This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.
Finovate Blog
Tracking fintech, banking & financial services innovations since 1994
Fintech in Africa has experienced a growth spurt in recent years. Last month, investment banking firm FT Partners took a deeper look into the state of fintech in Africa in a report titled Fintech In Africa: Momentum is Building and the World is Taking Notice. The report examines underlying drivers of recent growth, offers details of the fintech investment scene, and provides an update on the state of important trends such as challenger banking and open finance.
Below are a handful of highlights from the 207-page report, which you can check out in its entirety on FT Partners’ website.
Underlying drivers of growth
The report highlights the multiple factors currently creating the perfect storm for fintech growth in Africa at the moment. The continent’s young, underbanked, tech-savvy population has long-favored cash, but is showing increasing favor for mobile-first technologies as mobile adoption rises and governments seek to further financial inclusion.
Some of the supporting statistics include:
Almost half of the world’s mobile money customers reside in Africa
More than half of Africans are unbanked or underbanked
65% of those in Sub-Saharan Africa are unbanked or underbanked
90% of payments are still made using cash
Mobile penetration is 80%
47% have access to internet
The African Continental Free Trade Area Agreement went into effect in 2019, opening up cross-border payments and creating the potential for a single currency.
State of Open Banking
It is well known that open banking and open finance create a wealth of benefits to end consumers– including increased control over use of their data. In addition to this, Africa is poised to benefit from open banking, which is expected to extend banks’ reach to rural populations and lower costs and barriers to entry of banking services by facilitating innovation in the space.
Nigeria, Kenya, and South Africa have each made inroads into creating formal regulation surrounding open banking:
Nigeria’s Central Bank issued its regulatory framework for open banking in 2021 and is currently working on operational, technical, and security guidelines
Kenya’s Central Bank emphasized open infrastructure as a strategic pillar for the financial services industry as part of its four-year-strategy announced in 2020
South Africa is home to six banks currently offering customers open banking services.
Challenger banking scene
Many fintechs have risen to serve the underbanked or unbanked populations in Africa, a group that makes up more than half of the country’s total population. FT Partners reports that many challenger banks are finding initial success in serving as alternative lenders to customers that lack access to traditional banking channels, and then building out a more robust set of services on top of their lending offering. Key to this, the report notes, is an efficient and reliable underwriting model.
Fintech investment scene
In 2022, African fintechs garnered $1.5 billion in funding across 135 deals. This is up significantly from 2019, when the continent’s fintechs brought in $340 million across 27 transactions.
In such a cash-heavy, underbanked society, it is no surprise to see that payments and banking technology was the most popular sub-sector for investors in 2022, having received more than $2 billion in funding volume. The report also notes that the payments and banking technology is responsible for more than half of the fintech financing deals over the course of the past six years.
New investors in the African fintech space over the past two years include:
The new agreement enables Wirex to issue its crypto debit and prepaid cards to more than 40 countries.
The company is working on finalizing another partnership that will facilitate card issuance in Australia.
Cryptocurrency payments company Wirex unveiled a strategic partnership with Visa this week. The agreement makes Wirex a member of Visa in the U.K. and in the Asia Pacific region and will enable the fintech to issue its crypto debit and prepaid cards to more than 40 countries.
The two players began their partnership at Wirex’s launch in 2015, when the U.K.-based company unveiled its crypto-enabled Visa card. The payment card enables users to buy, hold, exchange, and sell 150 currencies– from traditional to cryptocurrencies. Additionally, Wirex customers can use their Visa card to spend their currency holdings at live rates at more than 80 million locations where Visa is accepted.
In addition to the live crypto-to-fiat conversion, Wirex offers free international ATM withdrawals, zero monthly fees, free fiat-to-fiat exchanges, and up to 8% back in crypto rewards on every purchase.
“It’s great to strengthen our partnership with Visa, who have played an important role in allowing us to bridge the gap between the traditional and digital economies,” said Wirex APAC Regional Managing Director Svyatoslav Garal. “Visa’s proven commitment to safety, security and innovation will help us to continue developing a next-generation app and card.”
The partnership aligns well for payments giant Visa, which is working to position its brand in the Web3 space. “Visa wants to bring more payment options to consumers by connecting digital currencies with our network of banks and merchants,” said Visa Head of Digital Partnerships, Asia Pacific Matt Wood. “We’re excited that Wirex is expanding their focus on Asia Pacific, making it easy and seamless for people to spend their crypto balance at the millions of merchants that accept Visa in the region.”
