Digital challenger bank Current raised $200 million, boosting its total funding to over $600 million.
Current plans to use the funding to enhance and scale its accessible financial products that promote inclusion.
As part of today’s announcement, Current reported a 90% revenue increase this year and welcomed new investors General Catalyst and Cross River Bank.
Digital bank Current received $200 million in fresh capital this week. Along with the announcement, the New York-based company revealed that it experienced a record-breaking year, seeing a 90% increase in revenue.
The company has raised just over $600 million, inclusive of today’s round. Current plans to use the funds to build more accessible financial solutions.
Existing investors Andreessen Horowitz, Wellington Management, and Avenir contributed to the round. Two new investors, General Catalyst and Cross River, also participated. Current expects General Catalyst’s investment will drive member acquisition and fuel profitability. The company also said that Cross River Bank is extending warehouse funding to support Current’s Paycheck Advance product and credit-building card offering.
“Millions of Americans are struggling with affordable access to liquidity and credit,” said Current CEO and co-founder Stuart Sopp. “This new capital provides us the most efficient way to scale these solutions, including providing even higher limits of our earned wage access product to more people and setting our company on the best path to long-term success, including reaching profitability in 2025.”
Current was founded in 2015 to create a banking system that’s more affordable, accessible, and innovative. The company has a credit-building card, early paycheck advance product, fee-free overdraft, crypto trading platform, as well as a high-yield savings account with a transaction round-up savings feature.
“Current’s tremendous growth this year showcases the true product-market fit it has unlocked,” said General Catalyst’s Roy Mabrey. “We are excited to invest in the future of Current because of its demonstrated ability to scale with great unit economics and the key gap it is stepping up to fill in the market for millions of Americans who are struggling to make ends meet. We look forward to supporting Stuart and the team as they continue to grow and be at the forefront of product innovation.”
Photo by Killian Eon
Views: 64
