Welcome back to The Interchange: New Funds, Zing App, Synapse Controversy, Fintech Hits, and More
Source: TechCrunch
Author: Mary Ann Azevedo
Foxe Capital: A New Venture Fund Investing in Fintech Startups
Ruth Foxe Blader, formerly a partner at Anthemis Group, has launched her own venture firm called Foxe Capital. The London-based firm will be exclusively focused on investing in fintech startups. Joining Blader in the new venture are former Anthemis investment associate Kyle Perez and former principal Sophie Winwood. Although Blader will still be investing on behalf of Anthemis for the first year, deploying the remaining capital from a vehicle she was hired to manage in 2017, it is unclear if Anthemis will continue to back her as an LP beyond that. Blader’s departure from Anthemis came after the company faced a turbulent year, including a restructuring and allegations of misconduct.
Exponent Founders Capital Closes $75 Million Second Fund
Exponent Founders Capital has closed its $75 million second fund, which will be used to invest in early-stage fintech companies. The firm was co-founded by Charley Ma and Mahdi Raza, who previously worked at Plaid and Robinhood, respectively. The duo first met while negotiating on opposite sides as representatives of their respective companies. The fund will serve as a platform for them to apply their experience as operators and angel investors to support fintech startups.
Pros and Cons of HSBC’s Zing App Compared to Wise and Revolut
HSBC has launched a new international payments app called Zing, which is currently limited to UK customers. TechCrunch’s Romain Dillet discusses the app’s pros and cons in comparison to Wise and Revolut. One key difference is Zing’s approach to foreign exchange fees. Overall, the app is expected to be appealing to migrants and frequent travelers looking for an alternative in the space.
Controversy Surrounding Synapse, Evolve Bank & Trust, and Mercury
There has been an ongoing dispute between Synapse, its banking partner Evolve Bank & Trust, and startup banking platform Mercury. Mercury has filed a lawsuit against Synapse, seeking to recover $30 million. Synapse’s founder and CEO, Sankaet Pathak, has responded, calling Mercury’s claims “meritless.” The legal battle is expected to continue into the coming months.
Fintech Hits and Misses of 2023
Mary Ann Azevedo looks back at the biggest hits and misses in the fintech industry in 2023. Highlights include Apple’s launch of a competitive savings account, the transition to cashless payments by WeChat Pay and Alipay, and the acquisitions that took place throughout the year. Readers are encouraged to share their thoughts on what they believe was the biggest fintech story of the year.
Analysis
This article by Mary Ann Azevedo gives readers an overview of the latest news and developments in the fintech industry. It covers a wide range of topics, including new venture funds, the launch of HSBC’s Zing app, the Synapse controversy, and the biggest hits and misses of 2023. The article provides valuable insights into the current trends and challenges in the industry, while also highlighting the achievements and successes of various fintech startups. Overall, it is a comprehensive roundup of the top stories in the fintech world.
Analyst comment
Positive news: Foxe Capital, a new venture fund investing in fintech startups, has been launched by Ruth Foxe Blader. The fund is expected to support the growth of fintech startups.
Neutral news: Exponent Founders Capital has closed its second fund, which will be used to invest in early-stage fintech companies. This news doesn’t indicate any significant impact on the market.
Neutral news: HSBC has launched the Zing app, an international payments app. It is expected to attract migrants and frequent travelers looking for an alternative in the space.
Negative news: There is an ongoing legal dispute between Synapse, Evolve Bank & Trust, and Mercury. This legal battle may have a negative impact on the reputation and operations of the involved parties.
Neutral news: An analysis of the hits and misses in the fintech industry in 2023. This news provides a retrospective view of the industry and encourages readers to share their thoughts.
Market prediction: The market for fintech startups is expected to grow, with new venture funds and investments supporting innovation. However, ongoing legal disputes may create uncertainties and affect the market in the short term.
