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dLocal
dLocal launched in 2016 when Sergio Fogel and Sebastián Kanovich saw that global enterprises needed a single API to accept payments in markets with...
dLocal
dLocal launched in 2016 when Sergio Fogel and Sebastián Kanovich saw that global enterprises needed a single API to accept payments in markets with fragmented banking systems. The company incorporated in Uruguay and built direct integrations with local acquirers in Brazil, Mexico, India, and Nigeria — countries where credit card penetration is low and alternative payment methods like Brazil's Boleto or Mexico's OXXO dominate. The firm went public on Nasdaq in June 2021, raising $617 million at an $8.7 billion valuation, making it Uruguay's first billion-dollar tech company (per SEC filings, 2021). dLocal's core product is the 'One dLocal' platform, which acts as the merchant-of-record across Latin America, Africa, and Asia. Clients integrate once and gain access to 700+ local payment methods, from Indian UPI to Colombian PSE. The firm earns revenue by charging a take rate on processed volume, with top-line growth driven by e-commerce, ride-hailing, streaming, and software merchants expanding into emerging markets. Confirmed enterprise clients include Amazon, Airbnb, Nike, Spotify, and Microsoft (per company filings, 2022-2023). Unlike Western processors that partner with local banks, dLocal holds its own licenses and operates proprietary settlement rails in over 25 countries. As of its 2023 annual report, dLocal processed $17.7 billion in total payment volume, with net revenues of $557 million — up 47% year-over-year. The company maintains a lean structure with approximately 450 employees across offices in Montevideo, São Paulo, London, and Tel Aviv. In November 2023, dLocal appointed Mark Ortiz as Chief Financial Officer and announced a board-led review of its compliance practices after a short-seller report questioned its regulatory posture in Argentina (per Bloomberg, November 2023). The firm operates a separate dLocal for Platforms unit that serves software marketplaces and SaaS companies needing embedded payments. dLocal's structural distinction is its reverse-origin model: a public company born in an emerging market that services multinationals entering the Global South. Most fintech infrastructure flows the other direction — Silicon Valley companies expanding outward. dLocal's unilateral control over its licensing and local banking relationships insulates clients from the partner risk that plagues aggregator models, giving it a durable moat in cross-border emerging-market payments.
General information
Firm type
Asset Manager
Year founded
2016
AUM
Undisclosed
Location
Region
Latin America
Country
Uruguay
City
Montevideo
Corporate office
Montevideo, Uruguay
Principals
Sebastián Kanovich
Chief Executive Officer
Sergio Fogel
Chief Strategy Officer & Co-Founder
Sector focus
Frequently asked questions
What is dLocal's core business?
dLocal operates as a cross-border payments processor for global merchants expanding into emerging markets. The 'One dLocal' platform lets clients accept over 700 local payment methods — from Brazilian Boleto to Indian UPI — through a single API integration. The firm acts as the merchant-of-record, handling local licensing, settlement, and compliance so merchants can enter markets without establishing local entities.
Who founded dLocal and when did it go public?
Sergio Fogel and Sebastián Kanovich founded dLocal in 2016, headquartered in Montevideo, Uruguay. The company went public on Nasdaq in June 2021 under the ticker DLO, raising $617 million at an $8.7 billion valuation. It was Uruguay's first technology unicorn and its first company to list on a major US exchange.
Which regions does dLocal serve?
dLocal covers over 40 countries across Latin America, Africa, and Asia. Key markets include Brazil, Mexico, Argentina, India, Nigeria, South Africa, and Indonesia. The firm's geographic focus is exclusively emerging markets where traditional payment infrastructure like credit cards has low penetration and alternative payment methods dominate.
How does dLocal make money?
dLocal earns revenue by charging a take rate — a percentage fee — on the total payment volume processed through its platform. In 2023, the firm processed $17.7 billion in total payment volume and generated $557 million in net revenues. The take rate varies by market and payment method, with margins typically higher in more complex jurisdictions.
What happened with the short-seller report in 2022-2023?
In November 2022, short-seller Muddy Waters Research alleged that dLocal misrepresented its regulatory exposure in Argentina and engaged in improper currency conversion practices. dLocal denied the allegations and commissioned an independent review. In November 2023, the firm appointed Mark Ortiz as CFO and announced compliance enhancements (per Bloomberg, November 2023). The report led to increased board oversight but did not result in restated financials.
Does dLocal compete with Stripe and Adyen?
dLocal operates in a distinct niche from global processors like Stripe and Adyen. Those firms primarily serve developed-market merchants with developed-market payment methods. dLocal focuses exclusively on emerging markets where alternative payment methods and local licensing complexity create high barriers to entry. The firms overlap in some cross-border use cases, but dLocal's proprietary local infrastructure gives it an advantage in markets like Nigeria and Pakistan where global processors rely on third-party partners.
Who are dLocal's largest clients?
dLocal's public filings name Amazon, Spotify, Airbnb, Nike, and Microsoft among its enterprise clients. The company's revenue concentration has historically been high, with its top 10 merchants representing a meaningful share of total volume. dLocal's 'dLocal for Platforms' unit extends distribution by embedding payments into software marketplaces and SaaS platforms.
Profile maintained by Altss using OSINT (open-source intelligence), regulatory filings, licensed data partners, and verified direct submissions. Read the methodology. Last updated: . Continuous refresh with full update cycles at least every 30 days.
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