Loyal3 Shuts Down, Stockpile Steps Up

As Tupac once said, “I don’t have no fear of death. My only fear is coming back reincarnated.” Unlike Tupac, however, Loyal3 users have nothing to be scared of. That’s because even though Loyal3 is shutting down its IPO marketplace and discount brokerage platform on May 19, stock gift card company Stockpile has stepped in to allow Loyal3 clients to transfer their shares to its platform.

Launched in 2008, Loyal3 sought to democratize capital markets by helping novice investors purchase fractional stock shares. Users could browse the company’s portfolio of 70 stocks and invest with as little as $10 per stock, with zero fees. The company’s batch trading strategy executed trades once per day. At FinovateFall 2014, the company showed off its mobile IPO marketplace where users could view the IPO status, receive IPO pricing and allocation notifications, and confirm or withdraw their IPO reservations.

To capture Loyal3 clients, Palo Alto-based Stockpile has facilitated the onboarding process for the new customers. Users just sign up for a Stockpile account, email a recent Loyal3 account statement to Stockpile’s customer support, and Stockpile returns a (mostly) pre-filled account form. Users complete, sign, and upload the form to Stockpile, which oversees the transition of assets over to its platform. The only wrinkle is that Stockpile cannot accept stocks from Frontier and Nokia; users will need to cash out those stocks.

This isn’t Stockpile’s first move to expand its user base. In 2016, the company acquired SparkGift, transferring SparkGift’s customer base to its own brokerage platform for free. In 2015 the company partnered with Blackhawk Network to offer physical gift cards in denominations of $25, $50, and $100 at select U.S. retailers. Founded in 2010, by Avi Lele and Sanj Kulkarni, Stockpile launched at FinovateSpring 2014 in a demo that won Best of Show.

Finovate Alumni News

On Finovate.com

  • Thoma Bravo to Acquire Lexmark’s Kofax

Around the web

  • Top Image Systems selected by CIOReview as one of the 20 Most Promising SAP Solution Providers of 2017.
  • KTLA features password management platform Dashlane.
  • MapD partners with Continuum Analytics & H2O.ai, to form the GPU Open Analytics Initiative.
  • Thinking Capital to offer SMB financing options to TouchBistro POS clients.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alums Earn Top Honors at 2016 Benzinga Financial Awards


Finovate alum Trunomi took home two awards at the 2016 Benzinga Fintech Awards this week. The KYC and data-sharing solution provider won first place in the Proprietary Technology & APIs and Most Promising Startup categories.

Also winning top honors were Loyal3, which took first place in the Leveling The Playing Field category, and SmartAsset, which won first place in the Best Educational Tools & Services category.


This year was the second for the Benzinga Fintech Awards. More than 250 companies from five countries competed for this year’s awards, including Founder of the Year which was awarded to TickerTags founder, Chris Camillo.

Other alums earning recognition were runners up PsychSignal (Finding Alpha category) and WealthForge (Lending & Alternative Investments category). TipRanks picked up a runners up spot in the Research Platforms, Apps & Tools category, as well as third place overall. DriveWealth earned an honorable mention in the Innovation in Mobile category for its Passport solution.

See the full list of 2016 finalists.

Jason Raznick, founder and CEO of Benzinga, congratulated this year’s winners and praised their “forward thinking and product development.” This year marked the second strong performance at the Awards from Finovate alums in general and TipRanks in particular, which in 2015 took top honors in Trade Recommendations category in 2015. Other alum winners from 2015 include Betterment, EquityZenLikeFolioMarket Prophit, Motif InvestingPersonal Capital, and HedgeCoVest, which won runners up in the Most Disruptive category, Best in Class in the Robo Advisor Tools category, and first place overall.

