Miranda’s Fintech Monitor

April 24, 2023

Mexico FinTech News 

New head, new 2023 report fromMexico’s FinTech Association 

Bitso’s chief regulatory and corporate affairs officer, Felipe Vallejo, was named head of Asociación FinTech. Felipe is expected to help build consensus among the members to push a regulatory agenda to modify existing laws and regulations to promote the continued growth of the industry and counter the incumbent banks. The association is comprised of over 180 members ranging from companies like Clip to Nu México. Meanwhile, the FinTech Association released its 150-page must-read 2023 report on the state of FinTech in Mexico. Among many topics, the report highlights how on average the approval process for FinTechs regulated under Mexico’s Fintech Law takes over two years. Good as it is, the report does not really address the elephant in the room – after five years of FinTech laws and investments, why is the use of cash stillso prevalent in Mexico, why do so manyMexicans still not have banks accounts, and why is credit penetration still so low?  

Expansión, 04/19/2023, Staff: La Asociación Fintech de México tiene nuevo presidente 

Asociación Fintech, 04/18/2023, Staff: Reporte Annual Fintech Mexico 2023 

This Week in Fintech, 04/18/2023, Sara VanVelkinburgh: Why FinTech Has Failed Mexico’s Unbanked  

FinTechs taking on credit access in Mexico 

YoCripto launched a new credit card with a 100% approval rating designed specifically for adults 25-40. Through a one-time payment, users will be able to secure their credit line. The users will also receive 3% back on all purchases in Bitcoin Rewards. YoCripto was the first card in Latin America to offer crypto benefits. Similarly, open finance FinTech Belvo announced it would use data collected by Mexico’s Social Security Institute (IMSS) to allow users to verify their income andemployment history to prove creditworthiness.According to statistics from Mexico’s INEGI, only 32.7% of Mexicans have a formal credit line.