Exploring Robinhood’s New Gold Card, Banking-as-a-Service Challenges, and the Small Startup That Caught Stripe’s Attention

The banking-as-a-service (BaaS) sector is encountering difficulties, exemplified by recent developments in Synctera. The startup recently underwent a restructuring, impacting approximately 15% of its workforce. This move reflects a broader trend among VC-backed BaaS companies, including Treasury Prime, Synapse, and Figure, which have also implemented layoffs to preserve cash in the past year.

Moreover, regulatory scrutiny is intensifying within the industry. The FDIC issued consent orders against Sutton Bank and Piermont Bank, directing them to enhance oversight of their fintech partners’ compliance with the Bank Secrecy Act and anti-money laundering regulations, as reported by American Banker.

PayPal Ventures has made a significant investment in Qoala, an Indonesian startup offering personal insurance solutions covering various risks such as accidents and phone screen damage. MassMutual Ventures also participated in Qoala’s latest funding round, which raised $47 million.

Meanwhile, New Retirement, based in Mill Valley, has secured $20 million in funding for its software aimed at helping individuals develop financial retirement plans.

Additionally, Zaver, a Swedish B2C buy-now-pay-later (BNPL) provider, has concluded a $10 million extension to its Series A funding round, bringing the total Series A funding to $20 million.