Klarna Backs Trump’s 10% Credit Card Rate Cap and Takes Aim at US Banks
Hey FinTech Fanatic!
Klarna CEO Sebastian Siemiatkowski publicly backed President Trump’s proposal to cap US credit card interest rates at 10%.
A direct challenge to how the US credit card machine really works. His argument is blunt. Wealthier consumers enjoy rewards and perks, while lower-income households fund them through revolving debt at 30% interest.
Klarna’s model points in a different direction. Less revolving credit. More transparent installments. More competition.
Banks are pushing back hard. Klarna says data from capped-rate markets doesn’t support the horror stories... So the question is: is Sebastian right? I’d love to hear your take.
Crypto markets test public appetite again 👇
BitGo has officially launched its IPO, targeting a $15–$17 price range and planning to list on the NYSE under ticker BTGO.
The company plans to offer roughly 11.8M Class A shares, with most of the proceeds going directly to BitGo rather than selling shareholders. Goldman Sachs is leading the book, alongside Citi and a broad banking syndicate. Learn more below.
FinTech signals coming out of Venezuela 🇻🇪
Before diving into today’s updates, this one caught my attention. From Curaçao, where I’m writing this from, Venezuela feels close, and not only on the map. FinTech activity there is picking up, with implications that ripple across the region.
The story was broken by Jason Mikula, who dives into how sanctions, Payments, and startups are intersecting in unexpected ways. I strongly recommend reading his piece: 👉 Kontigo: Y Combinator's Venezuelan Sanctions Evasion Startup.
Curious where FinTech is heading next? Dive into today’s updates. I’ll be back tomorrow with more stories shaping the FinTech industry.
Cheers,
Marcel
FINTECH NEWS
🇺🇸 Walmart-backed ‘super app’ OnePay hits $4 billion valuation. That’s an increase from the $2.5 billion valuation it secured in 2024 after a $300 million investment round, which Walmart and the investment firm Ribbit Capital led. Read more
PAYMENTS NEWS
🇬🇧 Airwallex to power Arsenal hospitality payments and enhance supporter experience. The upgrade brings a single, fully integrated payments system to Arsenal’s hospitality operation, which will streamline every transaction across premium seating, corporate boxes, and VIP experiences.
🇺🇸 PayPal supports trusted AI checkout with Google. The collaboration aims to create an open, secure, and interoperable commerce infrastructure, allowing merchants to make products purchasable directly through AI-driven experiences, marking a key step toward agentic, AI-powered commerce.
🇮🇳 PhonePe Payment Gateway adds Bolt to secure Visa and Mastercard payments via app. The solution utilises device tokenisation to provide a secure and efficient in-app checkout experience for PhonePe platform users and merchant partners, the company said in a statement.
🇬🇷 IRIS expands limits for instant mobile payments in Greece. Greece’s IRIS payment system will allow both individuals and businesses to transfer larger sums directly via mobile devices, bypassing cards and traditional bank transfers, with immediate settlement.
🇺🇸 Klarna boss backs Trump’s interest rate cap on credit cards. The Chief Executive of the ‘buy now, pay later’ lender, Sebastian Siemiatkowski, who wants to lure customers from big banks, says the move will make the market more competitive.
OPEN BANKING NEWS
🇦🇪 MoneyHash and Spare announce strategic partnership to advance open banking adoption in the region. The partnership enables merchants to offer Pay By Bank solutions in the UAE, helping reduce payment costs, shorten settlement times, and deliver a seamless customer experience.
DIGITAL BANKING NEWS
🇰🇼 The National Bank of Kuwait introduces a new online Platform with a smarter interface and faster transactions. Customers can now navigate services more easily, with quick access to accounts, transfers, bill payments, and product applications through a consolidated and organized interface.
🇿🇦 Swissquote searches for a South Africa CEO, a role that will focus on expanding the bank's network of wealth managers and institutional clients across the region. The Swiss bank wants someone with a background in digital banking and offshore solutions who can grow its institutional and B2B2C business.
🇰🇷 Kbank clears KOSPI preliminary review and advances third IPO attempt. The Korea Exchange (KRX) Stock Market Division said it had determined Kbank eligible in the preliminary review for a new listing. It comes about two months after Kbank applied for the preliminary review in November last year.
🇺🇸 FIS launches industry-first offering enabling banks to lead and scale in agentic commerce. Through collaboration with global payment networks, AI-initiated transactions are executed within existing authorization, authentication, and dispute frameworks trusted by banks, merchants, and consumers worldwide.
🇫🇷 Revolut establishes itself as BoursoBank's main challenger in France. In 2025, it acquired 2.5 million new gross customers, allowing it to claim that it has surpassed the 7 million customer mark in the country. Revolut aims for 10 million customers by 2027, while also strengthening its presence in Paris.
🇱🇷 First Atlantic Bank secures approval to operate in Liberia. FAB plans to support trade, entrepreneurship, and financial inclusion, offering modern and reliable banking solutions tailored to the local market’s needs. Keep reading
🇧🇷 Central Bank denies license to FinTech that suffered a hacker attack in 2025. Currently, an indirect participant in Pix, E2, will not be able to provide payment services, subject to authorization from the Central Bank. The FinTech will not be able to provide payment services subject to authorization from the monetary authority.
BLOCKCHAIN/CRYPTO NEWS
🇦🇪 Zand adopts XDC Network to advance blockchain-powered payments. With this integration, corporate and institutional clients would be able to custody assets with XDC Network, through Zand’s institutional-grade digital asset custody service, subject to applicable regulatory approvals.
