Go more than, Robinhood – Chime is currently the most valuable U.S.-based customer fintech.
Based on CNBC, Chime, a so-called neobank that offers branchless banking services to customers, is currently worth $14.5 billion, besting the price tag of significant retail trading wedge Robinhood at about $11.2 billion, as of mid August, per PitchBook data. Business Insider also claimed about the possible new valuation earlier this week.
Chime locked in its new valuation via a sequence F funding round to the tune of $485 million from investors like Coatue, ICONIQ, Tiger Global, Whale Rock Capital, General Atlantic, Access Technology Ventures, Dragoneer, and DST Global, per CNBC.
The fintech has noticed enormous progress over the seven year existence of its. Chime primary arived at one million drivers in 2018, as well as has since added millions of consumers, nonetheless, the business hasn’t believed the amount of customers it presently has in complete. Chime supplies banking services via a mobile app such as no fee accounts, debit cards, paycheck advances, and simply no overdraft fees. Over the course of the pandemic, cost savings balances attained all-time highs, CEO Chris Britt told Fortune back in May.
Britt told CNBC the challenger bank is going to be poised for an IPO within the following 12 months. And it’s up in the air whether Chime will go the method of others just before it and get a particular purpose acquisition company, or perhaps SPAC, to go public. “I probably get calls coming from two SPACS a week to determine in the event that we are considering getting into the marketplaces quickly,” Britt told CNBC. “The reality is we’ve a number of initiatives we desire to go through with the following twelve months to set us in a spot to be market-ready.”
The competitor bank’s fast progress hasn’t been with no challenges, however. As Fortune claimed, back in October of 2019 Chime endured a multi day outage that left a lot of clients not able to access the money of theirs. Sticking to the outage, Britt told Fortune in December the fintech had increased potential as well as stress testing of its infrastructure amid “heightened awareness to carrying out them in a more arduous way offered the measurements and also the speed of development that we have.”