Finovate Alumni News

Around the web:

  • Fastacash to boost global growth via new partnership with mobile wallet provider, Cellum.
  • Let’s Talk Payments profiles LOYAL3, Motif Investing, Kapitall, DriveWealth, and eToro in a look at millennials and investing.
  • ATM Marketplace quotes Robb Gaynor of Malauzai Software on the importance of app design in the mobile UX, and Prairie Cloudware’s Michael Carter on the debate over branded mobile wallets and banking apps.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News

On Finovate.com

  • Rippleshot Raises $1.2 Million in Round Led by KGC Capital”
  • SocietyOne Offering Car Loans to Uber Drivers in Australia”

Around the web

  • Xero adds two-step authentication to its accounting platform.
  • CAN Capital teams up with iPayment to help SMEs get access to working capital.
  • Let’s Talk Payments features Klarna, Holvi, BehavioSec, Trustly, Meniga, and Tink in a roundup of top Nordic fintech startups. Remember FinovateEurope 2016 comes to London on February 9 and 10.
  • Check Point Names Julie Parrish as Chief Marketing Officer”
  • MyBankTracker names Mint, SmartyPig, Lending Club, Coinbase, and Loyal3 on its list of companies every millennial should know about.
  • ayondo CEO Robert Lempka Explains Innovative Trading Solutions Live on CNBC Asia”
  • TechCrunch looks at TransferWise’s growth.
  • PaymentEye interviews Daniel Abrahams, CEO and co-founder of CurrencyTransfer.com.
  • Bankless Times talks with Encap Security CEO Thomas Bostrøm Jørgensen on current trends in authentication technology.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account

Finovate Alumni News

On Finovate.com

  • “Mortgagetech on the Move as Roostify Closes Series A Round Led by USAA”
  • “Blooom Announces $4 Million Series A Round Led by QED Investors”

Around the web

  • BizEquity announces strategic partnership with eMoney Advisor.
  • Vietnam Public Joint Stock Commercial Bank (PVcomBank) deploys digital banking platform from Misys.
  • Let’s Talk Payments interviews Konstantin Rabin, Kontomatik CMO.
  • BAI Retail Delivery conference attendees select MX as the Innovation Showcase Award winner.
  • Global AutoTrading integrates with Tradier to extend brokerage services.
  • Avalara announces sales-tax accuracy guarantee.
  • LOYAL3 Securities will act as co-manager for Square’s IPO.
  • Customers of the Microsoft Dynamics NAV rollout will automatically have free access to Tradeshift’s e-invoicing solution.
  • Arxan now secures applications running on 500+ million devices.

This post will be updated throughout the day as news and developments emerge. You can also follow alumni news headlines on the Finovate Twitter account.



Finovate Debuts: Loyal3’s Stock Investments Democratizes Access to Stocks and IPOs

The Finovate Debuts series introduces new Finovate alums. Today’s feature is Loyal3, which demonstrated its mobile IPO investment platform at FinovateFall 2014.


Loyal3’s stock marketplace makes it easy to invest in stocks and IPOs. The simple user interface and lack of fees appeal to novice investors. It can also serve as a great tool for those looking to invest in IPOs at the same time and price as institutional investors.


    • Founded October 2008
    • 130 employees
    • $75+ million in funding

Stock investing
Users start by browsing the 64 company stocks available on the platform.


Stocks can be purchased in $10 increments. This fractional ownership allows for more diversification at a lower buy-in. If investors are feeling bullish, they have the option to purchase as much as $2,500 of a single stock.


The portfolio below shows a total of $188 divided among eight different stocks, including Apple and Amazon, which have notoriously high share prices.


Aside from the fractional share feature, Loyal3 also has:

    • Zero fees to buy and sell stock
    • No minimum account balances
    • Easy-to-open brokerage account
    • Automatic monthly investments that prompt recurring stock purchases

One of the ways Loyal3 is able to provide fee-free stock trades is by submitting orders in a batch at the end of the day. Because of the delay, the price quoted at the time the order is placed is not always the final purchase price.

IPO investing
Loyal3 offers access to IPOs at the same price and time as large investors and institutions.

Here’s how it works:

1) Reserve an IPO stock
Users choose the amount of stock they would like to purchase. However, since shares are limited, investors may not receive the full amount.

2) Confirm order
After the price of the IPO is determined, Loyal3 sends SMS and email notifications to investors and gives them two hours to confirm or cancel their order. They can invest as little as $10 and as much as $10,000 per IPO.