Wirex was founded 2014 by Pavel Matveev and Dmitry Lazarichev. Since then, the company has raised $27.8 million in funding and facilitated more than $20 billion in crypto transactions. Wirex, which expanded to the U.S. last year, said it plans to make a partnership announcement “in the coming weeks” that will facilitate card issuance in Australia.
Cross-border payments company Tazapay raised $16.9 million in Series A funding.
The investment, which brings the company’s total funding to $21.9 million, was led by Sequoia Capital Southeast Asia.
Tazapay processes “hundreds of millions” of dollars each year in card and local, real-time payment methods.
Singapore-based cross-border payments company Tazapayclosed $16.9 million in Series A funding for its cross-border payments technology today. Today’s round, when combined with the company’s Seed rounds, boosts Tazapay’s total funding to $21.9 million.
Investors include Sequoia Capital Southeast Asia, which led the round, along with new investors EscapeVelocity (escp.vc), PayPal Alumni Fund, and angel investor Gokul Rajaram; and existing investors Foundamental, January Capital, RTP Global, and Saison Capital.
Commenting on the investors, Tazapay CEO and co-founder Rahul Shinghal said, “These partners will help us realize our vision to be the foremost cross border infrastructure for global platforms as we double down on growing our market presence and consolidating every real-time banking network in the world under one API. We are grateful to both our new and existing investors for acknowledging the evolving needs of our ecosystem and supporting our aspirations.”
Tazapay will use today’s investment to scale across Asia, expand in the Middle East and Europe. enhance its core capabilities, and add more local payment methods for cross-border e-commerce, education technology, Software-as-a-Service, and travel.
Founded in 2020, Tazapay facilitates card and local, real-time payment methods for businesses and consumers. The company’s API offers access to a global network of 170+ markets for its card coverage and 85 markets and processes “hundreds of millions” of dollars each year.
The investment comes at a time when both interest in and development of real-time payment technologies are on the rise across the globe. PhonePe, one of India’s largest fintechs, recently announced it will make its UPI payments available in the UAE, Singapore, Mauritius, Nepal and Bhutan. And in the U.S., the Federal Reserve’s FedNow payment scheme is nearing completion. In fact, banking-as-a-service provider Finzly just unveiled a new API yesterday that offers connection to the U.S. FedNowService in a sandbox environment.
Hong Kong and Shanghai Banking Corporation (HSBC)launched a new digital payments solution this week. The new offering, called HSBC Merchant Box, is designed to make it easier for SMEs to make international payments across regional and global e-commerce platforms using real-time exchange rates.
HSBC Merchant Box will be available to selected HSBC commercial customers initially. The technology is subscription-based and is fully integrated into HSBC Business Internet Banking. A range of fee options helps make the offering more affordable for businesses of different sizes and payment requirements. The company noted that it will extend the service to all customers in Hong Kong “in the coming months.”
Cross-border ecommerce is a significant factor in China’s external trade operations, HSBC Head of Commercial Banking Frank Fang explained. As a major regional trade hub, Hong Kong is seen as especially well-located to take advantage of the opportunity for greater and easier trade between companies in the area. HSBC Merchant Box also arrives at a time when there is greater travel between Hong Kong and mainland China due to the easing of COVID restrictions regionally.
“Simple and cost-efficient payment management solutions are key to the success of small- and medium-sized ecommerce merchants,” HSBC Managing Director and Regional Co-Head of Global Payments, Asia Pacific Yvonne Yiu said. “HSBC Merchant Box reduces the complexity of cash flow management for SMEs by giving them speed, control, and visibility on their international receivables and payments.”
Speaking of Hong Kong and payments, HK-based digital payment platform developer Yedpayannounced a new partnership this week. Yedpay is teaming up with Venture Cap, the Thailand-based subsidiary of ASL Securities, as well as the Hong Kong Polytechnic University and Easylink to help drive fintech innovation in the ASEAN region. “ASEAN” refers to the Association of Southeast Asian Nations and includes Vietnam, Thailand, Singapore, Philippines, Myanmar, Malaysia, Laos, Indonesia, Cambodia, and Brunei.
The announcement was made as part of the 16th Asian Financial Forum (AFF). YedPay offers an open payment platform that helps merchants process credit card transactions and e-wallet payments in brick-and-mortar locations as well as online. The firm has played a major role in developing Hong Kong’s cashless market, and in helping Hong Kong’s taxi industry go digital. At the forum, Yedpay COO Beatrice Tai said that the company planned to expand its business across borders, with an initial stop in Thailand. Yedpay also expects to launch new diversified financial products and build an “ASEAN Payment Hub” that would connect markets in ASEAN, Hong Kong, Taiwan, and mainland China.
