Retail giant Walmart announced that it will launch a fintech startup that will offer “innovative and affordable” financial solutions for consumers.

Why should we care?
The new fintech startup, whose name is yet to be released, is a strategic partnership between Walmart and fintech investment firm Ribbit Capital. It will be majority-owned by Walmart, and the company suggested its product offerings will be available to customers and associates. The startup’s board will include John Furner, president and CEO, Walmart U.S.; Brett Biggs, executive vice president and chief financial officer of Walmart; and Meyer Malka, managing partner of Ribbit Capital. The fintech venture isn’t Walmart’s first foray into financial services. Walmart MoneyCard, offered in partnership with Green Dot, is a prepaid debit card for consumers. Walmart also offers domestic money transfers and cross-border payment services through partners. Given Ribbit Capital’s prominence in the fintech sphere – it’s an investor in Robinhood and Affirm – Walmart wants to tap into Ribbit’s fintech expertise to offer financial products to its large customer base. “When we combine our deep knowledge of technology-driven financial businesses and our ability to move with speed with Walmart’s mission and reach, we can create and deliver financial offerings that are second to none,” Ribbit Capital Partner Meyer Malka said in a statement.