F|T: The FinTech Times – Layoffs hit Stripe and Chime

Silouettes of people standing infront of a Stripe logo.
Plus: Mogo might get delisted from the Nasdaq.

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Market watch: Lightspeed, Nuvei increase revenues but reports lead shares to fluctuate (BETAKIT)

Lightspeed and Nuvei’s revenue increases when played against the backdrop of losses appeared to underwhelm investors who, during the current tech downturn, are eager for good news of any kind but are swift to react when it doesn’t meet their expectations.


Digital payments firm Stripe to lay off 14% of workforce (REUTERS)

Stripe Inc, the digital payments giant which was valued at $95 billion in its last funding round, is cutting its headcount by about 14% as startups trying to navigate a tough investment market rush to rein in costs.


Mogo at risk of being delisted from Nasdaq for sub-$1 USD share price (BETAKIT)

If Mogo doesn’t get its share price to float above the $1 USD minimum, it may be eligible for an additional 180 days for its compliance period. If the company is still unable to resolve its bid price deficiency through the applicable compliance period and a reverse stock split, as suggested by Nasdaq, it will be issued a delisting letter.


Chime Slashes 12% of Staff, Marking Latest Casualty in Fintech Meltdown (THE INFORMATION)

Online banking startup Chime, which before this year’s market meltdown had been widely seen as a candidate for a blockbuster initial public offering, is slashing 12% of its 1,300 person workforce, or around 150 people, a spokesperson said.

Ten-year-old Chime was emblematic of last year’s fintech funding boom as customers flocked to apps that help them bank and invest online during the pandemic. The startup rocketed to a $25 billion valuation in a Sequoia Capital-led private funding announced last August.


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How startup CFOs can prepare for their rapidly changing role expectations (BETAKIT)

With global turbulence as a driver, the role of the CFO in a growing, tech-enabled business has now fundamentally changed. In a webinar hosted by Sage Intacct, Daniel Oh, VP of Medium Segment, Sage Canada, and Pamela Steer, President and CEO, CPA Canada, discussed the evolving role of the CFO and the challenges that come along with change.


Crypto Finance Firm Galaxy Digital to Cut One-Fifth of Workforce: Sources (COINDESK)

“While our industry continues to face macroeconomic headwinds, Galaxy remains focused on building for the future state of institutional adoption and on enhancing long-term shareholder value. We are always considering optimal team structure and strategy and will share future plans when finalized,” a Galaxy spokesman told CoinDesk via email.


How Canada can get a big slice of the trillion-dollar global semiconductor market (BETAKIT)

A mix of record-low venture investment for software companies and the economic opportunity of hardware has put renewed importance on building things (literally). And it’s an opportunity Canada can’t afford to miss.


El Salvador’s $300 Million Bitcoin ‘Revolution’ Is Failing Miserably (BLOOMBERG)

President Nayib Bukele tied his country’s fortunes to the digital token, but there isn’t much sign of it. Easier to find: Mass arrests and soldiers with machine guns.


Check out these Q3 Canadian tech venture funding reports:

Investor sentiment goes from FOMO to fussy as deal volume falls to three-year low.
2022 has still already surpassed the previous three years in Alberta venture funding.
Early-stage deals were nowhere to be found. So what comes next?
Amid uncertain climate, investors favour tending existing crops over sowing new seeds.
A flurry of headwinds pummeled Québec’s tech sector into its lowest investment quarter in three years.

Blossom Social secures $750,000 to build “Canada’s first social brokerage” (BETAKIT)

Blossom Social was founded in 2021 during the height of the Reddit-fuelled meme-stock craze by founders inspired by a spike in the popularity of retail investing. The company aims to replicate the social investing model in Canada that has been deployed in other countries by much larger firms like eToro, Public, and Shares.


Canada Announces Crypto, Stablecoin Consultation in New Budget Statement (COINDESK)

“The digitalization of money poses a challenge to democratic institutions around the world. In the last several months, digital assets and cryptocurrencies have been used to avoid global sanctions and fund illegal activities, both in Canada and around the world,” the document said.


Apollo Global to Hold Crypto for Institutional Clients Through Anchorage Partnership (DECRYPT)

Anchorage, which is the first federally chartered digital asset bank in the U.S., will custody a “significant portion” of Apollo’s crypto portfolio. In total, Apollo holds over $500 billion in assets under management.


Cinven snaps up tax preparation software provider TaxAct for $720M (TECHCRUNCH)

TaxAct offers a range of online tax tools and products, targeting individuals, small businesses and professional tax preparers. The company’s history can be dated back nearly 25 years, when it was founded out of Cedar Rapids, Iowa, initially as 2nd Story Software. In the intervening years, it expanded to the cloud and was eventually acquired for $287.5 million by Blucora (then known as InfoSpace) in 2012 before officially changing its name to TaxAct the following year.


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