Daily news

Worldpay Acquires Ravelin to Help Merchants Battle Fraud

Worldpay Acquires Ravelin to Help Merchants Battle Fraud
By Julie Muhn (@julieschicktanz) Posted on
Categories: Alumni News, Daily news, WorldPay
  • Worldpay plans to acquire AI-driven fraud detection company Ravelin.
  • The acquisition will help Worldpay enhance its e-commerce offerings by adding fraud prevention technology and improve business clients’ authorization rates.
  • Ravelin’s cloud-based platform helps merchants combat online fraud, secure accounts, and improve payment authorization rates through partnerships with data providers like Ekata and Ethoca.

Payments and banking services company Worldpay announced plans today to acquire fraud detection company Ravelin. Financial terms of the deal were not disclosed. The acquisition is expected to close later this quarter.

“Our acquisition of Ravelin aligns with our strategy to invest in innovation and AI technology, enhancing the value we provide customers and accelerating our e-commerce growth,” said Worldpay CEO Charles Drucker. “In today’s online world, equipping merchants with next-generation AI-powered fraud prevention products is vital, and we believe Ravelin’s technology and expertise will significantly enhance Worldpay’s overall value proposition to the marketplace. We look forward to partnering with Ravelin’s leadership and their talented team to help our customers address their most complex challenges.”

Ohio-based Worldpay anticipates that buying Ravelin will complement and enhance its existing portfolio of solutions. The company will also leverage Ravelin’s cloud-based AI platform to help its merchant clients improve authorization rates.

Worldpay was founded in 1971 and enables merchants of all sizes to grow faster and protect their businesses as fraud activity accelerates globally. The company offers processing solutions that allow businesses to take, make, and manage a variety of payments, including online, in-person, and embedded payments. The company processes over 50 billion transactions each year across 146 countries and 135 currencies. 

Fraud prevention and payments optimization company Ravelin helps ecommerce merchants combat online payments fraud, implement account security, accept returns while blocking fraudsters, and set limits on promotional redemptions. The company also performs 3D Secure identification. Ravelin works with third parties including Ekata, Ethoca, and Chargebacks 911 to bring a wealth of data and disputes, and can integrate with other external data sources, as well.

“Ravelin is thrilled to be joining Worldpay, a true global leader in the payments industry,” said Ravelin Co-Founder and CEO Martin Sweeney. “Worldpay’s scale and reach, including processing approximately $2.5 trillion in payments volume and more than 50 billion transactions in 2024, will be an immense asset as we accelerate Ravelin’s momentum and advance our mission to eradicate fraud from the internet. Together, we will be able to deliver innovation at scale, driving the adoption of our industry-leading fraud solutions to customers as they respond to increasingly sophisticated threats and rising fraud-related costs.”

In a world where consumers are demanding faster payments, fraud is taking place at a faster rate, as well. The methods of fraud are also evolving as AI tools become more advanced, making fraud more sophisticated and harder to detect. By integrating Ravelin’s fraud prevention tools with its payment processing services, Worldpay will provide businesses with the ability to protect themselves against fast-moving fraud.

Photo by Tima Miroshnichenko

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FIS Enables FedNow Send Capabilities

FIS Enables FedNow Send Capabilities
By Julie Muhn (@julieschicktanz) Posted on
Categories: Alumni News, Daily news, FIS
  • FIS is now certified to offer send capabilities for FedNow.
  • Adding FedNow send capabilities enhances FedNow’s real-time payment services for bank clients and enables instant credit transfers.
  • As of late last year, 60% of FedNow participants can receive payments, only 40% have adopted sending capabilities.

Payment, banking, and investment systems provider FIS announced today that it is now certified to enable send capabilities for FedNow instant payment credit transfers.

FIS was an early adopter of FedNow, and was one of the first institutions to enable its customers to receive FedNow payments after the technology launched in July of 2023. Adding send capabilities, along with real-time transfer alerts, allows FIS to bring its bank clients a more comprehensive payments experience.