🇺🇸 BitGo Holdings announces launch of Initial Public Offering. The offering consists of 11,000,000 shares of Class A common stock being offered by BitGo and 821,595 shares of Class A common stock being offered by certain existing stockholders of BitGo.
🇺🇸 StanChart said to prepare crypto expansion with prime brokerage. The London-based lender will house the new business within its wholly owned venture capital unit, SC Ventures. Continue reading
🇧🇷 BityBank is betting on a digital banking experience to popularize the use of cryptocurrencies in Brazil. The platform allows users to have a digital account in Brazilian reais and also in more than 200 types of cryptocurrencies, in addition to a card for direct crypto payments and cashback programs.
PARTNERSHIPS
🇺🇸 Checkout.com secures approval for Georgia Bank charter, accelerating US expansion. The milestone supports deeper US expansion, direct card network integration, and faster innovation for merchants, with operations anchored in Atlanta alongside existing offices in New York and San Francisco.
🇯🇴 MEPS introduces Click to Pay through Mastercard Gateway in Jordan. Through this partnership, MEPS will enable licensed banks, payment service providers, money exchange houses, and FinTechs to deliver secure and convenient cross-border payment solutions. Additionally, Al Ahli Bank of Kuwait - Egypt and Mastercard announce a strategic collaboration to advance digital innovation in Egypt. Mastercard will equip ABK-Egypt with advanced digital solutions that simplify payment processes and enhance security, enabling consumers and businesses to transact seamlessly.
🇦🇪 Botim Money collaborates with Mastercard to expand and accelerate embedded cross-border payments. The integration enables botim money users to send money from the UAE to over 150 countries, with payouts delivered to a bank account, mobile wallet, or cash pickup, depending on the market, directly from the botim app.
🇺🇸 Paychex and PayPal team up to bring direct deposit alternatives into Paychex Flex® Perks. Through this collaboration, employees of Paychex customers have the ability to easily set up PayPal Direct Deposit, providing up to two-day early access to their paychecks.
🇸🇬 Ant International partners with Google’s Universal Commerce Protocol to expand AI capabilities. UCP establishes a common language for agents and systems to operate together across consumer surfaces, businesses, and payment providers to enable commerce. Additionally, Rokid and Ant International announce the integration of smart glasses payment capability. The integration allows users to complete payments through Rokid AI&AR products using supported digital wallets connected via Alipay+, enabling hands-free, AI-powered AR transactions.
🇨🇳 UnionPay International and Samsung Wallet launch global mobile payment collaboration, debuting in Hong Kong, China. This partnership will significantly expand the global reach of UnionPay's mobile Pay service among Android users worldwide and accelerate local digital card issuance.
🇺🇸 Bilt and Verifone partner to transform the customer experience across neighborhood merchants. Delivered via the Verifone gateway, the solution offers a pre-certified, enterprise-grade integration path across a broad set of acquirers, reducing deployment risk and accelerating time to launch for merchants.
🇷🇴 Vista Bank integrates RoPay Alias. RoPay Alias complements the RoPay services offered by Vista Bank to individuals. The new service allows individual clients to send and receive amounts in RON directly from their mobile banking apps, without needing additional account details such as IBAN or account holder name.
DONEDEAL FUNDING NEWS
📊 There are 8 FinTech companies listed in the most in-demand startup secondary shares in Q4 '25 Top 30👇
🌍 Bluecopa bags $7.5 Mn to fuel global expansion. Bluecopa will utilise the new funds to accelerate product development and deepen its presence across APAC, North America, and the Middle East. Read more
🇺🇸 Onsetto raised $2.2 million in seed funding. Onsetto said the new capital will be used to continue investing in product development and to scale sales and marketing. The platform aims to help financial institutions move payments faster, fund new accounts earlier, and surface treasury opportunities sooner in the onboarding lifecycle.
🇺🇸 VelaFi raises $20 million in Series B to expand stablecoin payments infrastructure. The funds will be used to expand licensing, banking connectivity, and operations in the U.S. and Asia. The company provides stablecoin-based payment and treasury infrastructure for enterprises operating across multiple regions.
🇧🇷 BlackOpal secures $200m to tokenize Brazilian credit card receivables. BlackOpal has launched GemStone, designed to provide emerging-market yields without direct credit risk. GemStone acquires receivables through true sale with ownership registered via Brazil’s central registry and automated collections through Visa and Mastercard rails.
M&A
🇺🇸 FIS completes strategic acquisition of global payments’ issuer solutions business and sale of Worldpay stake. With this acquisition, FIS now processes a comprehensive data set across consumer and commercial card portfolios, creating a data intelligence engine that few in financial services can match.
🇺🇸 Bakkt set to acquire Distributed Technologies Research. The transaction was negotiated, evaluated, and approved by an independent special committee of the Bakkt Board of Directors following a comprehensive review process to ensure robust governance for Bakkt and its shareholders.
MOVERS AND SHAKERS
🇬🇧 Flagstone appoints FinTech Operations Specialist, Arman Tahmassebi, as new CEO. Arman brings more than 25 years of senior operational and executive leadership at some of the UK’s most innovative financial services businesses. Continue reading
🇲🇾 Rafiza Ghazali steps down as CEO of KAF Digital Bank. Rafiza has led KAF Digital Bank since June 2022 and played a key role in steering the lender through its regulatory approval and market entry phases. She will officially conclude her employment with the Islamic digital bank on 31 January 2026.
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