How Current Works and Ongoing Success
Fintech startup Current has created a wide range of financial services for customers that replace traditional banking services. The company offers several features, including fast direct deposits, points and cash back, free overdrafts, and teen banking. The service is primarily conducted on the Current app, which is available for both Android and iOS devices. The app also allows for users to track their expenses, make smart budgets, and deposit checks using the phone’s camera.
While the fintech company is still fairly new, Current has seen incredible business growth in a short period of time. In fact, after reaching 1 million users last year, the startup exploded, now sitting at nearly 3 million users. This explosion in growth comes as the mobile banking business saw major expansion during the COVID-19 pandemic. With closures and capacity limits imposed on in-person banking services, mobile and neobanking solutions from a company like Current were a major benefit to users.
The startup’s business growth speed has brought a lot of attention and enthusiasm from investors, who see strong potential for the company to grow even larger in the near future.
New Funding for Current and Public Valuation
In the Series D funding round for the fintech startup, Current raised a whopping $220 million in capital. The new capital brings the business’s total funding up to over $400 million. The most recent business funding round was led by Andreessen Horowitz with participation from Tiger Global Management, TQ Ventures, Avenir, Sapphire Ventures, Foundation Capital, Wellington Management, and EXPA.
The newest funding for Current has brought the public valuation of the company up to $2.2 billion. This new valuation makes the fintech startup another unicorn as investors continue to bet big on its future success. The company plans to use the money to expand its ongoing creator partnerships to engage more users.
Current is currently at the forefront of the neobanking industry as the fintech startup looks to take advantage of the $34.77 billion market. The market is set to grow at a compound annual growth rate until 2028.
When commenting on the new funding, Current founder and CEO Stuart Sopp said, “Getting ahead is more important than ever to this generation. Building products that solve your members' financial needs now and have the potential to grow with them is as important as building a brand that is relatable. We've always been committed to providing products that make life better and with this new round of funding we'll continue to innovate to find more ways to provide value, improve financial outcomes and accelerate the growth of our company and member base."
About the Author
Tom Price is a writer focusing on entertainment and sports features. He has a degree from NYU in English with a minor in Creative Writing. He has been previously published for Washington Square News, Dignitas, CBR, and Numbers on the Boards.