Loyal3 launched its mobile interface at FinovateFall 2014. It provides on-the-go access to stock trading and instant IPO notifications.

FinovateFall 2014 Best of Show Winners


After a busy two days at FinovateFall packed with people, some of the most innovative new technology we’ve seen, and some rather entertaining demos, the audience has spoken. 

A huge thanks to everyone who came out to be a part of our record breaking audience and cast their votes. Each attendee was able to vote for their top three favorite company demos both days, and the top seven were crowned Best of Show winners.
Here they are in alphabetical order:


AnchorID for its new way to log into websites and apps. One universal username logs you in with unique security.


blooom for its simple tool built to fix the millions of mis-invested 401(k) allocations for individual clients.


CrowdFlower for its leading data enrichment platform to help data scientists, analysts, and engineers collect, clean, and label data to make it useful.


Loyal3 for its use of social technologies to democratize the markets, making investing in IPOs and stocks easy and affordable for everyone.



MX/MoneyDesktop for its WideNet Technology to help FIs expand their market reach, and its Helios cross-platform digital banking app.


NICE Systems for its real-time authentication that strengthens and streamlines the authentication process in real-time, while customers converse with an agent.


Toopher for its multi-factor authentication platform that uses the location awareness of your smartphone to automate authentication for logins and critical actions.

Again, thanks to everyone who came out to the show. We’ll see you next year!

Notes on methodology:  

1. Only audience members NOT associated with demoing companies were eligible to vote. Finovate employees did not vote.     
2. Attendees were encouraged to note their favorites during each day. At the end of the last demo, they chose their three favorites.    
3. The exact written instructions given to attendees: “Please rate (the companies) on the basis of demo quality and potential impact of the innovation demoed.”  
4. The seven companies appearing on the highest percentage of submitted ballots were named Best of Show.  
5. Go here for a list of previous Best of Show winners. 

LOYAL3 Launches App for iOS 8 for an Easy Way to Buy and Sell Stock

This post is part of our live coverage of FinovateFall 2014.

LOYAL3 launched its mobile app:

“The LOYAL3 iOS 8 Mobile App is the easiest way to buy or sell stock, with as little as $10 and no fees. LOYAL3’s app also allows users to quickly access account information, transaction history, fund transfers, and important notifications. For those participating in IPOs, the app makes it easy to view the status of the IPO, receive notifications about IPO pricing and allocation, and confirm or withdraw their IPO reservations right from their iPhone.”
Presenting: Barry Schneider, CEO & Chairman and Matt Gidney, VP Corporate Marketing & Business Development
Product Launch: September 2014 at FinovateFall 
Metrics: LOYAL3 has raised more than $75M in funding and has 130 employees.
Product distribution strategy: Direct to Consumer (B2C), Direct to Business (B2B)
HQ: San Francisco, CA
Founded: October 2008
Website: loyal3.com
Twitter: @LOYAL3

LOYAL3 Social IPO Platform Democratizes the Investment Process


This post is part of our live coverage of FinovateSpring 2014.

Our next presenter from nearby San Francisco is LOYAL3, demoing their Social IPO Platform.

“The LOYAL3 Social IPO Platform opens up IPO access to large numbers of individuals like never before. LOYAL3 partners with pre-IPO companies to give them a way to include consumers, employees, partners, and fans in their IPO. Through LOYAL3, people can start investing in an IPO with just $100 and pay no fees to purchase the IPO stock. 
LOYAL3’s IPO platform augments and complements the traditional IPO investing process by providing a way for small investors to participate in IPOs at the same price per share and at the same time as Wall Street institutions and their largest customers.”
Presenting: Barry Schneider (CEO)
Product Launch: October 2013
Metrics: To date, LOYAL3 has 102 employees and raised more than $60 million in funding
Product distribution strategy: Direct to Consumer (B2C), Direct to Business (B2B)
HQ: San Francisco, California
Founded: November 2008
Website: loyal3.com
Twitter: @LOYAL3