TrueLayer Raises $70 Million to Build Open Banking Network

By McKenzie Carpenter Thursday, April 8, 2021

Today, TrueLayer, a fintech startup company, announced the business raised $70 million to continue building on an open banking network.

A woman using a smartphone with 'open banking' hologram concept.

About the Business

TrueLayer is a British fintech startup company that offers an open banking platform through the use of application programming interface (API) technology for other fintech companies to build apps that can connect to bank data, verify accounts, and allow real-time transaction access.

Founded in 2016 by Francesco Simoneschi and Luca Martinetti, the business has the mission to “ intelligent infrastructure that puts fintech at people’s fingertips. Empowering businesses in every industry to create first-class financial experiences.”

Simoneschi, co-founder and CEO of TrueLayer, said to Crunchbase, “We started looking at how to get access to all of the APIs, but banks all have different interfaces and there were no standards, so we went about building a new financial network that software developers could build the next generation of services on top of...Open banking is about open architecture and creating better, faster, more secure and fair ways of transacting for digital business.”

According to the fintech startup company, more than 50% of all of the open banking traffic in the United Kingdom (UK) flows through the TrueLayer platform. With more than 600 financial institutions connected and more than 12 countries represented, the business offers a variety of financial services such as credit and lending, personal finance, digital banking, and more.

Crunchbase data reports the fintech business has raised nearly $142 million in total funding across several financing rounds and investments from Temasek, Northzone, Tencent, Anthemis Group, Mouro Capital, and Connect Ventures.

$70 Million in New Funding for TrueLayer

Today, TrueLayer announced in a blog post that the fintech startup company raised $70 million in a Series D funding round led by new investor Addition and featured participation from other new and previous investors as well. A valuation for TrueLayer was not disclosed.

In an interview with CNBC, Simoneschi stated the new funding for fintech business came after a successful 2020 where the startup company expanded to 12 European markets and saw payment volumes increase as much as 600 times.

In addition, the blog post announcement details the startup company has more than 3 million users in the UK alone. With the current growth rate, 60% of the UK’s population will be using open banking technology by 2023 as the UK and European Union establish more tech-friendly regulations.

The new funding for the fintech startup company will be used to continue building upon its open banking platform, as well as further exploring international expansion in Europe and elsewhere around the world.

Open Banking Industry

The open banking industry is a fast-growing market as startup companies that use APIs are popping up around the world. Allied Market Research reports the global open banking market size could reach $43.1 billion by 2026 — a CAGR of 24.4%.

The funding for TrueLayer comes just days after Startup Savant reported that Plaid, an open banking competitor to TrueLayer, raised $425 million. Sweden’s Tink and Bud from Great Britain are among TrueLayer’s other European competitors.

About the Author

Headshot of McKenzie Carpenter

McKenzie Carpenter is a graduate of Central Michigan University with a B.A.A. in Integrative Public Relations and French. McKenzie has previously worked for small businesses and nonprofit organizations.

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