So far this year we have seen so many negative stories about banking as a service. You could be forgiven that BaaS is dying a slow and painful death.
Here is one data point to refute that. Synctera, a BaaS standout, has raised $18.6 million in what the company is calling a Series A extension.
The money is going to be used for international expansion as the company seeks to sign on international firms looking for U.S.-based services. They have already signed on with a Latin American investment bank and an African fintech.
What seems clear is that the BaaS space is going through a reckoning in 2024 and only the strong will survive. As CEO Peter Hazlehurst told Axios, “What’s happening right now is a game of who’s going to survive the bad sentiment curve and get back on the other side.”
He also said that Synctera has significantly tightened its requirements on the types of fintech companies it will deal with.
The Series A extension was led by existing backers Lightspeed and Fin Capital.
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> Synctera raises $18.6M for international expansion
Banking as a Service provider Synctera raised an $18.6 million Series A extension led by existing backers Lightspeed and Fin Capital.
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