“As money moves between banks, consumers, businesses, and beyond in a complex cycle, credit and debit cards continue to play a leading role in the payment experience,” said FIS Head of Cards and Money Movement Chris Como. “However, slow or delayed transfers can harm customer loyalty when they need to pay loans, rent, or time-sensitive bills on any given day. Giving the end user direct access to send payments instantly using FedNow marks a huge milestone in our efforts to enable a harmonious payments experience for our clients and the customers they serve.”

This announcement comes after it was reported that only 40% of firms have signed up to send payments using FedNow, as of late last year. In comparison, close to 60% of the financial institutions on board with FedNow are able to receive payments. As of last month, more than 1,000 financial institutions have enrolled in the FedNow Service. The Federal Reserve maintains a list of participating financial institutions on its website.

The lack of banks willing to send payments over FedNow may be caused by a handful of factors. Implementing the necessary infrastructure to send payments requires more technological investment and operational considerations than simply receiving payments. Additionally, faster payments leads to faster fraud, including authorized push payment (APP) fraud, where fraudsters trick users into sending money to them. Also, at a time when banks are seeking to increase their deposits, it doesn’t benefit them to make it easy for customers to send money.

Founded in 1968, FIS is headquartered in Florida. The firm, which counts 15,000 clients across the globe, offers a wide range of products and solutions, including payment capabilities, risk management tools, customer communications products, and more. FIS-powered tools process $50 trillion annually and hold $16 trillion in assets.

Photo by Element5 Digital

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Napier AI Lands Investment from Marlin Equity

Napier AI Lands Investment from Marlin Equity
By Julie Muhn (@julieschicktanz) Posted on
Categories: Alumni News, Daily news, Funding, Napier
  • UK-based financial crime compliance solutions company Napier AI has received a majority growth investment from Marlin Equity Partners.
  • Today’s funds add to Napier AI’s existing $55.8 million in funding and will be used to support global expansion and R&D.
  • The company’s Napier Continuum AI-powered AML compliance platform serves over 100 financial institutions, including major players like HSBC and State Street, using AI and data science to help compliance teams make faster, more accurate decisions.

Financial crime compliance solutions company Napier AI has received a majority growth investment from Marlin Equity Partners. The amount of the investment was undisclosed, but will be added to Napier’s $55.8 million in existing funds from the company’s 2024 round.

“The Napier AI team impressed us with their strategic and innovative product offering, and dedicated customer focus. As the regulatory landscape becomes more complex, this mission-critical compliance-first AI platform is well-positioned to deliver continued growth in the global anti-financial crime market,” said Marlin Managing Director Mike Wilkinson. “We are excited to work alongside the Napier AI management team and are thrilled to support the company’s vision of helping more enterprises effectively and efficiently put a halt to money laundering activities.”

The U.K.-based company said that it will use the funds to “advance its market position through ongoing research and development” and support its global expansion.

Napier was founded in 2015 and offers Napier Continuum, an anti-money laundering (AML) compliance suite that provides AML screening and monitoring solutions in a modular platform that helps businesses scale. The company leverages AI and data science to help compliance teams make decisions quickly and accurately. The Continuum platform counts more than 100 financial institution clients, including HSBC, State Street, Mizuho Trust & Banking, SS&C, Starling Bank, ClearBank and WTW.

“We believe our AI-enabled products and passionate employees allow us to deliver exceptional value to customers and partners,” said Napier AI CEO Greg Watson. “In an era of ever-evolving financial crime threats, having a modern solution leveraging AI and automation is paramount to maintaining regulatory compliance and protecting the financial services industry from bad actors. We’re delighted to have found the right partner at such a pivotal moment in our journey to help us continue our momentum and grow the Napier AI brand globally. Marlin has an incredible heritage in helping businesses like ours to scale and innovate, and we are confident both our customers and our teams will see immediate benefits from Marlin’s investment.”

Napier said that the investment highlights the demand for AI-based AML solutions in today’s increasingly complex regulatory environment. It also comes at a time when the fintech sector is quickly developing AI-powered tools to address financial crime, which reflects the financial services industry’s urgent need to combat increasingly advanced fraud techniques while simultaneously meeting stringent regulatory requirements.

