Fintech Quanto closes US$15 million to give open banking power to the people

Contxto – Brazil will begin rolling out its open banking regulations as of next November. And as the date rolls closer, more funding rounds for startups in open banking are being announced.

Case in point is São Paulo-based fintech Quanto who this week disclosed it raised US$15 million. Itaú Bank and Bradesco led the investment and were joined by others such as Kaszek Ventures and Coatue Funds.

Quanto will use the money to hire more staff, mainly for its tech department.

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Data to the people, says Quanto

When it comes to open banking, the majority of startups in Latin America laud the way in which they level the playing field between fintechs and banks. They also hail its use to give consumers more options that suit their needs.

Though more often than not, these open banking fintechs’ products don’t directly address the final consumer whose data is being sent around.

Within this reality, Quanto stands out. Besides offering a platform for traditional and digital banks to connect and share users’ financial data, it also wants to give consumers control of this information.

Correspondingly, the startup plans to enable users to handle who has access to that financial data via its app.

“Often a person requests a quote for a loan from several institutions, but closes with only one,” says Ricardo Taveira, CEO at Quanto. “So we allow for an easy retrieval of data from those that weren’t chosen.”

For consumers, this service will come at no charge. 

And in a world that’s increasingly conscious/wary about data-sharing this type of service is certainly a welcome one.

A chance to achieve more

In countries like Brazil and Mexico with regulations that directly address open banking, it’s not just an opportunity for platforms like Quanto to close equity.

The term “open banking” itself is limiting. It can mislead one into believing it’s just for sharing info like a person’s credit history or balance on their account.

Rightly so it’s also a gateway towards open finance where other products like insurance or even mortgage requests can be processed in a more efficient and user-friendly way.

Related articles: Tech and startups from Brazil!

-ML