Welcome to TechCrunch Fintech!
This week we’re looking at how fintech heavyweights such as Klarna and Stripe are incorporating crypto into their strategies, which companies are planning for IPOs, one fintech’s Super Bowl ad, Stripe’s new lead of startups and venture capital, and more!
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The big story
Klarna CEO Sebastian Siemiatkowski posted in a February 8 post on X that he and Klarna would “embrace crypto.” The Swedish buy now, pay later giant is also said to be planning a U.S. initial public offering in April with a target of a $15 billion valuation, according to the Financial Times. Even though this would be about one-third lower than its peak valuation of $45.6 billion in 2021, it would still be “one of the biggest listings of the year,” reports FT. Klarna was valued at $6.7 billion when it raised $800 million in 2022.
Dollars and cents
Khazna, an Egyptian fintech startup that offers financial services tailored toward low- and middle-income workers, recently secured $16 million in pre-Series B funding, bringing its total funding to over $63 million.
Rapyd Financial Network is looking to raise $300 million in a new funding round that would value the global payments platform at $3.5 billion, a considerable decrease from its approximately $9 billion valuation set in 2021.
Fintech-turned-HR outfit Deel is trying to lay the groundwork for an IPO. On February 4, it said its annual revenue run rate climbed to $800 million in 2024 after growing by 70%. It also sold $300 million in secondary shares to General Catalyst and an unnamed “sovereign investor.”
Superlogic, a startup that helps give consumers a way to apply rewards points toward experiences such as courtside tickets to NBA games, has raised $13.7 million at a $200 million valuation.
A clearer picture of Bench’s downfall is emerging thanks to newly released bankruptcy filings. The records show that the Canada-based startup, which ironically enough offered cloud accounting software for small businesses, consistently struggled to reach profitability. It burned through $135 million from its founding in 2012 to September 2024. By the time of its collapse, Bench was forced to shut down due to a “liquidity crisis,” the records say. The company has since been acquired by Employer.com. However, Bench’s bankruptcy offers a window into the dangers of too much debt for startups. Charles Rollet takes a look.
Stripe has closed on its $1.1 billion purchase of stablecoin platform Bridge — marking the payment giant’s largest acquisition to date and tangible push into crypto.
In other Stripe news, TechCrunch learned that the payments giant has tapped Asya Bradley to serve as its Startups and VC Partnerships lead. Bradley previously held revenue roles at Synapse and Sila. She’s also an LP in venture funds Ganas Ventures and Cowboy Ventures.
Philadelphia Eagles’ star running back Saquon Barkley has not only become an investor in fintech startup Ramp, but he was also the star of the company’s first Super Bowl commercial.
High-interest headlines
US consumer finance watchdog (CPFB) chief tells all staff to cease work, days after the Trump administration closes the bureau’s headquarters for a week.
Plaid working with Goldman Sachs on raising $300M to $400M in tender offer
Thanks for reading! Until next week … Follow me on X @bayareawriter for breaking fintech news, posts about coffee, and more.