Napier demoed its Customer Screening and Transaction Monitoring Enhancement software at FinovateEurope 2018 in London. At this year’s FinovateEurope event, taking place 25 through 26 February, we will showcase 30+ demoing companies, many of which are leveraging AI. Register today using this link and save 20% on your ticket.

Photo by Harrison Fitts

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Cedar Money Raises $9.9 Million for Cross-Border Stablecoin Payments

Cedar Money Raises $9.9 Million for Cross-Border Stablecoin Payments
By Julie Muhn (@julieschicktanz) Posted on
Categories: Daily news
  • Cedar Money has raised $9.9 million in Seed funding.
  • The round was led by QED Investors, with participation from North Island Ventures, Wischoff Ventures, Lattice, and Stellar.
  • Cedar Money leverages stablecoins instead of SWIFT to offer faster, more reliable, and cost-effective international money transfers, particularly in regions where traditional systems are inefficient or inaccessible.

Cross-border stablecoin payments company Cedar Money announced this week that it has raised $9.9 million in Seed funding. This initial investment round was led by QED Investors. North Island Ventures, Wischoff Ventures, Lattice, and Stellar also participated.

The Israel-based company was founded in 2022 to enable efficient business-to-business money transfers across geographies. Because it leverages stablecoins, the company does not rely on outdated SWIFT and correspondent banking rails and is able to deliver faster, more reliable, and cost-effective cross-border payments between developed and emerging markets.

Cedar Money will use today’s funds to accelerate its mission of transforming international money flows through blockchain payments. “The funding underscores the urgency for innovative payment solutions in a world where businesses face significant barriers in moving money across borders,” said Cedar Money CEO Benjy Feinberg. “We’re proud to partner with forward-thinking investors like QED who share our vision of creating a truly global and inclusive financial ecosystem.”

By integrating blockchain technology with a user-friendly, fiat-based interface, Cedar Money is able to offer a compliant payment solution that works for businesses across the globe. The company’s technology has had a notable impact in regions where traditional payment systems are cumbersome, costly, or inaccessible.

If you’ve been paying attention to fintech news in the past three months, you’re likely aware that Cedar Money’s announcement comes amid a boom for cryptocurrencies, and especially stablecoins. Stripe’s acquisition of stablecoin-focused fintech Bridge set off an avalanche of stablecoin excitement, bringing to light the possibilities of using stablecoins, especially in cross-border transactions. The recent administration change in the U.S. has also increased the stablecoin excitement by promising a crypto-positive regulatory environment.

“Cedar Money’s approach aligns perfectly with the positive momentum in the digital asset ecosystem, as businesses and governments alike recognize the transformative potential of stablecoins in enhancing cross-border money flows,” added Feinberg.

Photo by ROMAN ODINTSOV

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Wise Says, “Hola” to Mexico

Wise Says, “Hola” to Mexico
By Julie Muhn (@julieschicktanz) Posted on
Categories: Alumni News, Daily news, TransferWise, Wise
  • Cross-border payments fintech Wise has launched services in Mexico.
  • The launch allows Mexican nationals to send money abroad in over 40 currencies across 160 countries, leveraging Wise’s network of six local payment systems and 90+ bank providers.
  • Wise stated that the US dollar to Mexican Peso money transfer corridor is one of its largest, and has seen transfer volumes between the two double in the last two years.

Cross-border payments fintech Wise (formerly TransferWise) announced today it has launched into the Mexican market. The new service in Mexico will enable Mexican nationals to send money abroad, offering them direct access to Wise’s growing global payment network.

The new market entry is part of the company’s broader goal to enhance cross-border payments and support consumers with financial services. With Wise’s services now available in Mexico, the country’s citizens can send money from Mexico to over 40 currencies and 160 countries using Wise’s app or website. Wise has direct connections to six local payment systems and over 90 local bank providers, which ensure fast and efficient transfers. The company said that sending funds from Mexican Peso (MXN) to US Dollar (USD) will “hugely benefit” Mexican nationals who have connections to the US. 