Co-founded in 2014 by Chief Operating Officer Beatrice Tai, Yedpay offers an all-in-one payment platform for merchants. The company’s solution supports multiple payment methods on a single device, giving customers greater flexibility when making payments and making the collection process easier for merchants. Yedpay is also known as The Payments Cards Group Ltd.
Hong Kong-based digital bank ZA Bankintroduced new CEO and Executive Director Ronald Iu. He was appointed to his new position after serving as Chief Strategy Officer for Za Bank parent company ZA International in February 2022, and was subsequently promoted to Chief Risk Officer at ZA Bank. The banking and finance executive has more than 20 years of experience in the industry, having been chief executive at Airstar Bank, a General Manager and Executive General Manager at China CITIC Bank International Ltd, and CEO of HKCB Finance Ltd.
Iu takes the top spot from outgoing Rockson Hsu who was ZA Bank CEO for nearly four years. ZA Bank has not yet announced a new Chief Risk Officer.
One of the first virtual banks to be established in Hong Kong, ZA Bank received its license from the Hong Kong Monetary Authority in 2019, publicly launched in 2020, and introduced its business banking services for local SMEs in 2021. The firm currently has more than 600,000 users.
Here is our look at fintech innovation around the world.
Sub-Saharan Africa
Is Nigeria ready for a “cashless economy”? Techpoint Africa looks at the country’s attempt to redesign its currency as a cautionary tale.
Tempo France and Nairagram teamed up to enable remittances from the EU to 20 countries in Africa.
TechCabal reviewed the “State of Buy Now, Pay Later” in South Africa.
Finzly has released an API connection to the U.S. FedNow Service.
The API enables developers to test out the new set of payment rails in a sandbox environment.
FedNow, the U.S. Federal Reserve’s real-time payment rails, is set to launch later this year.
Banking-as-a-service provider Finzlyreleased its new API that offers connection to the U.S. FedNowService in a sandbox environment.
Through its sandbox, Finzly enables fintech, bank, and third party developers to use its API to build real-time payment experiences via the FedNow’s pilot version.
“The future of the economy is connected and real-time. Insurance payouts, government benefits, healthcare payments, online commerce, subscriptions, point of sale, investment, lending, treasury, and several other platforms are expected to connect to the new FedNow Service for an integrated, cardless, bank-to-bank, instant payment experience,” said Finzly Founder and CEO Booshan Rengachari. “Finzly APIs and its direct connection to the FedNow service will accelerate the adoption of instant payments in several use cases. We are excited about being the world’s first player to offer access to FedNow service via an API.”
Launching later this year, the U.S. Federal Reserve’s FedNow Service is a set of new, real-time payment rails. The service will facilitate instant money transfers to and from any U.S. financial institution at any time of day, on any day of the week for both commercial and retail customers.
Today’s news comes a little over two years after Finzly announced it was among 110 other organizations participating in the FedNow pilot program, a beta test of the new rails. Other non-bank pilot participants include ACI Worldwide, Finastra, Jack Henry & Associates, and Q2 Software.
Founded in 2012, Finzly offers banking-as-a-service tools via Finzly OS— which it demoed at FinovateSpring last year– that enable users to launch a modern bank from scratch. The company offers an API that connects to all U.S. payment rails, including Fed ACH, Fedwire, RTP, SWIFT, and now FedNow. Formerly known as SwapsTech, the North Carolina-based company recently added a handful of clients, including Veritex Community Bank, Coastal Community Bank, First Internet Bank, and ICBA Bancard. Finzly recently
A new fintech called Fierce has emerged from stealth with $10 million in seed funding.
The company’s iOS-based app features a cash account with an APY of up to 4.25%; a Rewards Credit Card is planned for later this year.
Fierce is backed by investors including Pendrell, AP Capital, Wheelhouse Digital Studios, and Space Whale Capital.
Fierce, a fintech based in New York, emerged from stealth this week with an iOS-based app and $10 million in seed funding. The investment came from institutional investors including Pendrell, AP Capital, Wheelhouse Digital Studios, and Space Whale Capital, as well as angel investors. The funding will help Fierce add to its team, build up its customer base, and market its solution.
