P2P lending? Well, it’s bad for LC short-term. But for other players, the situation is mixed. Less volume going through the LC platform means more loan demand for other players. But it’s a two-sided market, and clearly some institutional money is pulling back, so it may be harder to fund loans. That means rates go up, which will spike lender returns, bringing more capital back into the system. Money always flows to the best risk-adjusted return. So marketplace lending survives.

And what does all this mean to the other fintech players? We had 72 demos at FinovateSpring last week. Exactly zero of them are impacted negatively by the LC situation. The primary P2P loan-play, Best of Show winner Lending Robot, is probably helped by volatility. As the “Mint for individual P2P lenders,” that YC alum acts as a front-end to multiple loan platforms (see their demo here).

You could argue that the stock-price decline of Lending Club puts a damper on future fintech IPOs. That is probably true for U.S. consumer lending marketplaces like Prosper (which recently laid off 28% of its workforce, which, remember, had doubled in 2015). But serious investors don’t view fintech as one homogeneous field. Returns from angel investing in Hip Pocket or UBS’s recent investment in SigFig, have no correlation with the stock market return of a single public marketplace lender.

So yes, one high-flyer falls back to earth, but that’s not an indictment of an entire, highly diversified industry.

Fintech Fundings: 39 Companies Raised $930 Million Week Ending April 15

money_keyFor the third time this year, we broke the single-week record of number of deals. This week we hit 39, three more than the previous high of 36 (the week ending Mar 17). This week the total capital raised was a whopping $932 million (or $680 million not counting the $253-million Bats Global IPO). The total also included $46 million in debt.

That makes it 15 straights weeks with at least 20 deals worldwide.

The total number of deals YTD stands at 402, nearly double last year’s 204 (through April 17). Total dollars raised YTD is $8.8 billion, and is double the $4.4 billion raised during the same period a year ago.

Two Finovate alums raised fresh capital:

Here are the fintech deals by size from 9 April to 15 April 2016:

Bats Global
Equities markets operator
Latest round: $252.7 million IPO
Total raised: Unknown
HQ: Lenexa, Kansas
Tags: Enterprise, trading, stocks, assets, exchanges
Source: FT Partners

XP Investimentos
P2P lending platform
Latest round: $130 million
Total raised: $229 million
HQ: Rio De Janeiro, Brazil
Tags: Consumer, investing, trading, stocks, advisors
Source: Crunchbase, FT Partners

Net1 UEPS Technologies
Alt-payment system provider
Latest round: $107.7 million
Total raised: Unknown
HQ: Johannesburg, South Africa
Tags: Enterprise, SMB, consumer, payments, mobile
Source: FT Partners

Affirm
Alt-lender at the point-of-sale
Latest round: $100 million
Total raised: $420 million
HQ: San Francisco, California
Tags: Consumer, lending, credit, underwriting, merchants, acquiring, purchase finance
Source: Crunchbase

Licaifan
P2P lending platform
Latest round: $51 million Series C
Total raised: Unknown
HQ: Bejing, China
Tags: Consumer, P2P lending, peer-to-peer, credit, underwriting, investing
Source: Crunchbase

Omni Prime
Mobile alt-lender
Latest round: $46 million Series C
Total raised: $87 million
HQ: Shanghai, China
Tags: Consumer, credit, underwriting, mobile
Source: Crunchbase

Chedai.com
Automotive lending platform
Latest round: $34 million Series A
Total raised: $34 million
HQ: Shanghai, China
Tags: Consumer, credit, underwriting, vehicle loans, auto lending
Source: Crunchbase

Vestmark (Wilmark Associates)
Wealth managment platform
Latest round: $30 million Private Equity
Total raised: $31.7 million
HQ: Wakefield, Massechuessets
Tags: Advisers, wealth management, retirement planning, trading, stocks
Source: Crunchbase

Lend Street Financial
P2P lending platform
Latest round: $28 million Debt
Total raised: $31.2 million (includes $28 million Debt)
HQ: Oakland, California
Tags: Consumer, lending, debt restructuring, credit, underwriting
Source: Crunchbase

