Today in FinTech: Rent Without a Security Deposit; Kroo Granted UK Bank License; Great Tech Wreck Is Not Dotcom Crash

In today’s FinTech news, tenants can rent without a security deposit using a new solution from Obligo and Wells Fargo that offers landlords a letter of credit. Plus, despite the comparisons to the dotcom bubble burst, the great Tech Wreck of 2022 is way too early to call, with digital transformation just out of the starting gate.

Obligo Partners With Wells Fargo for No-Deposit Product for Landlords, Tenants

Obligo is partnering with banking giant Wells Fargo to expand its product offerings. The New York FinTech rental management platform is now the only security deposit alternative using bank-issued letters of credit for landlords and tenants. Landlords and property managers get Wells Fargo letters of credit, while renters get the ability to rent without having to make a deposit.

Microsoft Qatar Teams With CWallet Whose Tech Stack Will Move to Azure

FinTech startup CWallet is migrating its entire technology stack to Microsoft Azure by way of a partnership with Microsoft Qatar. CWallet Founder and CEO Michael Javier said that with Microsoft, it knows it’s getting a “trusted, scalable and robust cloud platform in Qatar.” The partnership also enables CWallet to deliver a high user-end experience to both B2B and B2C customers.

UK Digital Bank Kroo Granted Banking License

U.K. digital bank Kroo has been granted a full banking license by the Bank of England, the first one since Cashplus was granted a license in February 2021. The license gives Kroo, founded in 2016 and with a customer base of 23,000, the power to offer overdrafts, loans and savings products. Customers will also be covered by the U.K.’s Financial Services Compensation Scheme for deposits of up to £85,000.

Kenya’s Nomanini Launches Supply Chain Finance App

Kenyan FinTech platform Nomanini introduced a supply chain finance solution developed to link fast-moving commercial goods (FMCG) with financial service providers. Its StockNow app lets Africa’s informal microbusinesses and small- to medium-sized businesses (SMBs) buy stock online. Following the launch in Tanzania, Nomanini plans to bring StockNow to Egypt, Uganda, Mozambique and the Democratic Republic of Congo.

Why 2022’s Tech Wreck Doesn’t Have to Mean a Dotcom Crash Landing

While there are obvious comparisons between the 2000 dotcom crash and the great Tech Wreck of 2022, there are more reasons now for startups to be optimistic about their futures. Businesses still have a long digital road ahead but most are recognizing that connecting the digital and physical worlds doesn’t require abandoning the physical world and living in the metaverse. Startups can assess the situation and see how their business solves a problem people face now or could face in the future.