“Fierce is a customer focused, feel-good finance app,” Fierce founder and CEO Rob Cornish said. “We are truly mission-driven in our effort to bring the best of fintech to people, so we built an incredibly advanced platform with a simple UX to give as much yield as possible to our customers. Our goal is to help users increase their wealth while enjoying an empowering, positive experience on the app.”
Founded in 2021 by a team of financial services professionals with backgrounds in both challenger and traditional banking, as well as cryptocurrencies and U.S. stock exchanges, Fierce offers users an all-in-one financial app for savings, spending, investing, and more. Fierce features an FDIC-insured cash account with an APY of up to 4.25% and no monthly fees. The app also enables users to buy shares of both stocks and ETFs – including the purchase of fractional shares – as well as participate in Fully Paid Securities Lending (FPSL) through which investors can earn passive income by lending their stocks. Note that FPSL does not prevent investors from trading their shares at any time.
Fierce also said that it plans to introduce a Fierce Rewards Credit Card later this year. The card will offer 1.5% cash back on all spending, and all interest and rewards earned are automatically redeemed into the user’s portfolio. Additional functionality – such as access to personal loans, mortgages, insurance, and more – is planned, and Fierce expects to offer an Android version of its app later in 2023.
“Fierce is entering the market with a powerful solution that allows customers to take control of their finances while calming the financial anxiety that many people face today,” Fierce angel investor David Krell said. “We’re confident in the company’s ability to provide customers with the means to create financial stability for the long run.”
A look at the companies demoing at FinovateEurope in London on March 14. Register today and save your spot.
Merlin is a multi-asset educational, strategic, and tracking tool for personal investment strategies, complementary to any trading platform and designed for any kind of retail investor.
Features
Access different market data and sentiment all in one place
Easily create, analyze, compare and backtest infinite sets of investment strategies
Track the performance of portfolios
Why it’s great
Merlin empowers retail investors to easily build and manage their own investment strategies.
Presenter
Guido Petrelli, Founder & CEO For more than a decade, Petrelli was the CFO and COO of a multinational company operating in the automotive sector. LinkedIn
A look at the companies demoing at FinovateEurope in London on March 14. Register today and save your spot.
°neo by Five Degrees is a next-gen core banking system offering a wide variety of financial products and standard banking processes and enabling a full 360-view on customers, companies, products and their relations.
Why it’s great
°neo enables financial institutions to create banking-grade experiences for their customers in a faster, flexible and more cost-efficient way.
Presenters
Maurits van Schooneveld, Head of Business Development van Schooneveld is an experienced FinTech strategist and commercial manager on a mission to guide financial institutions to modern banking technology. LinkedIn
Fridrik Reynisson, Chief Architect °neo Reynisson is an experienced technical leader and has worked on fintech innovation for over 15 years, enabling banks to build great value for their customers. LinkedIn
A look at the companies demoing at FinovateEurope in London on March 14. Register today and save your spot.
StockRepublic offers white label social trading apps for banks and brokers to provide their customers with features like social feeds, performance benchmarks, and access to like-minded people.
Features
Customizable to fit unique brands and needs
Ready to launch with weeks with no internal developer required
Fully compliant
Why it’s great
From organic growth to greater customer engagement and loyalty to increased trade volumes, StockRepublic’s social trading platform drives powerful results.
Presenter
Maximilian Knopp, Managing Director Germany & Head of Business Operations With vast working experience in innovation and business development roles, Knopp understands what makes a great product, how to adapt to modern times, and what it takes to succeed in a market. LinkedIn
Bitcoin While Black: The impact of the cryptocurrency crisis on communities of color
One of the relatively underreported stories of 2022 – at least in the fintech press – was the impact of the cryptocurrency crisis on communities of color – especially African-American communities. At first glance, this might appear to be an odd take: why – and how – would a community that has historically been more un- and underbanked than the population at large end up being especially affected by a crisis in such a niche area of contemporary finance?
As Annie Lowrey wrote in a comprehensive article for The Atlantic back in November, it was years of “neglect” from the traditional financial system that made African Americans especially vulnerable to the appeal of cryptocurrencies as an alternative. Add to this the post-George Floyd “racial reckoning” and renewed emphasis on ethnic identity among many African Americans, and it is easy to see how many came to see investment in cryptocurrencies as a way of building the kind of generational wealth that has eluded black Americans for, well, generations.
