Move more than, Robinhood – Chime is now the most valuable U.S.-based consumer fintech.
Based on CNBC, Chime, a so called neobank that provides branchless banking services to clients, has become worth $14.5 billion, besting the price tag of significant list trading wedge Robinhood at around $11.2 billion, as of mid August, per PitchBook details. Business Insider also reported about the potential new valuation earlier this week.
Chime locked in its brand new valuation through a sequence F financial support round to the tune of $485 million from investors such as Coatue, ICONIQ, Tiger Global, Whale Rock Capital, General Atlantic, Access Technology Ventures, Dragoneer, and DST Global, a CNBC.
The fintech has seen huge expansion over the seven year lifespan of its. Chime primary reached 1 million users in 2018, and also has since additional large numbers of purchasers, nonetheless, the business enterprise has not claimed the number of customers it currently has in complete. Chime offers banking services through a mobile app as well as no fee accounts, debit cards, paycheck advances, and absolutely no overdraft fees. With the course of the pandemic, financial savings balances achieved all-time highs, CEO Chris Britt told Fortune back in May.
Britt told CNBC the opposition savings account would be poised for an IPO within the following twelve months. And it’s up in the atmosphere whether Chime will go the means of others just before it and choose a specific goal acquisition organization, or perhaps SPAC, to go public. “I possibly get calls from 2 SPACS a week to determine if we’re interested in getting into the markets quickly,” Britt told CNBC. “The reality is we have a number of initiatives we want to go through over the next twelve months to place us in a spot to be market-ready.”
The competitor bank’s quick progress hasn’t been without challenges, however. As Fortune claimed, back in October of 2019 Chime endured a multi-day outage which left a lot of clients not able to access their money. Sticking to the outage, Britt told Fortune in December the fintech had increased potential and pressure testing of its infrastructure amid “heightened consciousness to performing them in an even more intense way provided the dimensions as well as the pace of development that we have.”