Happy hump day! I'm Dan DeFrancesco, filling in for Aaron Weinman. And while I might not have hair as nice as Aaron's, I promise that you are in good hands.
Wall Street is in a bit of a limbo period as those returning from an extended holiday have found their colleagues who worked last week are now on vacation.
Still, we've got plenty of interesting stories to catch you up on, including the blowup of a once-hot sector of fintech, more fallout from the Archegos implosion, and one group's return-to-office that no New Yorker could have predicted.
Alright, let's get tucked in.
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1. Buy now, pay later: On the surface it may not seem like the most novel of ideas. Paying for something by way of installments dates all the way back to the 19th century.
Just like fashion, fintech has a habit of turning old trends into new ones via smart marketing and a flashy user experience. In 2021, there was arguably no greater example of this than buy now, pay later, or BNPL for short.
But the highs of last year — Super Bowl ads, IPOs, and eye-popping valuations — have been followed by extreme lows. Klarna has reportedly seen its private-market valuation plummet as it looks to raise additional funding while Affirm's share price has faced a similar drop in the public markets this year.
Ann Gehan broke down the four biggest trends that have upended the BNPL market over the past 18 months, turning it from fintech darling to a sector in crisis.
Check out our inside look at what's fueling the massive disruptions in the once-hot BNPL space.
2. A former employee of Archegos Capital Management is suing the shuttered family office for $50 million in lost bonuses. The 99-page lawsuit alleges Bill Hwang monitored some employees' religious views and misled analysts about career prospects. Here are the seven juciest bits from the lawsuit.
3. Crypto broker Voyager Digital has filed for Chapter 11 bankruptcy. Per CNBC, Voyager — which counts Sam Bankman-Fried's firm as its largest creditor — faced losses from exposure to Three Arrows Capital.
4. The Commonwealth Bank of Australia could take a hit on its investment in Klarna to the tune of roughly $2 billion. The Swedish buy now, pay later provider is reportedly raising new funding at a significantly lower valuation that would see CBA's stake in the startup drop from just under $2.5 billion in value to around $400 million, according to a Morgan Stanley research note, The Sydney Morning Herald reports.
5. Wall Street banks have largely emerged unscathed from the crypto crash. Banks' ability to stay mostly above the fray has come as plenty of small investors have taken a bath amid the recent market downturn, the New York Times reports.
6. Add this to the list of things that's becoming more expensive. The average monthly car payment for Americans in June hit a record-high $712.
7. The latest segment of startups to take a nosedive could be space and aviation startups. Here's how VCs are thinking about the market.
8. When will the red-hot housing market cool down? Summer 2023, according to a real-estate appraisal consultant. Here's why he says that could be the time to buy.
9. New York City isn't cheap. You need a net worth of at least $1.4 million to live in the financial hub, according to a Charles Schwab survey. And check out how much people say you need to be considered "wealthy" in NYC.
10. An unlikely new tenant is taking up residence in the East River. Dolphins have been seen swimming in the lower Manhattan waterfront that's not historically known for its cleanliness, the Wall Street Journal reports.
Correction: Friday's edition of the
Curated by Dan DeFrancesco in New York. Tips? Email ddefrancesco@insider.com or tweet @dandefrancesco.