And there was no lack of enthusiasts encouraging black Americans to pursue this path, either. For much of 2021 and into 2022, my inbox was filled with queries and requests for interviews from entrepreneurs eager to make the case that cryptocurrencies were the ticket to take black Americans to, if not wealth, then at least a greater sense of financial independence and empowerment. Books like Bitcoin & Black America and Bitcoin for Black People, as well as events like the Black Blockchain Summit all helped encourage African Americans to believe that they could do things with digital assets that too few had been able to accomplish via the world of traditional banking and fiat currencies.
I’ll leave it up to Lowrey to describe what went wrong – though the perennial problem of investors arriving late to a booming market helps explain a lot of it. Whether the cryptocurrency bust of 2022 sours African American investors on digital assets in an enduring way remains to be seen. But Bitcoin won’t be the last boom to come knocking on the doors of the African American community – after it has already visited every other neighborhood in town.
Revolut introduces crypto staking
Revolut announced this week that it is giving its customers in the U.K. and Europe the opportunity to earn cryptocurrency rewards if they allow financial institutions to “stake” their coins as part of a blockchain transaction verification process. Staking, as explained by Revolut’s Kirsty Daniel this week, involves participating in proof-of-stake blockchains which, like mining, help support the security of the overall network. Only certain coins are available for staking – Ethereum, Cardano, Polkadot, and Tezos, for example (not Bitcoin), and individuals who participate in staking can earn a significant percentage return for their (or the blockchain’s) efforts. Daniel noted that cryptocurrency stakers can earn up to 11.65% APY in crypto rewards by staking qualified crypto holdings.
Read more about staking in this extensive explainer provided by Coinbase. What is staking?
Among the risks to staking are the fact that there tends to be a “lockup” or “vesting” period during which the cryptocurrency cannot be transferred. This can be a challenge because holders are not able to trade staked coins during this period – even in the event of a major market disruption. Revolut’s decision was seen by analysts as an affirmation of the company’s commitment to supporting cryptocurrencies as the industry has been rocked by scandal in recent months.
Blockchain infrastructure platform Paxos opens R&D center in Israel
Blockchain and tokenization infrastructure platform Paxos announced last week that it was launching an engineering research and development center for security and cryptography in Israel. The center will house senior, staff, and principal engineers that have specialized skills in enterprise-grade security, applied cryptography, and blockchain technology. Paxos expects the R&D center to serve as an incubation hub for research into building security and cryptography solutions on top of the blockchain.
“We’re redefining financial markets and we believe our next generation of both software and hardware technical experts call Israel home,” Paxos Senior Director of Engineering Vitaliy Liptchinsky said. “As a safe, regulated platform that has continuously and steadily grown amidst all past digital asset market volatility, Paxos offers talented developers the opportunity to join a strong team uniquely positioned to serve some of the most sophisticated global enterprises.”
Paxos’ infrastructure reaches more than 400 million users. The largest issuer of regulated, transparent stablecoins, Paxos uses technology to tokenize, trade, settle, and maintain custody of digital assets. The company has developed blockchain solutions for institutions like fellow Finovate alums PayPal, Mastercard, and Nubank; and has raised more than $540 million in funding. Charles Cascarilla is co-founder and CEO.
Cointelegraph unveils its list of the Top 100 “crypto heroes and villains” for 2023
For the fourth year in a row, Cointelegraph has released its list of the Top 100 most influential people in the cryptocurrency and blockchain industry. The publication will reveal the list in its entirety over the next three weeks.
Starting with #100 through #91, some of the more interesting – and unexpected – entries so far include Russian tennis star Maria Sharapova at number 96 (“Sharapova has been involved in a series of investment ventures in recent years, including in the cryptocurrency and blockchain industries, and is currently an investor in MoonPay, a blockchain payments company …”) and “Artificial Intelligence” at #93.
Writing on request about AI’s presence on the list, ChatGPT opined: “… it is expected that artificial intelligence will have a signifiant impact on the cryptocurrency and blockchain industry … one of the main ways that AI will impact the cryptocurrency and blockchain industry is through the use of smart contracts.”
The rise of AI-focused cryptocurrencies
Speaking of the relationship between cryptocurrencies and AI, CoinDesk published an interesting article this week on the way AI-focused cryptocurrencies have outperformed Bitcoin. “Vastly” in the words of author Shaurya Malwa.
What tokens are we talking about? In recent weeks, tokens for platform like Alethea’s artificial liquid intelligence (ALI) and Image Generation AI (IMGNAI) have turned in the kind of performances that have cryptocurrency investors and traders buzzing. Malwa noted that while Bitcoin and ether have returned a more-than-respectable 30% each over the past month or so, these AI-focused upstarts are producing returns that dwarf those – and in less time.
