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TechCrunch Fintech Weekly: PayPal, Stripe, and More

Dive into the latest news and insights from the world of fintech, including PayPal's potential mobile wallet, Stripe's impressive cash flow, and Bolt's controversial fundraising attempts. We'll also examine the latest developments in AI fintech, and the fallout from the collapse of Synapse, a banking-as-a-service startup.

PayPal's Potential Mobile Wallet

PayPal is poised to take advantage of the iPhone's newly opened-up NFC (near-field communications) capabilities by developing a mobile wallet of its own for EU users. This move comes after Apple announced it would allow third-party developers to access new NFC and Secure Element APIs, which today power contactless transactions and payments.

• This could be a significant challenge to Apple Wallet, which currently dominates the market for contactless payments on iPhones.
• While PayPal hasn't explicitly confirmed its plans, the company has hinted that developing a competing wallet is in the works.

Stripe's Cash Flow

Stripe, the payments giant, is reportedly self-funding a tender offer that will allow current employees to sell up to $50,000 of eligible shares. A source familiar with the deal confirmed to TechCrunch that Stripe had $615 million in free cash flow in the quarter that ended in June.

• This move underscores Stripe's strong financial position and its commitment to its employees.
• Stripe's cash flow is a testament to its success in the payments processing industry.

Bolt's Controversial Fundraising Attempts

Bolt, a fintech startup, has proposed a $200 million Series F raise and a $250 million "marketing credits" deal. This move has raised eyebrows in the fintech world, with some questioning its aggressive approach.

• As part of the deal, founder Ryan Breslow would come back as CEO and receive a $2 million bonus and an additional $1 million of back pay.
• It remains to be seen whether Bolt's fundraising attempts will be successful.

AI Fintech Startups Making Waves

Magie, a Brazilian fintech startup, has raised $4 million in seed funding for its AI-powered financial assistant. The company's product allows people to send money and pay bills through WhatsApp.

• Skyfire, a startup that has created a payment network specifically for AI agents to make autonomous transactions, has officially launched its network and announced $8.5 million in seed funding.
• Waza, a Y Combinator-backed payment and liquidity platform, has emerged from stealth with $8 million in seed funding.

The Fallout From Synapse's Collapse

The founder of bankrupt banking-as-a-service startup Synapse, Sankaet Pathak, has launched a new robotics startup called Foundation and raised $11 million in pre-seed money. This move has surprised many, given that tens of millions of dollars in customer deposits remain unaccounted for following Synapse's collapse.

• Pathak continues to blame partner bank Evolve for the missing cash, while Evolve points the finger back at Synapse.
• The collapse of Synapse highlights the risks associated with banking-as-a-service startups.

TechCrunch's Fintech Hiring Post

TechCrunch has put out a call for fintech companies that are hiring, and the response has been overwhelming. The company plans to update its hiring post regularly, so keep checking back.

• This initiative is intended to help fintech companies find talent and connect with job seekers.
• It is a testament to the strong demand for talent in the fintech industry.

Conclusion

The fintech landscape is constantly evolving, with new startups emerging and established players innovating. From PayPal's potential mobile wallet to Stripe's impressive cash flow, there is plenty to keep an eye on in the world of fintech. This week's roundup provides a glimpse into some of the key trends and developments shaping the industry.