NEW YORK, NY — Global BaaS platform Synapse this week announced the launch of Global Cash, a secure cash management account product that enables residents in more than 35 countries to invest and hold U.S. dollars.
Global Cash allows U.S.-based fintechs to expand their market reach by simplifying the onboarding of international customers through compliance mechanisms. Fintechs abroad can implement a financial solution that grants customers in most locations access to U.S.-based account features.
The company also believes it levels the playing field for people such as freelancers, influencers, and gamers who, especially outside of the U.S., often have difficulties getting paid. Available features include debit cards, bank-to-bank transfers, virtual account numbers for direct debit and direct credit, bill-pay, ATM access, and domestic and international transfers.
“Global Cash delivers on the promise of truly modern, borderless, and equitable access to financial services for customers without geographic limitations,” said Synapse CEO and co-founder Sankaet Pathak.
“With so many entrepreneurial global citizens earning their living on the web, we’ve had an overwhelming demand for this product. Before Global Cash, there was no easy way to deploy global financial products; a company’s options were to build from scratch or integrate with subpar BaaS providers in each country. Synapse eliminates those roadblocks, helping companies facilitate global account services efficiently and simply through a unified platform.”
One Synapse customer that uses Global Cash is Brazilian startup Nomad. Their service allows customers to send local currency to a U.S. deposit account from their home bank and have access to those funds in as little as two business days. Customers also receive physical and virtual cards.
“Because of the intricacies of cross-border transactions, we needed a partner that was authentically global with the experience to understand the finance, technology, and U.S. compliance systems that make this all possible,” said Nomad CEO Lucas Vargas. “Synapse understood our challenges and made life simpler for us. They provided a valuable solution that no one else could.”
The option of opening a fully-regulated U.S. account allows people in economically unstable regions to safeguard themselves from such issues as hyperinflation, instability, or negative interest rates. It also allows them to access services, including receiving payments in US dollars, investing in global markets, FX and transfers, and family-focused financial services.
International startups and enterprise-scale financial institutions can embed banking products into applications and launch those products in weeks thanks to a product suite that includes core banking relationships, payment networks, licensing, and identity and risk management, including Know Your Customer (KYC) and Anti-Money Laundering (AML).
“For many outside of the US, the ability to hold U.S. dollars in a U.S. account and transact through that account establishes a new level of economic freedom. Adequate KYC/AML protections are critically important and can be barriers,” said Stefano Angeli, founder, and CEO of Utoppia. “By solving for compliance inside and out, Synapse enables us to provide these services at the level and scale of the world’s largest banks at a fraction of the cost. And by keeping that cost down, we’re able to provide accessible financial services to a global and more diverse range of customers.”
Tony is a long-time contributor in the fintech and alt-fi spaces. A two-time LendIt Journalist of the Year nominee and winner in 2018, Tony has written more than 2,000 original articles on the blockchain, peer-to-peer lending, crowdfunding, and emerging technologies over the past seven years. He has hosted panels at LendIt, the CfPA Summit, and DECENT's Unchained, a blockchain exposition in Hong Kong. Email Tony here.