Malwa seems to suggest that much of what is driving these new assets is the same combination of novelty and opportunity that initially drove Bitcoin and ethereum. Malwa quotes Ravindra Kumar, founder of crypto wallet Frontier, who credited “early interest, potential, and hype” for the outperformance of AI-focused cryptocurrencies, but still observed that there are some “innovative and compelling use cases” emerging.
Canoe received $25 million for its alternative investment intelligence platform.
The Series B round was led by F-Prime Capital with participation from Eight Roads Ventures and others.
Canoe will use the funds to hire new employees, enhance its products, and expand into Europe.
Alternative investment intelligence company Canoe Intelligenceclosed out its Series B round today, announcing a $25 million round led by F-Prime Capital with participation from Eight Roads Ventures and others.
“Following a year of significant growth and progress for Canoe, we are thrilled to partner with F-Prime and Eight Roads to advance Canoe’s capabilities for the alternative investment ecosystem,” said company CEO Jason Eiswerth. “As alternative investments continue to gain popularity amongst institutional and individual investors, the new injection of capital will allow us to further serve our customer base and streamline alternative investment data globally.”
Today’s round follows the company’s Series A rounds, which were announced in 2020 and 2021 and led by The Carlyle Group and Nasdaq Ventures. All previous investment amounts were undisclosed, so Canoe’s total funding is unknown.
Canoe will use the funding to hire new employees, enhance its offerings for enterprise customers, develop new data products, and work on its core platform. The company will also begin a push to expand into European markets. “The EMEA alternative investment industry is nearly the same size as North America and its data challenges are identical, yet today there is no comparable local solution,” said Eight Roads Partner Alston Zecha. “Canoe has a significant opportunity to deliver customer value in Europe first where it already has a presence, as well as other regions in [the] future.”
Canoe was founded in 2013 to help alternative investment firms streamline their data management processes. The company’s platform leverages AI and machine learning to automatically collect and categorize documents, extract and validate data, and deliver the sorted data investors need to make more informed investment decisions.
Each year, Canoe processes over six million documents and extracts more than 20 million data points. When compared to a manual approach, Canoe’s AI-based automation results in a 20x increase in the number of funds each employee can process. The New York-based company, which currently supports more than $5 trillion in assets under advisement, grew its client base over 200% in both 2021 and 2022.
Investing and savings platform Stash introduced new CEO Liza Landsman.
Landsman will take the helm from co-founder Brandon Krieg, who will transition into the role of Head of Business Development.
Stash made its Finovate debut at FinovateFall 2017 in New York.
Investing and savings platform Stash is starting the month with a brand new Chief Executive Officer. Effective Monday, technology executive, veteran venture investor, and independent Stash board member Liza Landsman took over the top spot at the New York-based fintech. Landsman succeeds Stash co-founder Brandon Krieg, who will transition into the role of Head of Business Development. Co-founder Ed Robinson will continue to serve as company President.
“Liza is the right person to lead Stash as we continue to hit major revenue and customer milestones and evolve the business,” Krieg said. “Her experience and knowledge of consumer products, e-commerce, and fintech is ideally suited to the opportunities ahead.”
With more than two million active subscribers, Stash offers a banking and investing app designed to simplify personal financial management. With a starting price of $3 a month, the company offers a variety of investing, banking, education, and financial advice subscription-based products. Last year, Stash launched its new banking infrastructure Stash Core, that will enable the company to launch new capabilities in credit, savings, lending, and more. Stash’s new banking account experience – which includes access to Stash’s upgraded Stock-Back Debit Mastercard – was built on Stash Core, and is an example of the kind of solutions that will be available via the platform.
“Stash Core gives us flexibility and ownership of every customer touchpoint,” Krieg said when the technology was unveiled last September. “It’s the future of inclusive finance and transformative to our business.”
In her role as CEO, Landsman will lead a company that topped $100 million in revenue and achieved growth of nearly 30% in 2022. At a time of economic uncertainty – including concerns over inflation and fears of recession – Stash customers set aside nearly $3 billion on the Stash platform via regular, automated deposits averaging $30 each.
“Stash empowers millions of Americans to manage and grow their wealth,” Landsman said. “Its simple-yet-disruptive subscription platform, rooted in a deep commitment to the financial well-being of our customers, is exactly what millions of everyday Americans need today.”
Landsman comes to Stash after serving in major operations and leadership roles at Jet.com, Citigroup, BlackRock, and E*Trade. Most recently Landsman was a General Partner at global venture capital firm NEA.
