UK's OpenTrade Raises $7M to Expand Stablecoin Yield Access in Inflation-Hit Markets
The company runs a 'yield-as-a-service' platform designed for fintech apps, exchanges, and neobanks. Clients like Criptan in Spain and Littio in Colombia use OpenTrade's backend to let users earn interest — up to 9% — on USD and EUR holdings.
In countries like Argentina or Colombia, where dollar bank accounts are rare and offer negligible interest, apps powered by OpenTrade let users earn meaningful returns straight from their phones. In Colombia, for instance, banks offer less than 0.4% APR on dollars. Littio users can get up to 6%.
OpenTrade manages $47 million in assets and has processed close to $200 million in volume, growing 20% month over month. The capital injection will help the company scale operations and improve its tech stack.
"OpenTrade is building core financial infrastructure for the next generation of fintech," said Mercury Fund's Samantha Lewis. Notion Capital's Itxaso del Palacio added that stablecoins' $240 billion market cap makes OpenTrade's infrastructure a needed foundation for the sector.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
16 minutes ago
- Yahoo
Celebrus Technologies plc's (LON:CLBS) Stock Is Going Strong: Is the Market Following Fundamentals?
Celebrus Technologies' (LON:CLBS) stock is up by a considerable 22% over the past month. Given the company's impressive performance, we decided to study its financial indicators more closely as a company's financial health over the long-term usually dictates market outcomes. In this article, we decided to focus on Celebrus Technologies' ROE. Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors' money. In simpler terms, it measures the profitability of a company in relation to shareholder's equity. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. How To Calculate Return On Equity? The formula for return on equity is: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for Celebrus Technologies is: 15% = UK£6.4m ÷ UK£43m (Based on the trailing twelve months to March 2025). The 'return' is the amount earned after tax over the last twelve months. Another way to think of that is that for every £1 worth of equity, the company was able to earn £0.15 in profit. Check out our latest analysis for Celebrus Technologies Why Is ROE Important For Earnings Growth? We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. Based on how much of its profits the company chooses to reinvest or "retain", we are then able to evaluate a company's future ability to generate profits. Generally speaking, other things being equal, firms with a high return on equity and profit retention, have a higher growth rate than firms that don't share these attributes. Celebrus Technologies' Earnings Growth And 15% ROE To begin with, Celebrus Technologies seems to have a respectable ROE. Yet, the fact that the company's ROE is lower than the industry average of 20% does temper our expectations. Celebrus Technologies was still able to see a decent net income growth of 13% over the past five years. We reckon that there could be other factors at play here. Such as - high earnings retention or an efficient management in place. However, not to forget, the company does have a decent ROE to begin with, just that it is lower than the industry average. So this also does lend some color to the fairly high earnings growth seen by the company. As a next step, we compared Celebrus Technologies' net income growth with the industry, and pleasingly, we found that the growth seen by the company is higher than the average industry growth of 10.0%. Earnings growth is an important metric to consider when valuing a stock. It's important for an investor to know whether the market has priced in the company's expected earnings growth (or decline). Doing so will help them establish if the stock's future looks promising or ominous. Has the market priced in the future outlook for CLBS? You can find out in our latest intrinsic value infographic research report. Is Celebrus Technologies Making Efficient Use Of Its Profits? Celebrus Technologies has a three-year median payout ratio of 33%, which implies that it retains the remaining 67% of its profits. This suggests that its dividend is well covered, and given the decent growth seen by the company, it looks like management is reinvesting its earnings efficiently. Moreover, Celebrus Technologies is determined to keep sharing its profits with shareholders which we infer from its long history of paying a dividend for at least ten years. Based on the latest analysts' estimates, we found that the company's future payout ratio over the next three years is expected to hold steady at 35%. However, Celebrus Technologies' future ROE is expected to decline to 10% despite there being not much change anticipated in the company's payout ratio. Summary On the whole, we feel that Celebrus Technologies' performance has been quite good. Specifically, we like that it has been reinvesting a high portion of its profits at a moderate rate of return, resulting in earnings expansion. With that said, on studying the latest analyst forecasts, we found that while the company has seen growth in its past earnings, analysts expect its future earnings to shrink. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
