Checkout.com cited challenging macroeconomic conditions that affected its fintech and crypto clients, noting a sharp decline in trading volumes.
Checkout.com, a London-based global payments processor and once Europe’s hottest startup, announced the departure of its President and Chief Operating Officer (COO), Céline Dufétel. Dufétel, who joined the firm three years ago, is stepping down for personal reasons, according to a statement from founder Guillaume Pousaz.
Dufétel will be succeeded by Jenny Hadlow, who has been leading the company’s global revenue operations since late 2021. Pousaz expressed confidence in Hadlow’s ability to drive the company forward, stating:
“I have no doubts that Jenny will excel as our COO, fundamentally helping us ensure that our service and support teams deliver on our promises to our merchants.”
Checkout.com facilitates the movement, management, and optimization of funds for businesses, including several prominent crypto firms like Crypto.com, MoonPay, Blockchain.com, Circle, and Strike.
Checkout.com’s meteoric rise peaked in early 2022 when it secured funding from US investment group Tiger Global and Singapore’s sovereign wealth fund GIC. This funding round catapulted the company to a valuation of $40 billion, making it Europe’s most valuable private technology business.
However, the boom was short-lived. By December 2022, the company had to slash its valuation by over 70%, down to $11 billion. Dufétel’s departure comes at a challenging time for the startup, which has been grappling with internal restructuring.
Impact of the Crypto Market
The downturn in the financial technology sector hit Checkout.com particularly hard. In 2022, the company’s London-based entity saw its operating losses more than triple to $126 million.
This loss was largely attributed to a decline in consumer spending and a significant drop in crypto trading activity. In 2023, Checkout.com terminated its contract with renowned crypto exchange Binance, citing regulatory concerns. This move prompted Binance to consider legal action against Checkout.com due to disagreement with the “purported basis for termination.”
Checkout.com cited challenging macroeconomic conditions that affected its fintech and crypto clients, noting a sharp decline in trading volumes. The company has downplayed its reliance on the cryptocurrency sector. Dufétel previously noted that crypto companies contributed less than 4% to the company’s total processing volume as of September last year.
Founder Guillaume Pousaz remains optimistic about the company’s future, highlighting strong business momentum. He revealed that year-to-date net revenue had grown by 42%, with 550 million unique e-commerce transactions processed in May alone across all platforms.
“With this in mind, we must always put our customers first, focusing on the problems we solve for them, always staying ahead on payment performance, and continuing to abstract the complexity for them (be it regulation, more payment methods, scheme mandates, compliance, and so on),” Pousaz said, underscoring his confidence in the company’s strategic direction under Hadlow’s leadership.
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