Eligible
Payment infrastructure for healthcare
Latest round: $25.2 million Angel
Total raised: $25.2 million
HQ: Brooklyn, New York
Tags: SMB, insurance, enterprise, payments, health care, benefits, developers, APIs
Source: Crunchbase

Viva Republica 
P2P money transfers
Latest round: $23 million Series A
Total raised: $24 million
HQ: Seoul, South Korea
Tags: Consumer, peer-to-peer, payments, money transfer, remittances
Source: Crunchbase

Varthana
Student lending
Latest round: $14 million Series B
Total raised: $18.43 million
HQ: Bangalore, India
Tags: Consumer, credit, underwriting, student loans
Source: Crunchbase

Wolt
Mobile payments for restuarants
Latest round: $12.4 million Series B
Total raised: $26.05 million
HQ: Helsinki, Finland
Tags: SMB, payments, merchants, mobile, acquiring, debit/credit cards, B2B2C
Source: Crunchbase

Nauto
Automobile collision recording for insurance claims
Latest round: $12 million Series A
Total raised: $14.85 million
HQ: Palo Alto, California
Tags: Enterprise, SMB, insurance, automobiles, fraud
Source: Crunchbase

ThinCats Australia
Small business marketplace lender
Latest round: $10 million Debt
Total raised: $10 million Debt
HQ: Sydney, Australia
Tags: SMB, P2P lending, peer-to-peer, credit, underwriting, investing
Source: Crunchbase

Even
Alt-lender
Latest round: $9 million
Total raised: $12 million
HQ: Oakland, California
Tags: Consumer, lending, credit, underwriting
Source: Crunchbase

Pave
Alt-lender
Latest round: $8 million Series A
Total raised: $308 million
HQ: New York City
Tags: Consumer, millendials, lending, credit, underwriting
Source: Crunchbase

Borro
Alt-lender using high-end luxery items for security
Latest round: $5.9 million
Total raised: $177.5 million
HQ: London, England, U.K.
Tags: Consumer, credit, pawn, underwriting
Source: Crunchbase

Emailage
Fraud protection for financial institutions
Latest round: $5.67 million
Total raised: $5.67 million
HQ: Chandler, Arizona
Tags: Enterprise, security, fraud protection, email, Finovate alum
Source: Crunchbase, Finovate

Viewpost
Online invoicing and payments platform
Latest round: $5.13 million Debt
Total raised: $54.47 million
HQ: Orlando, Florida
Tags: SMB, payments, billing, invoicing, accounts payable, accounting, bookkeeping
Source: Crunchbase

Sardex.net
Connected commerce platform
Latest round: $3.42 million
Total raised: $3.42 million
HQ: Campiano, Italy
Tags: SMB, credit, commerical lending, commerce
Source: Crunchbase

Squirrel
Alt-lender
Latest round: $3 million
Total raised: $3 million
HQ: New Zealand
Tags: Consumer, lending, credit, underwriting, mortgage
Source: FT Partners

Total Expert
Marketing platform for mortgage and real estate brokers
Latest round: $3 million Series A
Total raised: $3 million
HQ: Eden Prairie, Minnesota
Tags: SMB, brokers, mortgage, lending, marketing, real estate, home buying
Source: Crunchbase

Plastiq
Mobile bill payments
Latest round: $2.85 million
Total raised: $21.2 million
HQ: San Francisco, California
Tags: Consumer, mobile, payments, billpay
Source: Crunchbase

Sixup
Student loan marketplace
Latest round: $2.5 million Debt
Total raised: $6 million
HQ: San Francisco, California
Tags: Consumer, student loans, lending, underwriting, education finance
Source: Crunchbase

Habito
Digital mortgage broker
Latest round: $2.2 million Seed
Total raised: $2.2 million
HQ: London, England, U.K.
Tags: Consumer, lending, mortgage, home buying, credit, underwriting,
Source: Crunchbase

Waves
Blockchain platform
Latest round: $2 million Equity Crowdfunding
Total raised: $2 million
Tags: Consumer, SMB, blockchain, trading, contracts
Source: Crunchbase

