I think a lot of the things you are saying are very valid and true. Yes valuations are very stretched compared to typical metrics. But all the statistics are showing a huge shift from credit to debt. Ultimately all of the BNPL players are getting more merchants and more transactions year on year. I honestly believe if it wasn’t sustainable as an industry you wouldn’t see Pay Pal, comm bank and most recently Woolworth’s (W pay) entering the market.
We will all have to wait and see but after doing loads of research I am personally sold on the fact more millennials will be exposed the debit product in the future and I believe this will lead to the long term success of the industry.