“Launching our services in Mexico is a continuation of our strong, consistent growth in North and Latin America,” said Wise CTO Harsh Sinha. “Mexico, a region where consumers are loaded with unjust hidden fees, presents a strategic opportunity for Wise as it helps further our mission and opens a key currency route to bolster our business. Offering our services will have a positive impact on Mexican nationals by offering a transparent, cost effective, and fast option to send money internationally. Importantly, this takes us one step closer in solving the problems of opaque, slow, and expensive international money movement.”

Wise reports that with more than 37 million Hispanics of Mexican origin living in the US, sending USD to MXN is the third-largest money transfer corridor for its US customers. Additionally, the company has seen the volume of transfers on this route double over the past two years. This growth highlights the demand for faster and more affordable alternatives in the remittance market.

As part of its mission to disrupt traditional remittances, Wise focuses on price transparency. The company estimates that banks and other providers in Mexico conceal up to 10.4% of their fees, contributing to a loss of $446 million in hidden fees in 2024 alone, according to a survey by Edgar, Dunn & Company. Wise aims to change this with a transparent pricing strategy. In fact, Wise estimates that from the $147 billion (£118.5 billion) in cross-border transactions it facilitated globally last year, it saved customers over $2.2 billion (£1.8 billion).

Wise was founded in 2011 under the name Transferwise to facilitate cross-border payments while bringing transparency to the fees involved. The company reports that in Mexico, banks and other providers conceal up to 10.4% of their costs in hidden fees. According to a survey from Edgar, Dunn & Company, out of the $168 billion consumers moved in and out of Mexico in 2024, Mexicans lost $446 million in hidden fees that same year.

“Our mission is to make financial services fair, accessible, and transparent for everyone,” said Wise Country Manager in Mexico Efrain Florencia. “Launching in Mexico allows Wise to disrupt a traditional remittance market by introducing radical price transparency, completely redefining how Mexicans send money abroad. We are eager to make a positive impact on the millions of Mexicans who regularly go through this process and are looking for a better, more convenient experience without the burden of excessive fees.”

Wise is listed on the London Stock Exchange (LSE) under the ticker WISE, with a market capitalization of $11.5 billion. The company serves 12.8 million active customers worldwide, facilitating the movement of $37 billion (£30 billion) across borders each quarter. Founded in 2011, Wise offers both personal and business accounts, allowing users to hold and manage funds in 40 currencies, move money between countries, and spend money internationally without hidden fees.

Photo by Alexander Schimmeck on Unsplash


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Trump Media (Yes, That Trump) Launches Fintech Venture, Truth.Fi

Trump Media (Yes, That Trump) Launches Fintech Venture, Truth.Fi
By Julie Muhn (@julieschicktanz) Posted on
Categories: Daily news
  • Trump Media and Technology Group (TMTG) launched Truth.Fi, a new financial services brand.
  • The new brand will focus on crypto investments, ETFs, and separately managed accounts, with up to $250 million custodied by Charles Schwab.
  • The announcement follows the launch of the $TRUMP memecoin on the Solana blockchain which, despite disclaimers, has reached a $5.4 billion market cap.

Did anyone have this on their bingo card for 2025? Donald Trump-owned Trump Media and Technology Group (TMTG) announced today that it has launched a financial services and fintech strategy, confirming the launch a new brand called Truth.Fi.

The Florida-based company is launching the new brand to diversify the company’s cash reserves. TMTG will invest up to $250 million through Charles Schwab in cryptocurrencies and crypto-related securities, exchange-traded funds, and separately managed accounts, which will be developed in partnership with Charles Schwab. The investment vehicles and financial products are expected to focus on investments in American growth, manufacturing, and energy companies. Yorkville Advisors will serve as the company’s Registered Investment Adviser.

For those familiar with TMTG social network, Truth Social, the name of the new fintech company may sound familiar. The company began as a social media platform to serve as a safe harbor for free speech, avoiding censorship of private companies. It also runs Truth+, a TV streaming platform focusing on family-friendly, live TV channels and on-demand content.

TMTG CEO and Chairman Devin Nunes called Truth.Fi a natural expansion of the Truth Social movement. “We began by creating a free-speech social media platform, added an ultra-fast TV streaming service, and now we’re moving into investment products and decentralized finance,” explained Nunes.

