As financial services are evolving, Banking as a Service (BaaS) platforms have solidified their position in modern fintech innovation architecture. Just a few days ago, BaaS provider Synctera has secured $15 million in its last funding round, strengthening its stature as an important player in embedded finance. The other major highlight accompanying this funding milestone is the signing of Synctera’s first customer, online checkout giant Bolt. Investors are backing Synctera’s mission while it gears for more strategic integrations.
Looking ahead, this company seems to be doing everything else except refashioning how businesses build or scale their fintech applications. Founded in 2020, Synctera is led by former head of Uber Money, Google Wallet and CPO of Yodlee, Peter Hazlehurst as CEO, with co-founders CTO Kris Hansen and head of the product, Dominik Weisserth. The platform provides fintech applications and embedded banking products to businesses of different sizes using its partnerships with various banks.
Funding and Strategic Alliances
Fin Capital and DiagraM Ventures are co-led a $15 million funding round for Synctera. First & Main, Evolution and True Equity also took part. All this brings total investment in Synctera to $94 million while continuing to reinforce investor confidence in the momentum of its growth.
What is further interesting in this round is that Bolt, the frontrunner in online checkout services, will partner with Synctera to utilize the latter’s BaaS capabilities in bringing financial services to consumers along with more than just e-commerce transactions. Also announced was the integration of Synctera into Hawk, some AI-powered financial crime prevention firm, to enrich its fraud detection and compliance capabilities, thus rendering banking solutions even safer and more efficient.
CEO’s Vision for Growth
The CEO of Synctera, Peter Hazlehurst, gave an impression of confidence in which the company is directed. Hazlehurst said,
“We are very pleased to earn the trust of increasingly larger and more complex customers and partners.
The ongoing evolution of our business and steadfast support of our investors enable us to continue to drive scalable growth and excellence for our customers and community of banks”
Following the new investment and partnerships, it is clear that Synctera is prepared to further extend its reach as a foundational player in the embedded finance space. In an increasingly pressing time for BaaS solution providers, Synctera’s agility and innovation will be instrumental in defining the fintech world.
Embedded finance is highly convenient for various types of businesses. As the name says, it refers to embedding or integrating the financial services seamlessly into the apps and service level of companies that are outside the finance industry. One example would be, at retail stores, customers can benefit with a buy now, pay later (BNPL) option that actually provides third-party loans integrations at point-of-sale. Hence, using APIs, companies integrating with banking, lending, insurance, and investment services, with their customer offerings that link to financial partners.
The shift in financial technology is bringing the most recent funding rounds from Synctera, along with its increasing list of high-profile customers, into sharp focus where more demand for flexible and scalable banking solutions lies ahead. With a total of $94 million in funding, core partnerships, and a commitment to innovation, the company identifies itself as a leader in the space of embedded finance. The more competition the company faces within its BaaS sector, the more critical it will be for Synctera to find its comfort in its growth with integration, security, and compliance.
