Fintech has experienced an expedited ascent. The industry is constantly developing new solutions to ensure that financial services are accessible to businesses and consumers at all times, regardless of their location, in response to this increasing growth. The cryptocurrency wallets, which employ artificial intelligence, blockchain, and automation technologies, are the most notable of the tech companies that have experienced exceptional growth.
At present, the fintech sector is the most robust startup sector in the United Kingdom, with more than 1,600 high-growth Fintech companies and the highest level of venture capital investment compared to any other industry.
This could present a threat to traditional banking and financial services companies as a result of the accelerated growth and success of fintech companies and the industry as a whole.
Which organizations are pioneering this revolution?
Revolut
Revolut was established in 2015. Currently, the British financial technology company is accessible in 29 countries and has a subscriber base of over 18 million. Among other transactions, users have the ability to monitor and send money, as well as trade cryptocurrency. Revolut provides a variety of programs, such as Standard, Plus, Premium, and Metal accounts.
In order to facilitate business expansion, Revolut has recently formed an alliance with Salesforce.
Revolut Bank was granted a complete banking license by the European Central Bank in December 2021. Revolut has already secured £1.27b in equity investment.
Monzo
Monzo, like Revolut, is a challenger bank that was founded in the mid-2010s (2015). Monzo is one of the most recognizable app-based institutions in the United Kingdom. At present, they have a workforce of more than 1,600 individuals, who are distributed among offices in Wales and London. Three programs are available to users: Standard, Plus, and Premium. Monzo’s Premium plan offers a variety of advantages, including free overseas withdrawals of up to £600 every 30 days and travel insurance.
Monzo intends to proceed with their crypto investment plans, despite the current market collapse.
Monzo has raised £927m in investment through 17 equity transactions, with investors such as Accel and Coatue Management.
OakNorth Bank
OakNorth Bank was established in 2013 with the intention of offering business financing and property finance to entrepreneurs between £500,000 and £45 million. The bank was designed by entrepreneurs for entrepreneurs.
OakNorth concentrates its lending efforts on enterprises that generate employment and economic expansion, yet encounter obstacles in obtaining rapid, adaptable debt financing.
OakNorth has recently funded a £1.4 million loan to a Newcastle-based automotive manufacturer in order to facilitate future expansion.
Businesses that borrow from OakNorth have the opportunity to participate in credit committees, where they can engage in direct discussions with decision-makers regarding their business’s development plans and funding requirements. A variety of business savings accounts from OakNorth are available to borrowers, in addition to committees. The fintech company has amassed an astonishing £637m in investment thus far.
checkout.com
Launched in 2012, checkout.com is a North London-based company that specializes in the development of software to assist businesses in the processing of online payments in a variety of currencies. There are currently over 150 currencies accessible. Checkout.com has expanded to over 1700 employees in 19 global offices over the past decade.
Risk management is one of checkout.com’s primary objectives. A machine learning model that has been trained to identify potentially hazardous transactions is available at Checkout.com.
Checkout.com was the first payment service provider to introduce cryptocurrency-powered weekend and holiday settlements for merchants.
In January 2021, Checkout.com was recognized as Europe’s top unicorn company, following a threefold increase in its valuation to $15 billion.
Starling Bank
Starling Bank, which is situated in the City of London, was awarded the title of “Best British Bank” for four consecutive years, from 2018 to 2021. Starling has established over 2.9 million client accounts.
Starling also offers B2B banking and payments services through its Banking-as-a-Service model, which is built on the proprietary technology platform that powers its own bank. They provide a variety of consumer accounts, including personal, joint, business, and Euro, as well as business accounts. The spending insights tool of Starling Bank has been updated to assist customers in the process of budgeting.
In its 2021 financial statement, Starling Bank reported an exceptional profit of £97.6m, the highest among the corporations we have identified.
Companies in the United Kingdom are eager to capitalize on the staggering development of the Fintech industry, which has generated a buzz. Fintech has emerged as a source of hope for recovery and development among UK businesses during uncertain times.