an hour ago
- Yahoo
Water bills to see ‘small, steady' rise despite reform plans, says Reed
Households will continue to face rising water bills despite an overhaul of how the sector is regulated, the Environment Secretary has said, but increases will be 'small' and 'steady'. Steve Reed is expected to set out plans for 'root and branch reform' of the water sector on Monday, following the publication of a landmark review of the industry. Those plans are thought to include action to tackle sewage spills, invest in water infrastructure and the abolition of the industry's beleaguered regulator Ofwat as ministers seek to avoid a repeat of this year's 26% increase in bills. But while Mr Reed has promised that families will never again see 'huge shock hikes' to their bills, he was unable on Sunday to rule out further above-inflation increases. Although he told Sky News's Sunday Morning With Trevor Phillips that bills should be 'as low as possible', he added that there needed to be 'appropriate bill rises' to secure 'appropriate levels of investment'. He said: 'A small, steady increase in bills is what people expect.' Government sources have argued that the recent large rise in bills was necessary to pay for investment in long-neglected infrastructure, but expect Mr Reed's promised reforms to make further rises unnecessary. Asked about the possibility of expanding social tariffs to help households struggling with bills – a move that could see wealthier families pay more – Mr Reed said he had 'not been convinced yet' that this was necessary. Earlier on Sunday, Mr Reed had pledged to halve sewage pollution in England by 2030, after the Environment Agency said serious pollution incidents had risen by 60% in 2024. Mr Reed said the measures the Government was taking would enable it to significantly reduce pollution, with the aim of completely eliminating it by 2035 should it be re-elected. He also suggested to the BBC that he would resign if the 2030 target was not achieved, provided he was still in the same job by then. His comments come before a major report by former Bank of England deputy governor Sir Jon Cunliffe, which is expected to recommend sweeping reform to water regulation on Monday. Sir Jon has been widely reported to be preparing to recommend the abolition of Ofwat, which has faced criticism over its handling of sewage spills and allowing water companies to pay large dividends while taking on significant debt and missing targets for investing in infrastructure. On Sunday, Mr Reed would not say whether he would scrap Ofwat, but also declined to say he had confidence in the regulator. He told the BBC's Sunday With Laura Kuenssberg: 'The regulator is clearly failing.' Sir Jon's interim report criticised regulation of the water sector, which is split between economic regulator Ofwat, the Environment Agency and the Drinking Water Inspectorate. But on Sunday, Conservative shadow communities secretary Kevin Hollinrake said he would be concerned any changes 'might just be shuffling the deckchairs on the Titanic'. He told the BBC: 'It's really important the regulator's effective, and we put in a lot of measures to give Ofwat more powers to regulate the water industry and a lot of those things were very effective.' Liberal Democrat leader Sir Ed Davey said he backed scrapping Ofwat, calling for a new Clean Water Authority to 'hold these water companies to account'. Sir Ed has also called for the Government to go further and aim to eliminate sewage pollution entirely by 2030, saying voters were 'fed up with empty promises from ministers while Britain's waterways continue to be ruined by sewage'. He added: 'For years water companies have paid out millions in dividends and bonuses. It would be deeply unfair if customers are now made to pick up the tab for this scandal through higher bills.' Although sweeping regulatory reform is likely to be on the table, full nationalisation of the industry will not be after the Government excluded it from Sir Jon's terms of reference. Smaller parties such as the Greens have called for nationalisation, while on Sunday Reform UK's Nigel Farage said he would look to strike a deal with the private sector to bring 50% of the water industry under public ownership. Mr Reed argued that nationalisation would cost 'upwards of £100 billion', diverting resources from the NHS and taking years during which pollution would get worse.
