Greetings from TechCrunch Fintech!
In this week’s edition, we delve into how prominent fintech players like Klarna and Stripe are integrating cryptocurrency into their business models, the companies gearing up for IPOs, a fintech firm’s Super Bowl advertisement, Stripe’s new leader for startups and venture capital, and much more!
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In Focus
Klarna’s CEO, Sebastian Siemiatkowski, announced in a post on X on February 8 that the company is set to “adopt cryptocurrency.” This prominent Swedish buy now, pay later service is reportedly eyeing a U.S. IPO in April, targeting a valuation of $15 billion, as noted by the Financial Times. While this represents a significant decline from its peak valuation of $45.6 billion in 2021, it is nevertheless expected to be “one of the largest public offerings of the year,” according to the FT. Klarna’s last funding round in 2022 valued the firm at $6.7 billion after raising $800 million.
Financial Highlights
Khazna, an Egyptian fintech startup focusing on financial solutions for individuals in lower and middle-income brackets, has successfully raised $16 million in pre-Series B funding, pushing its total capital to over $63 million.
Rapyd Financial Network seeks to secure $300 million in its upcoming funding round, which would place the global payments company’s valuation at $3.5 billion—significantly lower than its approximately $9 billion valuation in 2021.
Deel, a fintech company that has transformed into an HR platform, is laying the groundwork for its IPO. On February 4, the firm revealed that it anticipates its annual revenue run rate to hit $800 million in 2024, following a 70% growth. It also successfully sold $300 million in secondary shares to General Catalyst and an unnamed “sovereign investor.”
Superlogic, a startup that allows consumers to redeem rewards points for experiences, such as premium NBA game tickets, has raised $13.7 million, achieving a valuation of $200 million.
Reports from Bench’s recent bankruptcy filings reveal more about the company’s downfall. The Canadian startup, known for its cloud accounting software for small businesses, faced continuous profitability challenges and consumed $135 million from its inception in 2012 to September 2024. Ultimately, Bench succumbed to a “liquidity crisis” and has now been acquired by Employer.com. The situation highlights the risks associated with excessive debt for startups, as analyzed by Charles Rollet.
Stripe has finalized its acquisition of stablecoin platform Bridge for $1.1 billion, marking the payment innovator’s most substantial acquisition and clear strategic move into crypto.
In additional news about Stripe, TechCrunch has learned that the payments powerhouse appointed Asya Bradley as its new lead for Startups and VC Partnerships. Bradley comes from a revenue operations background with experience at Synapse and Sila and has worked as a limited partner in Ganas Ventures and Cowboy Ventures.
Philadelphia Eagles’ running back star Saquon Barkley has not just invested in the fintech startup Ramp, but also featured prominently in the company’s debut Super Bowl advertisement.
Trending Headlines
The chief of the US consumer finance watchdog (CFPB) orders staff to halt all operations, shortly after the Trump administration closed the bureau’s offices for a week.
Plaid collaborates with Goldman Sachs in a bid to raise $300M to $400M through a tender offer.
Thank you for joining us! Until next week… Follow me on X @bayareawriter for the latest fintech updates, coffee musings, and more.
Compiled by Techarena.au.
Fanpage: TechArena.au
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