The company anticipates that Truth.Fi products and services will roll out later this year.

This move is particularly noteworthy as TMTG is majority owned by U.S. President Donald Trump, who took office just nine days ago. Since then, he has demonstrated a pro-crypto stance by signing the “Strengthening American Leadership in Digital Financial Technology” executive order, a decision that has contributed to a surge in cryptocurrency prices.

The announcement also comes after Donald Trump launched a Trump memecoin called $TRUMP on the Solana blockchain a few days prior to his presidential inauguration. Despite the fact that, according to the coin’s website, $TRUMP are not intended to be, or to be the subject of, an investment opportunity, investment contract, or security of any type,” the coin currently has a market capitalization of $5.4 billion, making it the third most valuable memecoin available today.

Photo by Polina Zimmerman

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Musk’s X Partners with Visa for In-App Payments

Musk’s X Partners with Visa for In-App Payments
By Julie Muhn (@julieschicktanz) Posted on
Categories: Alumni News, Daily news, VISA
  • X (formerly Twitter) has selected Visa as its first payments partner to launch the XMoney Account.
  • X’s new payments feature will be powered by Visa Direct, which will enable instant P2P payments, transfers to bank accounts, and creator monetization within the social media app.
  • X CEO Linda Yaccarino expects that X’s in-app payments will debut later this year.

Visa and X (formerly Twitter) have partnered to facilitate payments on X, or what the company owner Elon Musk refers to as the “everything app.” According to a tweet from X CEO Linda Yaccarino, the XMoney Account, which will facilitate in-app payments, will debut later this year.

X will leverage Visa Direct, Visa’s real-time payment platform that enables businesses and individuals to instantly send and receive money directly to an eligible debit card or X Wallet. Once users connect their debit card to allow for P2P payments, they will have the option to transfer the funds to their bank account.

A payment partnership has been in the works for a long time. Musk purchased X (which was then called Twitter) in 2022 for $44 million. That same year, the company filed with the Treasury Department’s Financial Crimes Enforcement Network (FinCEN) and began obtaining necessary state licenses, as well. The move was one of the first steps Musk took to create an “everything app” that he envisions will help users manage their entire financial lives. Today, X Payments is licensed in 41 states.

According to CNBC, which spoke to someone familiar with the matter, “The X Money service is expected to launch in the first quarter, and deals with more financial partners are likely. One of the first use cases for X Money is to allow creators on the site to accept payments and store funds without external institutions.”

Once launched, XMoney will compete with formidable players such as Venmo, Cash App, PayPal, Apple Pay, Google Pay, and Zelle. XMoney may be able to differentiate itself in this competitive space by integrating social media, content creation, and financial tools. This would position it as more than just a payments platform, but rather as a central hub for digital interactions, creator monetization, and financial management. Its success, however, will depend on its ability to gain user trust, ensure security, and offer functionality that rivals established players.

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Clutch Raises $65 Million to Turn Credit Unions into Fintechs

Clutch Raises $65 Million to Turn Credit Unions into Fintechs
By Julie Muhn (@julieschicktanz) Posted on
Categories: Daily news, Funding
  • Clutch raised $65 million Series B funding, bringing its total raised to over $106 million.
  • The investment, which will offer Clutch 200 months of cash runway, comes from Alkeon Capital, Andreessen Horowitz, TruStage Ventures, and Peterson Partners.
  • Clutch was founded in 2020 to provide digital account and loan opening tools that enable over 135 credit unions to compete with big tech by enhancing user experiences without overhauling existing systems.

California-based Clutch recently announced it raised $65 million in Series B funds. The round, which boosts Clutch’s total raised to more than $106 million, was led by Alkeon Capital Management with participation from Andreessen Horowitz, TruStage Ventures, and Peterson Partners.

Clutch was founded in 2020, the year that started financial services’ digital transformation wave. With its digital account opening and digital loan opening tools, the company helps credit unions create a modern experience to help them compete with big tech companies while improving the user experience. Clutch is partnered with 31 out of the 33 credit union leagues and has over 135 credit union clients that leverage its digital origination platform to offer their users a better loan and deposit experience.

