Proceed over, Robinhood – Chime has become the best U.S. based consumer fintech.
Based on CNBC, Chime, a so-called neobank offering branchless banking services to clients, is now worth $14.5 billion, besting the sale price of massive 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 the new valuation of its via a series F funding round to the tune of $485 million coming from investors including Coatue, ICONIQ, Tiger Global, Whale Rock Capital, General Atlantic, Access Technology Ventures, Dragoneer, and DST Global, a CNBC.
The fintech has seen enormous expansion over its seven-year lifespan. Chime first come to 1 million drivers in 2018, as well as has since added large numbers of consumers, although the business enterprise has not said how many users it presently has in complete. Chime supplies banking products through a mobile app as well as no fee accounts, debit cards, paycheck advances, and simply no overdraft charges. With the study course of the pandemic, savings balances attained all-time highs, CEO Chris Britt told Fortune back in May.
Britt told CNBC the competitor bank is going to be poised for an IPO in the next twelve weeks. And it’s up in the atmosphere whether Chime will go the way of others just before it and get a special goal acquisition company, or maybe SPAC, to go public. “I possibly get calls coming from two SPACS a week to find out if we are thinking about getting into the market segments quickly,” Britt told CNBC. “The reality is we’ve a number of initiatives we desire to finish with the following twelve months to put us in a place to be market-ready.”
The competitor bank’s rapid progress hasn’t been with no troubles, however. As Fortune claimed, back in October of 2019 Chime suffered a multi-day outage which left quite a few clients not able to access the money of theirs. Sticking to the outage, Britt told Fortune in December the fintech had increased potential and worry tests of the infrastructure of its amid “heightened consciousness to performing them in an even more intense option given the size and the pace of development that we have.”