By Elisa Martinuzzi and Brad Haynes
DAVOS, Switzerland (Reuters) – Nu Holdings Ltd (BVMF:), the fintech that created Latin America’s most dear lender in Nubank, is contemplating transferring its authorized domicile to Britain forward of a world enlargement which will embody america, its founder and CEO David Velez informed Reuters.
“We’re actively considering what are a number of the jurisdictions that make sense for us to think about, as we take into consideration the following 10 years of world enlargement,” Velez stated on Monday.
“We’re contemplating the UK,” he added, whereas cautioning that tax modifications carry “uncertainty by way of jurisdiction and the place to function,” Velez stated in an interview on the sidelines of the World Financial Discussion board’s annual assembly in Davos.
Since Velez began Nubank’s operations in Sao Paulo greater than a decade in the past, it has grown previous 100 million clients in Brazil, Mexico and Colombia, making it one of many world’s largest digital challenger banks.
Velez stated President Donald Trump’s new U.S. administration, which has signalled a possible embrace of regulation for digital property resembling cryptocurrencies, ought to create a extra beneficial surroundings for Nubank to think about getting into that market.
“With the U.S. getting on board, fintech and crypto are again,” Velez stated. “When an administration all of a sudden sees fintech as being good for shoppers and extra competitors, that makes it extra engaging.”
Whereas Europe is a related market from a measurement perspective, Velez stated it’s not a precedence for Nubank to launch companies, given the regulatory and aggressive surroundings. As an alternative, he stated a possible European domicile might function a authorized presence from which to handle the group and recruit expertise.
Nubank, which is domiciled within the Cayman Islands, already has about 40 staff working from workplaces it opened in Berlin in 2017.
Requested about increasing internationally, Velez stated Nubank’s $150 million funding final month in Singapore-based digital financial institution Tyme Group, which has 15 million clients in South Africa and the Philippines, provided a window into new rising markets.
“Once you have a look at lots of rising markets, there are lots of similarities with what we have seen in Brazil and Mexico,” he stated, including there have been no quick plans for getting into a brand new market, however he anticipated to make a transfer within the subsequent 18 to 24 months.