Clutch CEO and Co-founder Nicholas Hinrichsen attributes the company’s success to its involvement in the credit union space. “Deeply understanding the nuances of the credit union’s business and technology helps us solve the right problems, the right way. We are all-in on credit unions because generic technologies that serve banks and Fintechs alike fail to promote the unique way that credit unions do business — it’s the uniqueness of credit unions and their mission that helps deliver exceptional value to members.”

According to Hinrichsen, today’s investment brings Clutch more than 200 months of cash runway. Clutch will use the funds to support its growth plans and product innovation. The company is investing in AI and expanded platform capabilities to help credit unions compete in an increasingly digital world.

“We strongly believe that we can best serve the credit union movement by partnering with the existing technology providers and thereby leveraging the investments our credit union clients have already made,” said Clutch Chief Product Officer and Co-founder Chris Coleman. “No credit union leader wakes up in the morning, wanting to kick off a two-year long LOS conversion. Replacing your LOS will cost you two years — two lost years with no real progress. Real progress happens when you work with companies like Clutch that enable you to serve your members like a Fintech while getting the most out of your existing systems,” added Clutch Head of Product Tamanna Kottwani.

As consumer expectations for seamless, digital-first experiences continue to rise, it is critical for financial institutions to stay ahead of the curve. This is especially challenging for credit unions, which often face constraints in funding and technical talent. This gap presents an opportunity for third-party fintechs like Clutch, which can help empower credit unions to level the playing field.

Photo by Porapak Apichodilok

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Neonomics Acquires Ordo to Expand Open Banking Expertise in the UK

Neonomics Acquires Ordo to Expand Open Banking Expertise in the UK
By Julie Muhn (@julieschicktanz) Posted on
Categories: Alumni News, Daily news, Mergers & Acquisitions, Neonomics
  • Neonomics has acquired UK-based payments and data provider Ordo to expand its services in the UK and beyond.
  • Specifically, Neonomics will leverage Ordo’s expertise in Variable Recurring Payments (VRP) and pay-by-bank tools.
  • The acquisition has been approved by the UK Financial Conduct Authority and Financial Supervisory Authority of Norway.

Norway-based open banking innovator Neonomics has offered its payments and financial data solutions since 2017. This week, the company purchased Ordo, a UK-based open banking payments and data service provider.

Financial terms of the agreement, which was approved by both the UK Financial Conduct Authority and the Financial Supervisory Authority of Norway, were not disclosed.

Ordo was founded by former members of the UK Faster Payments scheme in 2014, becoming an FCA authorized open banking payments provider. The company’s payments and data services include variable recurring payments as well as pay-by-bank tools.

“We are proud to join forces with one of the most well positioned independent open banking providers in Europe, to jointly scale our offering to both existing and new customers across the UK and Europe,” said Ordo CoFounder and Managing Director Fliss Berridge. “The two teams bring a wealth of experience in developing tailored solutions in a complex and highly regulated environment at what we believe will be among the industry’s most competitive commercial terms.”

Neonomics delivers payment initiation and account information services to a wide range of businesses, as well as a pay-by-bank app directed at consumers. The company also offers a newly launched AI tool, Nello AI, to serve as a personal finance manager app to motivate consumers with a monthly financial review, daily spending meter, a chatbot, and more.

“The team at Ordo represents some of the most experienced payments experts in the UK, having a leading voice across many of the most important forums that span the UK and EU in shaping how open banking will evolve,” said Neonomics Founder and CEO Christoffer Andvig. “This acquisition strengthens our commercialization strategy and time to market while expanding our product offering.”

Neonomics will leverage Ordo to help it accelerate its growth by offering services in the UK and other regions. With Ordo’s UK-centric payment tools, including its Variable Recurring Payments (VRP) capability, Neonomics plans to build a more open and connected economy.

The agreement comes as new payments regulations, including the Payments Services Regulation (PSR) and the third Payment Services Directive (PSD3), sit on the horizon. These regulations are expected to standardize open banking practices, enhance consumer protection, and drive further adoption of open banking solutions across Europe.