Yahoo
an hour ago
- Yahoo
A Look At The Fair Value Of PHSC plc (LON:PHSC)
Key Insights The projected fair value for PHSC is UK£0.11 based on 2 Stage Free Cash Flow to Equity PHSC's UK£0.12 share price indicates it is trading at similar levels as its fair value estimate The average discount for PHSC's competitorsis currently 59% Today we'll do a simple run through of a valuation method used to estimate the attractiveness of PHSC plc (LON:PHSC) as an investment opportunity by taking the forecast future cash flows of the company and discounting them back to today's value. This will be done using the Discounted Cash Flow (DCF) model. Believe it or not, it's not too difficult to follow, as you'll see from our example! Companies can be valued in a lot of ways, so we would point out that a DCF is not perfect for every situation. Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. Is PHSC Fairly Valued? We're using the 2-stage growth model, which simply means we take in account two stages of company's growth. In the initial period the company may have a higher growth rate and the second stage is usually assumed to have a stable growth rate. To start off with, we need to estimate the next ten years of cash flows. Seeing as no analyst estimates of free cash flow are available to us, we have extrapolate the previous free cash flow (FCF) from the company's last reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years. Generally we assume that a dollar today is more valuable than a dollar in the future, and so the sum of these future cash flows is then discounted to today's value: 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Levered FCF (£, Millions) UK£71.6k UK£61.9k UK£56.6k UK£53.6k UK£52.0k UK£51.3k UK£51.2k UK£51.5k UK£52.2k UK£53.0k Growth Rate Estimate Source Est @ -20.36% Est @ -13.49% Est @ -8.68% Est @ -5.32% Est @ -2.96% Est @ -1.31% Est @ -0.15% Est @ 0.65% Est @ 1.22% Est @ 1.62% Present Value (£, Millions) Discounted @ 6.6% UK£0.07 UK£0.05 UK£0.05 UK£0.04 UK£0.04 UK£0.03 UK£0.03 UK£0.03 UK£0.03 UK£0.03 ("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = UK£403k We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. For a number of reasons a very conservative growth rate is used that cannot exceed that of a country's GDP growth. In this case we have used the 5-year average of the 10-year government bond yield (2.5%) to estimate future growth. In the same way as with the 10-year 'growth' period, we discount future cash flows to today's value, using a cost of equity of 6.6%. Terminal Value (TV)= FCF2035 × (1 + g) ÷ (r – g) = UK£53k× (1 + 2.5%) ÷ (6.6%– 2.5%) = UK£1.3m Present Value of Terminal Value (PVTV)= TV / (1 + r)10= UK£1.3m÷ ( 1 + 6.6%)10= UK£696k The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is UK£1.1m. To get the intrinsic value per share, we divide this by the total number of shares outstanding. Relative to the current share price of UK£0.1, the company appears around fair value at the time of writing. Valuations are imprecise instruments though, rather like a telescope - move a few degrees and end up in a different galaxy. Do keep this in mind. The Assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows. Part of investing is coming up with your own evaluation of a company's future performance, so try the calculation yourself and check your own assumptions. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at PHSC as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 6.6%, which is based on a levered beta of 0.800. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. View our latest analysis for PHSC SWOT Analysis for PHSC Strength Currently debt free. Weakness Current share price is above our estimate of fair value. Opportunity Has sufficient cash runway for more than 3 years based on current free cash flows. Lack of analyst coverage makes it difficult to determine PHSC's earnings prospects. Threat No apparent threats visible for PHSC. Next Steps: Whilst important, the DCF calculation is only one of many factors that you need to assess for a company. It's not possible to obtain a foolproof valuation with a DCF model. Preferably you'd apply different cases and assumptions and see how they would impact the company's valuation. For instance, if the terminal value growth rate is adjusted slightly, it can dramatically alter the overall result. For PHSC, there are three additional factors you should assess: Risks: To that end, you should learn about the 2 warning signs we've spotted with PHSC (including 1 which doesn't sit too well with us) . Other Solid Businesses: Low debt, high returns on equity and good past performance are fundamental to a strong business. Why not explore our interactive list of stocks with solid business fundamentals to see if there are other companies you may not have considered! Other Top Analyst Picks: Interested to see what the analysts are thinking? Take a look at our interactive list of analysts' top stock picks to find out what they feel might have an attractive future outlook! PS. Simply Wall St updates its DCF calculation for every British stock every day, so if you want to find the intrinsic value of any other stock just search here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
