Top FinTech funding rounds in the Americas: May 2021

By Pavithra R

Tracking fintech investments by venture capital firms and traditional banks provides a better perspective on the competitive and strategic trends in the industry. Mentioned below is the list of 5 FinTech companies that have raised funds this month.

Wealthsimple

Wealthsimple, a Canadian online investment management service provider has announced that the company has raised $750 mn in an investment round led by Meritech and Greylock. The new round gives Wealthsimple a valuation of $5 billion.

Besides Meritech and Greylock, the investment round saw participation from investors including DST Global, Sagard, Iconiq, Dragoneer, TCV, iNovia, Allianz X, Base 10, Redpoint, STEADFAST, Alkeon, TSV, Plus Capital and others participated in the round, plus prominent Canadian celebrities including rapper Drake, actors Ryan Reynolds and Michael J. Fox, and athletes Kelly Olynyk, Dwight Powell, and Patrick Marleau.

The firm plans to use the finance to give Canadians more, and more powerful, financial products; more efficient ways to grow and manage their money; and make sure that the door to financial freedom is open to every single person.

Circle

Circle, a global financial technology firm that provides payments and treasury infrastructure for digital businesses has announced securing $440 mn in financing from leading institutional and strategic investors to drive market expansion and growth.

The financing fuels the company’s continued growth, organizational development and market expansion opportunities. The funding included investments from leading private equity, institutional and strategic investors, including Fidelity Management and Research Company, Marshall Wace, Willett Advisors, Intersection FinTech Ventures, Atlas Merchant Capital, Digital Currency Group, FTX, Breyer Capital, Valor Capital Group, Pillar VC, as well as Michael J. Price and Friends.

Pipe

Pipe, creators of the world’s first trading platform for recurring revenues, has announced securing $250 mn in strategic equity funding. The investment brought the company at a $2 bn valuation in just under a year since its public launch.

Originally allocated for $150 mn, the round was oversubscribed by $100 mn. The firm plans to use the finance to bolster its platform globally, while also continuing to expand its offering across every recurring revenue vertical including property management companies, direct to consumer subscription (physical products), telecommunications, sports and entertainment, biotech, healthcare, and VC fund management fees.

The funding round was led by Greenspring Associates and saw participation from new investors Counterpoint Global (Morgan Stanley), CreditEase FinTech Investment Fund, SBI Investment, 3L, Sound Ventures and Guy Oseary, and existing investors such as Fin VC, Next47, Marc Benioff’s TIME Ventures, Alexis Ohanian’s Seven Seven Six, MaC Ventures, Republic, and more.

Bitso

Bitso, offering a transparent way to access and use crypto in Latin America, has announced securing a $ 250 mn in Series C funding round led by Tiger Global and Coatue.

The investment round saw participation from new Paradigm, BOND & Valor Capital Group along with existing investors QED, Pantera Capital and Kaszek, who are betting on Bitso’s growth again after their participation in Bitso’s $ 62 mn Series B financing round in December 2020.

The new finance brings the company to a total valuation of $ 2.2 bn, making it one of the largest FinTechs and the first billion-dollar crypto company in the region. The firm is planning to use the fund to increase access to cryptography in the region, with a particular focus on building open-source financial services run on decentralized blockchains.

Figure

Figure Technologies (Figure), a FinTech company leveraging AI, blockchain, and analytics to deliver innovative home equity release solutions and various other products that help improve the financial lives of customers has announced closing a $200 mn Series D funding round at a $3.2 bn valuation.

The investment round was co-led by 10T Holdings and Morgan Creek Digital and saw participation from new investors including DCM, Digital Currency Group, HCM Capital, Ribbit Capital, RPM Ventures, the partners at DST Global and others. The firm has also announced that Sachin Jaitly, General Partner at Morgan Creek, and Stan Mironshik, Partner and Co-Founder of 10T, will join the board.

ALSO, READ : Cool FinTech Report 2021