Acquiring Ordo positions Neonomics to benefit from these changes. The company’s payment suite and data tools are suited to offer more connected and seamless payments that are tailored to the continuously evolving regulatory landscape.

Photo by sl wong

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Method Financial Raises $41.5 Million to Compete with Plaid, MX, and Finicity

Method Financial Raises $41.5 Million to Compete with Plaid, MX, and Finicity
By Julie Muhn (@julieschicktanz) Posted on
Categories: Alumni News, Daily news, Funding, Method Financial
  • Method Financial has raised $41.5 million in Series B funding.
  • The funding round, led by Emergence Capital and joined by investors like avra and Samsung Next, brings Method’s total funding to $60 million.
  • The company plans to use the funds to enhance loan refinance automation, expand card network integrations, and deepen banking relationships.

Financial connectivity API provider Method Financial has raised $41.5 million. The Series B round was led by Emergence Capital. New investors avra and Samsung Next also participated, along with existing investors Andreessen Horowitz, Y-Combinator, and Ardent Venture Partners.

Today’s round more than doubles Method Financial’s previous funding total, bringing the company’s total funding to $60 million. The company will use today’s round to accelerate delivery of its loan refinance automation and expand into other use cases that leverage card network integrations. It will also deepen its banking relationships to deliver more competitive products and expand credit card network integrations to streamline checkout.

“Our latest round of funding will help us build on Method’s already strong growth trajectory. Our team takes immense pride in supporting millions of Americans on their financial journeys while helping lenders and fintechs increase conversion with better user experience and engagement,” said Method CoFounder and CEO Jose Bethancourt. “As we serve new markets with our growing data and payment capabilities, we are thrilled to collaborate with Emergence and avra, as well as our existing investors, including Andreessen Horowitz, YC, and other leading stakeholders in fintech.”

Method was founded in 2021 to provide real-time, permissioned read/write access at 15,000 financial institutions, without requiring a consumer’s username and password. The company’s APIs power end-to-end refinance experiences, real-time account data access, and one-click checkout for over 60 fintechs, lenders, and FIs including Aven, Upgrade, SoFi, and PenFed. Since launch, Method has enabled 30 million passwordless account connections for 4 million consumers and has facilitated over $500 million in liability repayments.

“Method’s strength lies in the broad usability of its data and payment products across a wide range of industries and verticals,” said avra Managing Partner Anu Hariharan. “Initially, Method enabled lenders to offer competitive financial products by providing real-time visibility into consumer debts. Now, they are increasingly expanding their reach, supporting new use cases like card linking and new verticals like retail and travel.”

Method recently launched a new credit card connectivity solution called Card Connect, which offers transaction-level data. Since launching Card Connect, Bilt Rewards saw two million users connect 10 million cards to earn points on their eligible purchases.

Method recently demoed at FinovateSpring 2024, where it showcased its Connect, Data, and Pay APIs. During the demo, Method explained how the tools essentially serve as a single sign on (SSO) for all of a user’s liabilities without exposing their personal information.

Method Financial fits into the growing ecosystem of financial connectivity providers like Plaid, MX, and Finicity. However, Method differentiates itself with its unique focus on liabilities and its write capabilities that enable integration and real-time updates. Overall, Method is suited to feed the increasing demand for open banking APIs as consumers, banks, and fintechs continue to seek real-time data aggregation.

Photo by Brett Sayles

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Ramp Launches Ramp Treasury to Make Use of Idle Cash

Ramp Launches Ramp Treasury to Make Use of Idle Cash
By Julie Muhn (@julieschicktanz) Posted on
Categories: Daily news
  • Ramp debuts Ramp Treasury to help businesses earn interest on idle funds.
  • The free, FDIC-insured account offers 2.5% interest or an investment account with rates up to 4.38%, all without fees or transfer limits.
  • This is Ramp’s first foray into holding deposits. The company is partnering with First Internet Bank for the deposits and Apex for investments.

Business finance automation platform Ramp unveiled a new product today called Ramp Treasury that helps businesses earn more interest on their idle funds without sacrificing liquidity.

