Fintech
The latest fintech news for banking professionals.
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Evolve offers Yotta, Juno customers pennies
Depositors affected by the Synapse middleware bankruptcy are pushing back against reconciliation payouts they allege barely scratch the surface of what they’re owed.
By Gabrielle Saulsbery • Nov. 12, 2024 -
FTX suing Binance, founder for $1.76B
The FTX estate is looking to recoup funds it alleged were “fraudulently” transferred to Binance in 2021.
By Gabrielle Saulsbery • Nov. 11, 2024 -
Trendline
Artificial intelligence
Banks are enthusiastic about AI’s promises. But can they get customers on board, and will regulators let the innovation happen?
By Banking Dive staff -
Paze gets new leader amid slow start
Early Warning Services, the bank-owned company that operates Paze, tapped a new leader last month for the digital wallet operation after slow progress in launching the new service.
By Patrick Cooley • Nov. 7, 2024 -
Cross River drops lawsuit against Fiserv subsidiary
The Fort Lee, New Jersey-based lender dismissed its lawsuit against First Data Merchant Services, which was filed in October 2023, without disclosing a reason.
By Rajashree Chakravarty • Nov. 6, 2024 -
Fed aims to make instant payments the norm
“It's going to be up to us to move instant payments from being novel to being normal,” Federal Reserve Financial Services’ chief payments executive told attendees at an industry conference last week.
By Lynne Marek and Patrick Cooley • Nov. 5, 2024 -
Kraken cuts staff, appoints co-CEO and CFO
The crypto exchange has cut about 400 employees, sources told The New York Times, in an effort to be “leaner and faster.” The move comes alongside changes in the company's C-suite.
By Gabrielle Saulsbery • Nov. 1, 2024 -
Singh, fourth FTX exec sentenced, avoids prison
Former FTX engineering chief Nishad Singh showed an “eagerness to assist” the prosecution during its case against Sam Bankman-Fried, and a similar energy to help CEO John Ray in FTX's bankruptcy case.
By Gabrielle Saulsbery • Oct. 31, 2024 -
AI increases fraud risk, fintechs say
Financial firms monitor for fraud by looking for unusual activity, but an artificial intelligence model can be trained to transact like a real person.
By Patrick Cooley • Oct. 31, 2024 -
5 lessons learned from Synapse’s collapse
Ledgering issues, bank partner and regulatory lapses and gross mismanagement led to a shortfall of up to $95 million between bank-held funds and amounts owed to fintech end users, a law firm found.
By Rajashree Chakravarty • Oct. 30, 2024 -
Consensys to slash 20% of workforce
The blockchain software firm best known for its self-custodial MetaMask wallet cited regulatory uncertainty and a push toward “rigorous decentralization.”
By Gabrielle Saulsbery • Oct. 30, 2024 -
NC bank to buy fintech BM Technologies in $67M deal
First Carolina Bank's acquisition of the Pennsylvania-based digital banking platform is expected to close in the first quarter of 2025.
By Rajashree Chakravarty • Oct. 28, 2024 -
Pay-by-bank to be used for bills, Plaid CEO predicts
Plaid CEO Zach Perret expects consumers to use pay-by-bank services for mortgage and utility payments, but is skeptical they will be used to pay at restaurants or for groceries any time soon, he said.
By Patrick Cooley • Oct. 28, 2024 -
Kraken to launch its own blockchain
Ink will be rolled out to retail and institutional users early next year, with the aim to offer decentralized finance to a larger audience.
By Gabrielle Saulsbery • Oct. 28, 2024 -
SoLo Funds hit with lawsuit over ‘tips,’ ‘donations’ features
The proposed class action filed last week in a California federal court alleges the fintech misleads borrowers with advertising that deceptively claims to offer zero-interest loans and no hidden fees.
By Rajashree Chakravarty • Oct. 23, 2024 -
Trade groups challenge CFPB’s open banking rule on Day 1
Liability over data security emerges as a top concern as the Bank Policy Institute and a Kentucky trade group and bank sue the bureau, arguing overreach.
By Caitlin Mullen • Oct. 23, 2024 -
Huntington CFO sees acceleration of fintech venture opportunities
Declining interest rates are opening the gateway for a “regrowth” of funding activity, said Zachary Wasserman, CFO of the Columbus, Ohio-based bank.
By Grace Noto • Oct. 23, 2024 -
Synapse-related funds to be disbursed soon, Evolve says
Customers who are owed money will be asked to choose a payment method Nov. 4, with payments beginning “shortly thereafter,” the bank said Saturday.
By Caitlin Mullen • Oct. 21, 2024 -
Fiserv may grab competitive edge with new bank charter
The payments processor can undercut rivals on price because it won’t be paying bank fees, industry consultants say.
By Patrick Cooley • Oct. 21, 2024 -
OCC hits Florida bank over AML concerns
Maitland-based Axiom Bank agreed to revamp its BSA/AML program and look back at its suspicious activity reporting history.
By Gabrielle Saulsbery • Oct. 18, 2024 -
SoFi, Best Egg get boosts from private credit
Fortress Investment Group extended $2 billion to SoFi and led a $500 million purchase facility to Best Egg to help grow their loan platforms.
By Gabrielle Saulsbery • Oct. 16, 2024 -
Crypto firm Copper hires ex-Goldman exec as new CEO
Amar Kuchinad will replace the founder and current CEO, Dmitry Tokarev, in a push to drive the crypto custodian’s global growth strategy with a focus on fortifying its U.S. presence.
By Rajashree Chakravarty • Oct. 16, 2024 -
Payments players tap M&A to build tech stacks
The Fed’s recent interest rate cut could spur even more deal-making in the remaining months of the year and into 2025. Mastercard, Global Payments and Payoneer are among the companies that have bought businesses this year.
By Shefali Kapadia • Oct. 16, 2024 -
Credit unions, fintechs should face same regulations as banks: Fed’s Bowman
“[Community banks] are also subject to a broader range of restrictions imposed by regulatory requirements…the disparity in the legal framework can have a distortive effect on competition,” Bowman said.
By Rajashree Chakravarty • Oct. 15, 2024 -
LendingClub, Pagaya acquire tech assets of defunct Tally
Tally’s assets will be integrated into the existing products of both firms, according to company spokespeople. Tally shuttered in August this year over failure to raise funds.
By Rajashree Chakravarty • Oct. 10, 2024 -
Grasshopper Bank to buy Auto Club Trust
Grasshopper's deal with ACT, a subsidiary of The Auto Club Group, would increase its assets to $1.4 billion.
By Rajashree Chakravarty • Oct. 9, 2024