BitKan
Bitcoin trading services
Latest round: $1.6 million Series A
Total raised: $1.6 million
HQ: Shenzen, China
Tags: Consumer, payments, cryptocurrency, blockchain
Source: Crunchbase

RenewBuy
Car insurance renewal service
Latest round: $1 million Angel
Total raised: $1.5 million
HQ: Gurgaon, India
Tags: Consumer, automobiles, insurance, lending, price comparison, lead gen, discovery
Source: Crunchbase

Kredx
Invoice factoring marketplace
Latest round: $750,000 Seed
Total raised: $750,000
HQ: Bangalore, India
Tags: SMB, consumer, factoring, trade finance, invoicing, investing, P2P, peer-to-peer credit
Source: Crunchbase

PesaBazaar.com
Insurance portal
Latest round: $396,000 Seed
Total raised: 421,000
HQ: Nairobi, Kenya
Tags: Consumer, insurance, price comparison, quotes, discovery, lead generation
Source: Crunchbase

Accrualify
Accounting tools to for invoicing, payments and vendor management
Latest round: Undisclosed Series A
Total raised: Unknown
HQ: San Mateo, California
Tags: SMB, accounting, billing, invoicing, accounts payables, payments
Source: Crunchbase

Aire
Alt-credit score
Latest round: Not disclosed
Total raised: Unknown
HQ: London, England, U.K.
Tags: Enterprise, consumer, lending, credit, underwriting, credit score
Source: Finovate

Cloud9 Technologies
Trader voice and messaging services
Latest round: Not disclosed
Total raised: Unknown
HQ: New York City
Tags: Enterprise, brokerages, traders, equities, stocks, investing
Source: FT Partners

Deal4Loans
Lending portal
Latest round: Undisclosed
Total raised: Unknown
HQ: Delhi, India
Tags: Consumer, lending, price comparison, discover, lead gen
Source: Crunchbase

Kickfurther
Crowdfunded inventor marketplace
Latest round: Not disclosed
Total raised: Unknown
HQ: Watchung, New York
Tags: Consumer, SMB, investing, working capital finance, trade finance, P2P, peer-to-peer
Source: FT Partners

Kraken Bitcoin Exchange
Bitcoin exchange
Latest round: Undisclosed
Total raised: $6.5 million
HQ: San Francisco, California
Tags: Consumer, cyrptocurrency, payments, blockchain
Source: Crunchbase

Lenden Club
P2P lending platform
Latest round: Undisclosed
Total raised: Unknown
HQ: Mumbai, India
Tags: Consumer, P2P lending, peer-to-peer, credit, underwriting, investing
Source: Crunchbase

Tandem
Digital bank
Latest round: Undisclosed Series B
Total raised: Unknown
HQ: London, England, U.K.
Tags: Consumer, lending, banking, deposits
Source: Crunchbase

——–
Image licensed from 123rf.com

The 85 Fintech Graduates of Y Combinator (YC): 2005 to 2016

yc sloganY Combinator (YC) continues to be the most important incubator in the general technology space with high-flying alums such as Airbnb, Dropbox and Instacart. YC is less well known, but equally successful in the fintech vertical with Stripe and Zenefits, along with two Finovate alums, ZenPayroll and Coinbase, all in the $500+ million club (based on most recent funding).

Those big wins are all the more impressive, given the smaller universe of fintech companies incubated at YC—less than 10% of its total (see table below). YC has hatched just 85 fintech companies (see list below), most in the past 30 months.

Going forward, it will be interesting to see how well the new crop of specialized fintech incubators does in attracting promising new fintech companies. Does backing from Barclays or Wells Fargo trump the halo effect of a YC investment? We’ll soon find out.

