dora_da_destroyer
Master Baker
Square isn’t targeting the underbanked so much as they made a strategic acquisition in cashapp that expanded their reach. Square was about enabling small business and since expanded into other consumer paymentsNah imo SoFi is targeted to Yuppies. Targeting to yuppies what most companies already do. Its a crowded space to me.
Square is targeted to underserved populations and the unbanked. They're addressing a real problem. Either way my fintech play is SQ.
And a new financial institution for potential high income earners isn’t a crowded space - re SoFi - who else is doing that? It’s a smart play, the big old banks have a terrible rep amongst millennials and were never relevant to gen z. Building an ecosystem that can follow college grads from refinancing student loans, to banking when they get their first jobs, to business and home loans to investing and retirement is a win, there are very few traditional companies that have been able to build brand loyalty amongst younger generations and SoFi has the potential to do that, create lifetime customers. And then like winb keeps mentioning, there’s Galileo. It did 1/4 of the rev stripe did and stripe has a 100b valuation at 50x sales - safe to say Galileo is going to be a winner for SoFi.
Anyway, fintech isn’t just one thing with one segment and 1 or 2 winners. There’s plenty of plays from platform technology, blockchain, payments (B2B and B2C), lending and banking, etc. the financial space has already seen and will continue to see plenty of successful new players
marqeta, stripe, plaid, blend, square, PayPal, SoFi, robinhood, affirm, klarna, coinbase, addepar, brex, chine etc all can eat
edit: love the way this graphic sub segments everything
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