Hey Fintech'ers 👋

Happy Sunday! Welcome to 📰 Fintecher Stories – March 23rd, 2025.

Whether you’re easing into the afternoon with a second coffee ☕, catching up on this week’s AI power plays 🤖, or sizing up fresh market moves 📉—your 5-minute fintech fix has landed, right on cue.

This edition wraps a week shaped by bold funding headlines, ethical AI debate, and a courtroom drama worth watching. From Perplexity’s $18B valuation talks and Hugging Face’s open-source rallying cry, to Tink’s Pay by Bank surge and Chime’s instant credit rollout, there’s a lot in motion. And yes, the Charlie Javice trial is turning into a case study in fintech overreach.

So kick back, scroll on 🪑📱, and tap into the fintech signals that matter most right now. 🚀✨

👉 Subscribe here

Delving into the leading 5 fintech stories of the week:

🗞️ Story 1: "Perplexity in Talks to Raise $1B at $18B Valuation." 💰🤖📈

🗞️ Story 2: "Chime Launches Instant Loans for Pre-Approved Users." ⚡💳📲

🗞️ Story 3: "Tink Hits €100M Daily Peak as Pay by Bank Surges." 🏦📈💶

🗞️ Story 4: "Hugging Face Urges Open-Source Focus in EU AI Strategy." 🧠🌍🔓

🗞️ Story 5: "Charlie Javice Trial Becomes a Fintech Reckoning." ⚖️💼🔥

🗞 Story #1

Perplexity AI, an AI-driven search engine, is reportedly in discussions to raise between $500 million and $1 billion, potentially doubling its valuation to $18 billion. Backed by investors like Jeff Bezos and SoftBank, Perplexity aims to enhance its platform to compete with Google's Gemini and OpenAI's ChatGPT. The company recently introduced Comet, an AI-powered web browser designed for complex searches and tasks. Despite facing plagiarism accusations from media organizations, Perplexity maintains a publisher partnership program to collaborate with news firms.

💡 Why It Matters: Perplexity's aggressive funding efforts underscore the escalating competition in the AI search domain. Doubling its valuation within months reflects investor confidence in AI's transformative potential. As AI integration becomes ubiquitous across sectors, companies like Perplexity are at the forefront, challenging established players and driving innovation in how we access and process information.

📰 Read full story here

🗞 Story #2

Chime has launched 'Instant Loans,' offering pre-approved members three-month instalment loans of up to $500. Eligible members are notified within the Chime app and can access funds instantly upon acceptance. Repayments are automated and designed not to exceed 10% of monthly cash inflows, ensuring affordability. Notably, Chime requires no credit check to qualify, leveraging its proprietary technology platform and rich data sources to determine eligibility. Additionally, on-time payments can help members build credit over time, as Chime reports payment activity to credit bureaus.

💡 Why It Matters: Chime's introduction of 'Instant Loans' reflects a shift towards more accessible and user-friendly financial services. By eliminating traditional credit checks and offering immediate access to funds, Chime addresses the growing demand for flexible financial solutions, particularly among younger, tech-savvy consumers. This move could set a precedent for other fintech companies to innovate in the lending space, potentially disrupting traditional banking models.

📰 Read full story here

🗞 Story #3

Open banking platform Tink has reached 10,000 merchants using its 'Pay by Bank' service and achieved a €100 million daily peak in payment initiation services across Europe. Through partnerships with payment service providers like Adyen, Tink's solution enables quick mobile checkouts directly from bank accounts, reducing manual data entry and fraud risk. The service's growth reflects increasing merchant and consumer adoption of open banking payments, offering a streamlined alternative to traditional card payments.

💡 Why It Matters: Tink's milestones highlight the rapid adoption of open banking solutions, signaling a shift towards more efficient and secure payment methods. As consumers and merchants seek alternatives to traditional payment systems, services like 'Pay by Bank' offer streamlined experiences that could redefine transaction processes across Europe. This evolution challenges incumbent financial institutions to innovate and adapt to changing consumer preferences.

📰 Read full story here

Story #4

AI company Hugging Face advocates for a greater emphasis on open-source development in the European Union's AI Action Plan. The company argues that open-source frameworks can drive innovation, ensure transparency, and prevent monopolistic control in the rapidly evolving AI landscape. By promoting collaboration and accessibility, open-source initiatives can democratize AI development, allowing a broader range of stakeholders to participate and innovate. This approach could lead to more ethical and diverse AI applications, balancing the influence of major tech corporations.

💡 Why It Matters: Hugging Face's call emphasises the importance of open-source contributions in shaping the future of AI. By promoting collaboration and accessibility, open-source initiatives can democratise AI development, allowing a broader range of stakeholders to participate and innovate. This approach could lead to more ethical and diverse AI applications, balancing the influence of major tech corporations.

📰 Read full story here

🗞 Story #5

The trial of Charlie J., founder of the student financial aid platform Frank, has revealed significant missteps from both Javice and JPMorganChase , which acquired Frank for $175 million. Testimonies indicate alleged data fabrication to inflate user numbers and inadequate due diligence by JPMorgan, leading to a contentious legal battle. The case underscores the importance of thorough vetting processes in fintech acquisitions and the potential pitfalls of rapid expansion without proper oversight.

💡 Why It Matters: This trial serves as a cautionary tale about the consequences of inadequate due diligence and ethical lapses in fintech acquisitions. The revelations highlight the need for rigorous verification processes and ethical standards to maintain trust and integrity in the rapidly evolving fintech sector. As the industry continues to grow, stakeholders must prioritise transparency and accountability to foster sustainable innovation.

📰 Read full story here

And that's a wrap fintech'ers, till next week. 🎬👋

Join the weekly conversation and if you find these insights useful, please hit subscribe and do share Fintecher Stories™ with anyone you think might enjoy this!

Not a subscriber yet?

Get your fintech fix in just 5 quick minutes each week. 📰🚀🕒

👉 Subscribe here