Ramp customers can use Ramp Treasury to store their cash in a free, FDIC-insured account that earns 2.5% interest or choose to invest it in a money market fund via the Ramp Investment Account which offers rates as high as 4.38%. The liquid FDIC-insured account does not charge fees, require a minimum deposit, or have transfer limits. 

“Every day your money sits in limbo waiting to settle is a day of missed earnings — hidden costs that quietly chip away at your bottom line,” the company said in a blog post.

Ramp Treasury is integrated into its AP workflow to ensure that business’ operating funds are earning interest. Ramp’s accounts allow businesses to manage all of their treasury and AP workflows in one place, set multi-step approvals, create authorized users, sync with their ERP without manual reconciliation, and more.

This is Ramp’s first foray into holding users’ deposits. Prior to the launch of Ramp Treasury, Ramp only offered corporate cards and spend management tools. The New York-based company is partnering with First Internet Bank of Indiana to hold cash deposits and leverages Apex for investments. Interestingly, Ramp competitor Brex applied for a bank charter in 2021, but later decided to withdraw its application.

Ramp was founded in 2019 and has experienced notable growth, especially in the past year. The company has doubled its customer number in the past year, accelerating from 15,000 to 30,000. And while Ramp is not disclosing current revenue figures, in the summer of 2023 it reached $300 million in annualized revenue.

Since it was founded in 2019, Ramp has grown to 1,000 employees, has raised $1.8 billion in funding, and has acquired three companies, most recently purchasing Venue to improve its Procurement product automations. Despite all of its growth, however, it doesn’t look like Ramp is focused on joining the 2025 fintech IPO bandwagon. “We are just trying to build a great business, regardless if it’s private or public,” Ramp CEO and co-founder Eric Glyman told TechCrunch.

Photo by Tima Miroshnichenko

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Trading and Investment Network eToro Files for IPO

Trading and Investment Network eToro Files for IPO
By Julie Muhn (@julieschicktanz) Posted on
Categories: Alumni News, Daily news, eToro
  • Social trading platform eToro has confidentially filed to go public in the U.S. later this year.
  • The IPO potentially values eToro at over $5 billion, marking its second attempt at a public debut after a failed SPAC deal in 2022.
  • eToro’s IPO aligns with a renewed optimism in fintech, dubbed “fintech spring,” as companies like Klarna also signal plans to go public, signaling a resurgence in confidence and investment.

Social trading and investment network eToro is taking its multi-asset trading platform to the public markets. According to a report from The Financial Times, eToro confidentially filed a U.S. IPO later this year.

The IPO, which could value eToro at over $5 billion, won’t count as the company’s first attempt at going public. In 2021, eToro announced plans to merge with FinTech Acquisition Corp. V, a publicly-traded special purpose acquisition company (SPAC), in a deal worth $10 billion. The deal would have listed eToro on the NASDAQ, but the two parties agreed to end the deal after eToro’s valuation was cut by 15% in 2022, and the company failed to go public by the deadline specified in the SPAC arrangement.

By March 2023, eToro raised $250 million at a $3 million valuation. “Our 2023 to 2025 strategy focuses on scaling our brokerage business in our key markets and increasing profitability via revenue growth and cost management,” said company Founder and CEO Yoni Assia at the time of the fundraising. “eToro will continue to focus on profitable growth while helping to drive progress towards a world where everyone can invest in a simple and transparent way.”

Since that time, eToro launched $Cashtags on what was then Twitter, announced it would pay interest on users’ idle cash, and began publishing educational content on X.

eToro was founded in 2007 and has since raised $693 million in funding. With more than 35 million registered users and investors on its trading and investing platform, the company offers trading and investing tools more accessible and collaborative. eToro launched in the U.S. market in 2019, entering a space where Robinhood had already established a six-year presence.

The IPO filing announcement comes as fintech is entering what analysts are calling “fintech spring,” a hopeful time during which investors are more willing to invest and organizations are more willing to take risks. Many predicted that 2025 would see a lot of fintech IPOs. Klarna kicked things off, announcing last November that it is planning a 2025 IPO.

Photo by George Morina

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