———

Table: YC Fintech Companies by Year

Class Total Companies # Fintech Companies % Fintech
2016 (1st half) 119 13 11%
2015 201 22 11%
2014 109 13 12%
2013 83 9 9%
2012 117 8 7%
2011 89 7 8%
2010 61 6 10%
2009 39 1 3%
2008 43 1 2%
2007 32 2 6%
2006 17 0 0%
2005 8 1 13%
Total 918 85 9.3%

Source: Y-Combinator (yclist.com), Finovate analysis
(see note 1 for Fintech definition)

————

List: YC fintech alums by year
________________________________

2016 (first half)

  • Bonsai: Invoicing and payments tool targted to freelancers
  • AlphaFlow: P2P real estate investment manager for individual investors
  • Cover: Insurance-on-demand using a smartphone camera
  • Emburse: Corporate prepaid cards that enforce spending rules
  • flexReceipts: Digital receipt platform
  • Landed: Crowdfunding platform for mortgage down payments
  • LendEDU: Student loan portal
  • MeterFeeder: Enables all parking meters to accept credit cards
  • PayStack: Online card processer in Nigeria
  • PocketSuite: Small businesses payment, invoicing, bookin and communication application
  • Stilt: Personal loans for international borrowers living in the United States
  • TrueBill: Subscription payment management for consumers
  • WorldCover: Crop insurance for the developing world

2015

2014

  • AbacusSay good-bye to expense reports
  • BillForwardA highly flexible and unified billing platform; built for high growth and enterprise companies
  • BitAccessThe easiest way to buy and sell bitcoin
  • BlockScoreReal-time identity verification and due diligence
  • ClearTaxThe easiest way to e-file income tax returns in India
  • Onename.ioBlockchain ID. A better identity
  • Shift PaymentsShift Payments is changing the way money changes hands
  • Sliced InvestingSliced provides technology to help financial advisers deploy alternatives
  • TradeBlockDigital currency data and analysis
  • Two TapUsers can now order any product directly in your app with Two Tap
  • Zen991099 tax help for rideshare drivers, delivery drivers, housekeepers, and more
  • Zidisha: Online microlending community
  • ZincPay with with Dwolla or Bitcoin, and manage all your orders in one place

2013 

2012

  • Airbrite (exited): Cloud-enabled platform for mobile commerce
  • Coinbase: Bitcoin wallet and exchange
  • Crowdtilt: Allows users to pool funds online
  • EligibleReal-time eligibility checks for health insurance
  • FundersClub: Equity crowdfunding marketplace
  • LendUp: Reinventing the payday-lending industry
  • SmartAsset: Bringing full transparency to the financial decision-making process
  • ZenPayroll: Modern payroll

2011

  • DebtEyeAutomated credit-counseling solution
  • Giftrocket: Gift card that works at any location
  • GoCardlessU.K.-based service for merchants to set up interbank transfers for customers
  • Leaky: Helps consumers make better decisions about insurance
  • OrderAhead: Order from local merchants on your phone
  • TrustEgg: Simple way to save for a child’s future
  • SwipeGood: Enroll credit and debit cards to automatically round up every purchase to the nearest dollar for charity

2010

  • CardPool (exited): Gift card exchange marketplace
  • E la CarteTablets for restaurant point-of-sale
  • FutureAdvisor (exited): Robo-adviser
  • IndineroAccounting, taxes and payroll for small business
  • ReadyForZero (exited): Helping people control and reduce debt
  • Stripe: Developer-friendly way to accept payments online

2009

  • WePay: Online payments platform

2008

  • Tipjoy (dead): Social payments engine for digital content

2007

2005

  • TextPayMe (exited): SMS payment service acquired by Amazon

—————————

Notes:
1. We are using a broad definition of fintech including payments, insurance, investing, etc.
2. A few YC companies are in stealth mode, so this list is not complete.

Fintech Fundings: 29 Companies Raise $1.2 Billion Week Ending April 8

money_tree_newFor the 14th week in a row, the number of fintech deals worldwide surpassed 20. This week, 29 startups raised $275 million, or $1.20 billion if you count Chinese real estate giant Home Link (Lianjia).*

The total number of deals YTD stands at 363, double last year’s 186 (through April 10). Total dollars raised YTD is $7.9 billion, also double the $3.7 billion raised during the same period a year ago.

Three Finovate alums raised capital, and one, a presenter at the first FinovateSpring show in 2008, TradeKing, was acquired by Ally Financial for $275 million.

