Kamino, a FinTech working on a product to help startups with international structure, has raised $6.1 million in a funding round, Bloomberg Linea reported Tuesday (March 15).
Kamino’s goal is to help Latin American startups raise from global funds. Per the report, the platform is a response to the traditional requirement that startups must have financial accounts outside of Brazil.
Several things are added to the legal structure, including a hub of financial services like digital accounts and credit cards for the startup. As the report noted, these suppliers and services are aggregated, rather than the company creating a new path.
Because of that, the startup doesn’t have to go through every step individually, thanks to partnerships with law and accounting firms and financial institutions like Silicon Valley Bank.
Startups are “stuck” if they haven’t received the funding in Brazil, so the founders of Kamino reportedly wanted to change things by offering opportunities to get lines of credit until the external capital arrives. Meanwhile, the FinTech also helps with corporate, offshore and foreign exchange aspects.
PYMNTS recently wrote that the Central Bank of Brazil has rolled out stricter regulations for FinTech firms, with new regulations based on the size and complexity of companies and tougher standards for required capital.
See also: Brazil Imposes Stricter FinTech Rules
The new rules are planned to take effect in January 2023, and they are expected to have been fully implemented by January 2025.
The rules will extend requirements now used for conglomerates of financial institutions, and will now include financial conglomerates run by payment institutions. That will likely impact companies like Nubank, a credit card issuer, along with payment firm PagSeguro and digital wallet PicPay.
The capital circulation will also not take into account assets without much value for payment institutions’ functioning, so companies can absorb unexpected losses.
——————————
NEW PYMNTS DATA: 57% OF CONSUMERS PREFER ADVANCED ID VERIFICATION AFTER TRYING IT
About:Fifty-seven percent of consumers who’ve used advanced ID verification methods such as voice recognition when contacting customer service say they’d do it again. The Consumer Authentication Experiences report, surveyed nearly 3,800 U.S. consumers to learn how offering innovative verification experiences is helping businesses deliver superior customer service across all channels.
Credit: Source link
