🌊The Fintech Wave(#39)

TLDR: Apple enters BNPL market. New insurance unicorn. Universal API for small business data raises 100$ million.

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Europe News and Funding

Codat raised $100M

The list of investors in this fintech infrastructure startup is pretty impressive: J.P. Morgan, Tiger Global, American Express and PayPal.

Codat is building a universal API for small business data.

For example, revenue-based financing startups (Pipe, Brex, etc.) are connecting via API to potential customers to check their financial situation. They used Codat infrastructure to do that. This information is later used to aggregate data, underwrite credit risk, and automate accounting for SMB customers.

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Americas News and Funding

Apple enters Buy Now Pay Later market

It seems that Apple is not going to miss BNPL train! In one hand, it makes perfect sense because they already have Apple Pay, and they actually have the cash needed for BNPL business.

Dare Obasanjo @Carnage4Life

Apple is going to finance Apple Pay's BNPL loans by itself using its $200B cash hoard. This already makes their economics better than the rest of the BNPL apps like Klarna, AfterPay & Affirm who borrow the money they then loan to consumers.

bloomberg.comBloomberg - Are you a robot?

Insurtech became unicorn 🦄

Branch, a startup offering bundled home and auto insurance, has raised $147 million in Series C funding at a postmoney valuation of $1.05 billion. Rumor is that Branch increased its written premium by 1,300% in the last 12 months, and their headcount went from 75 to 400. Well done Branch!

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Crypto ₿ites

Accounting service📒 for digital assets

If your company is using digital assets, you will find this product super useful. Paris-based Cryptio raised $10M for its enterprise-grade accounting, audit and tax software for digital assets.

Regulations for digital assets are still not 100% clear and it is especially hard to figure out how to show them for accounting purposes. Cryptio can be connected to DeFi protocols, wallets, exchanges, etc to show a complete picture. Currently, the startup has more than 200 customers. This could easily be a $1B company within a few years.

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Tweets and Threads of the Week

Peter Schiff @PeterSchiff

Credit card debt soared by $17.8 billion in April, the second highest amount ever. The highest was March, when it soared by a staggering $25.6 billion. Consumers are completely tapped out. They're using their credit cards to buy food and pay for other essentials. #Stagflation.

Tanay Jaipuria @tanayj

Peloton is spending over $900 on delivery & shipping costs per piece of hardware. Up >3x from $200-$250 per device a year or two ago. Truly absurd

Juozas Kaziukėnas @juokaz

39% of packages shipped in the US originated on Amazon. Amazon delivered half of it itself, handing off the rest to UPS, Fedex. Amazon Logistics is already larger than FedEx, and soon will be as large as UPS. Will it eventually be larger than USPS? Sure.