Here are the fintech deals by size from 2 April to 8 April 2016:

Home Link (Lianjia)
Online and offline real estate broker
Latest round: $926 million Series B
Total raised: Unkown
HQ: China
Tags: Consumer, investing, robo-adviser, ETFs, retirement, Finovate alum
Source: Crunchbase

Bright Health
Consumer health insurance plans
Latest round: $80 million Series A
Total raised: $80 million
HQ: Minnesota City, Minnesota
Tags: Consumer, insurance, healthcare
Source: Crunchbase

Meili Jinrong
P2P lending platform
Latest round: Undisclosed
Total raised: $65+ million
HQ: Kagoshima, China
Tags: Consumer, P2P lending, peer-to-peer, credit, underwriting, investing
Source: Crunchbase

Finanz Check
Consumer loan portal
Latest round: $37.5 million Series C
Total raised: Unknown
HQ: Hamburg, Germany
Tags: Consumer, loans, credit, credit cards, price comparison, discovery, lead generation, personal finance
Source: Crunchbase

Persado
Messaging technology for financial institutions and others
Latest round: $30 million Series C
Total raised: $66 million
HQ: New York City
Tags: Enterprise, marketing, communications, alerts, service, Goldman Sachs, American Express, Citigroup (investors), Finovate alum
Source: Finovate

Joyowo.com
SMB insurance portal
Latest round: $15 million Series B
Total raised: Unknown
HQ: Zhejiang, China
Tags: SMB, insurance, lead gen, price comparison, discovery
Source: Crunchbase

Scalable Capital
Wealth-management platform
Latest round: $8.0 million
Total raised: $12.3 million
HQ: Munich, Germany
Tags: Consumer, investing, robo-adviser, ETFs, retirement, wealth management
Source: Crunchbase

Ixaris
Prepaid card-payments platform
Latest round: $6 million
Total raised: $6 million
HQ: London, England, United Kingdom
Tags: Consumer, B2B2C, payments, prepaid debit cards, Finovate alum
Source: Finovate

LevelUp
Mobile-payment platform for restuarants
Latest round: $5 million
Total raised: $45 million
HQ: Boston, Massechuesetts
Tags: Consumer, merchants, payments, POS, acquiring, debit/credit cards, mobile
Source: Crunchbase

Tiller
Retailer point-of-sale system
Latest round: $4.6 million
Total raised: $4.7 million
HQ: Paris, France
Tags: SMB, merchants, payments, POS, acquring, debit/credit cards, mobile
Source: Crunchbase

ShareIn
Equity-crowdfunding platform
Latest round: $4.54 million Equity Crowdfunding
Total raised: $5.54 million
HQ: Edinburgh, Scotland, United Kingdom
Tags: SMB, capital, P2P, investing, crowdfunding, equity
Source: Crunchbase

Vestly
Online stock-trading game
Latest round: $4 million
Total raised: $4 million
HQ: New York City
Tags: Consumer, investing, gamification, trading, simulator
Source: Crunchbase

Cortera
Data for B2B analytics and risk management
Latest round: $3.48 million
Total raised: $64.18 million
HQ: Boca Raton, Florida
Tags: SMB, credit evaluation, risk, valuations, underwriting, analytics, Finovate alum
Source: Crunchbase

Liwwa
Marketplace lender for SMB loans
Latest round: $2.3 million Seed
Total raised: $2.3 million Seed
HQ: Amman, Jordan
Tags: SMB, lending, P2P, crowdfunding, credit, commercial loans, underwriting
Source: Crunchbase

Second Measure 
Consumer spending analytics
Latest round: $2 million Seed
Total raised: $2 million
HQ: San Mateo, California
Tags: Enterprise, investors, advisors, trading, analytics, valuations
Source: Crunchbase

Numerai
Global tournament to predict the stock market
Latest round: $1.5 million
Total raised: $1.5 million
HQ: San Francisco, California
Tags: Consumer, investing, trading, stock market, game
Source: Crunchbase

