FinTech Novea Raises $55M to Advance InsureTech Platform

Investments

FinTech software firm Novea raised $50 million in equity and $5 million in debt financing that will be used for its subsidiaries Jacana Warranty and Jacana Insurance to advance their positions in the consumer warranty and service contracts industry, according to a Monday (Dec. 20) press release.

The funding was led by Newpoint Financial Group, which will get 10% of Novea’s outstanding common stock and convertible redeemable preferred shares.

As part of the deal, Newpoint will also extend a $5 million, five-year, revolving line of credit to Novea, which it can use for operational and overhead expenses.

See also: How Embedded Finance Reshapes, Modernizes Business Payments

As part of the funding deal, Newport will also have the option of purchasing up to $50 million in shares of Novea common stock over the next 10 years. If exercised in its entirety, the transaction value increases to $105 million.

Newport will have a seat on Novea’s board of directors and the risk committee. The company’s reinsurance company will also have the right of first refusal on all Novea “reinsurance business opportunities as well as other customary covenants and monitoring rights.”

Read more: New Data: 67% of Insurance Carriers See Need to Digitize Payments

“We couldn’t have asked for a better financial and reinsurance partner than Newpoint Financial. With this funding, we not only ensure moving Novea to the next level, but we are able to reward our existing long-term investors with a significant appreciation of their Novea shares as this transaction imputes a $500 million market value of Novea,” said Jim Quinlan, CEO of Novea.

“Over the past couple of months, we have been closing multiple new customer contracts which represent significant sales growth for 2022, and we are looking to close out this year’s sales pipeline with contracts value in excess of $10 million in potential new sales,” Quinlan added.


Binance Tops PYMNTS’ Provider Rankings of US Cryptocurrency Apps

Cryptocurrency apps in the U.S. have surged in popularity due to factors such as the potential for profit, low transaction fees, and increasing user accessibility. These platforms allow users to trade cryptocurrencies easily, offering a decentralized, peer-to-peer model that reduces reliance on traditional financial institutions.

The ability to buy low and sell high has attracted investors seeking financial gains, while lower fees compared to traditional payment methods make these apps more appealing for online transactions. The increased acceptance of cryptocurrencies by businesses, along with advancements in blockchain technology, security, ease of use, and high liquidity, is fueling the belief that crypto could shape the future of finance.

PYMNTS’ Provider Rankings of Cryptocurrency Apps evaluate the performance of leading platforms based on factors such as user experience, transaction volume, security features and customer service. By analyzing consumer preferences and industry trends, these rankings provide insights into which apps are best meeting the needs of cryptocurrency users, and highlighting the platforms that offer the most reliable, user-friendly and innovative services.

The Top 5

No. 1 is Binance with 98 points.

Founded in 2017, Binance offers a range of services for new and experienced investors. The platform supports over 350 cryptocurrencies, including popular options like bitcoin and ethereum, along with niche altcoins. This variety, combined with high liquidity, ensures users can quickly execute transactions with minimal price slippage.

A key feature of Binance is its competitive fee structure, which includes discounts for paying with Binance Coin (BNB), making it attractive for frequent traders. The platform also provides advanced trading tools, such as charting and real-time data, and offers margin and futures trading. Its user-friendly interface, including a mobile app, makes it accessible to traders of all experience levels.

Security is a top priority for Binance, with multi-signature wallets, two-factor authentication (2FA), and a Secure Asset Fund for Users (SAFU) protecting funds and personal information. Binance also offers staking, lending and savings options for passive income, appealing to long-term investors.

No. 2 is Bybit with 91 points.

Bybit is accessible in over 180 countries and offers an intuitive mobile app that provides most of the desktop version’s features, making it convenient for users to manage their crypto investments anywhere. With access to more than 1,200 cryptocurrencies, Bybit allows users to buy, sell, and trade with ease, while offering up to 100x leverage for experienced traders looking to maximize potential profits.

Additionally, Bybit offers Bybit Earn, a feature that allows users to earn interest on their cryptocurrency holdings. This range of services and tools caters to beginner and experienced traders, making it a popular choice in the crypto space.

Tied for second with 91 points is Crypto.com.

Based in Singapore, Crypto.com offers a wide range of services including an app, exchange, DeFi wallet, and NFT marketplace, providing access to over 350 cryptocurrencies. The Crypto.com app allows users to buy, sell and track cryptocurrencies with more than 20 fiat currencies, offering features like price alerts, recurring buys, and TWAP bots to optimize trading. Users can also earn interest on their holdings, spend crypto through the Crypto.com Visa Card, and receive up to 5% cash back on purchases.

For more advanced traders, Crypto.com’s exchange supports over 200 cryptocurrencies, with spot, margin and derivatives trading options. It offers low fees and discounts for those who stake its native token, CRO. The platform also includes automated trading bots and emphasizes security with 2FA.

KuCoin and Coinbase round out the top five with 83 and 76 points, respectively.

Nos. 6-10

Checking in tied at No. 6 with 74 points is HTX and OKX.

Nos. 8-10 comprise MEXC, Blockchain.com, and BTCC with 65, 62, and 54 points, respectively.