Anedot
Payment processing system for nonprofits
Latest round: $1 million
Total raised: $2.25 million
HQ: Baton Rouge, Louisiana
Tags: Nonprofits, fundraising, payements, merchants, debit/credit cards, acquiring
Source: Crunchbase

Bitwala
Bitcoin payments
Latest round: $912,000
Total raised: $912,000
HQ: Grotestraat, Netherland
Tags: Consumer, payments, crypto-currency, bitcoin,, blockchain
Source: Crunchbase

MedPilot
Medical billing and collections platform
Latest round: $750,000 Angel
Total raised: $750,000
HQ: New York City
Tags: Healthcare providers, billing, payments, collections
Source: Crunchbase

Cambridge Blockchain
Enterprise blockchain applications
Latest round: $635,000
Total raised: $635,000
HQ: Cambridge, Massechuesetts
Tags: Enterprise, SMB, blockchain, distributed database, bitcoin, cyrpto-currency
Source: Crunchbase

Future Penny
Investment information portal
Latest round: $500,000 Seed
Total raised: $500,000
HQ: Perth, Australia
Tags: Consumer, investing, robo-adviser, ETFs, retirement, information, lead gen
Source: Crunchbase, Startup Daily

Tradeworks.io
Financial trade automation technology
Latest round: $500,000 Seed
Total raised: $500,000
HQ: Singapore
Tags: Traders, investing, robo-adviser, stocks, automation
Source: Crunchbase

Vindi
Online payment platform
Latest round: $330,000 Series A
Total raised: $820,000
HQ: Sao Paulao, Brazil
Tags: Consumer, SMB, payments, online, subscription billing, billpay
Source: Crunchbase

Sphere
Point-of-sale system for food and beverage industry
Latest round: $250,000 Seed
Total raised: $250,000
HQ: Singapore
Tags: Consumer, merchants, payments, POS, acquiring, debit/credit cards
Source: Crunchbase

Tokken
Proxy banking and payments services for cash businesses
Latest round: $250,000 Debt
Total raised: $250,000
HQ: Denver, Colorado
Tags: SMB, merchants, credit/debit cards, legal cannibas industry, payments, mobile
Source: Crunchbase

Internex Capital
Working capital finance
Latest round: $200,000 Debt
Total raised: Unknown
HQ: New York City
Tags: SMB, lending, trade finance, loan, underwriting
Source: Crunchbase

Cardtek
EMV and mobile-payments technology 
Latest round: Undisclosed
Total raised: Unknown
HQ: Istanbul, Turkey
Tags: Enterprise, payments, credit/debit cards, EMV, chip & PIN, mobile
Source: Crunchbase

Musoni BV
Microfinance software
Latest round: Undisclosed
Total raised: Unknown
HQ: Amsterdam, Netherlands
Tags: Consumer, micro-finance, underbanked, unbanked
Source: Crunchbase

Tandem Bank
Digital bank
Latest round: Not dislosed
Total raised: Unknown
HQ: London, England, United Kingdom
Tags: Consumer, banking, lending, mobile
Source: FT Partners

—–
*We include digital consumer real estate platforms in our definition of fintech companies. Many other sources classify them elsewhere. See full methodology in the footnotes here.
**Image licensed from 123rf

Friday Fun: Bank of America’s New Llama Videos #LLOVEYOURAPP

Bank of America on Wednesday dropped a set of 12 clever video segments called #LLOVEYOURAPP. You can see them all on the BofA YouTube channel. Most have 100 to 200 views, so they are virtually unknown so far. I’m guessing that is about to change as they are pretty clever. For one, a cud-chewing llama is demoing features of the BofA mobile app; for two, they remind me a bit of E*Trade’s baby series that for many years ran in the Super Bowl and elsewhere.

I don’t know what the plan is for them, whether they are to remain a social media play or will eventually run on TV (each one is either 15 or 30 seconds, so made for TV). I first spied them this afternoon via a Google+ promo next to a BofA email newsletter I received yesterday (see screenshot below). And the bank tweeted it once today and replied to a few more with the #LLOVEYOURAPP hashtag.

bofa_googleplus