European FinTech Unicorns to Watch Out For, and Why!
Europe has always been a financial powerhouse, and its stature in the global economy is affirmed by the fact that 12% of 421 unicorns globally are established in Europe. A large number of these unicorns are engaged in the Fintech Industry. European FinTech Unicorns are private technology companies that have a market valuation of $1 billion or more.
Here are a few of the top European Fintech Unicorns to watch out for along with their market valuations:
- Adyen: It is a startup based in the Netherlands that was set up in the year 2006. It was formed by a group of entrepreneurs to make an effectual payment platform to make the process of accepting payments easier. Adyen has made it possible to easily accept payments online through mobile devices. They obtained their banking license in 2017 and have reached the European unicorns list since. It has been valued at $2.3 billion.
- Klarna: It is a startup that was founded in Stockholm, Sweden, in the year 2005, with the focus on making online shopping easier for the people. It has been valued at $5.5 billion in the current market and has emerged as one of the largest European banks and has been known to provide seamless payment solutions to over sixty million consumers in over 14 countries.
- N26: It is a banking platform that was founded in 2013 in Germany. The startup is known to provide the offers to its customers that include no minimum account balances, accelerated paycheck direct deposits, no annual maintenance fee and built-in personal finance tools that have made it popular and has helped it reach the unicorn list. It has been valued at $3.5 billion in the current market.
- Greensill: Greensill is a supply chain management company that has grown tremendously over the years. It was founded in the UK in the year 2011. It has been valued at $3.5 billion in the current market. It focuses on limiting the risk of payment for both the parties of businesses and suppliers by providing early payment to the suppliers and offering the required funding for the businesses.
- Transferwise: It is a peer-to-peer currency exchange service that was started by two friends in the UK in the year 2010. The company functions on a smart model of money exchange wherein they do not move the money across the borders, rather maintain separate stacks of different currencies to provide them to the customers at competitive prices as compared to the other currency exchange services. The company is valued at $3.5 billion in the current market.
- Oaknorth: This Company acts as a bank for businesses to provide them with the required loans and finances to run their operations. It was founded in 2015 in the UK, and it largely deals with small and medium-sized businesses and their loans and finance needs. It has been valued at $2.8 billion in the current market.
- Monzo: It is an online banking platform that was founded in the UK in the year 2015. It has obtained a banking license and offers its customers the best digital experience when it comes to banking. It offers some special features to its customers like unlimited withdrawals in the UK, accounts overdrafts, free withdrawals across the world up to 200 pounds in a month, etc. all of which have made it a competitive banking model. It has been valued at $2.5 billion in the current market.
- Funding Circle: Funding Circle is a lending company that was founded in the year 2009 in the UK to provide low interest rate loans to the businesses by connecting them to the investors. It has been valued at $ 2.4 billion in the current market.
- Checkout: It was founded in the year 2012 in the UK as a model of business that provides online payment solutions for businesses in the changing market and also helps in fraud monitoring and customer services, all integrated into its unified payment API. It has been valued at $2 billion in the current market.
- Revolut: It is a digital finance platform that was founded in the UK in the year 2015. It offers services like currency exchange, banking, cryptocurrency, and stockbroking services, etc. in one platform. It has grown quickly in the market and has a valuation of $1.7 billion in the current market.
- SumUp: SumUp is yet another of the startups that was founded in the UK and has made it to the European unicorns list. It was founded in the year 2011 as a point-of-sale company. It has certainly grown over the years and offers customers bookkeeping, invoicing, third-party integrations and many more features. It has been valued at $1 billion in the current market.
- Numbrs: This is an application that supports its users to help easily administer their bank accounts and finances. It was founded in 2014 in Switzerland and has become a huge success in the market. It has grown rapidly over the years and has been valued at $1 billion in the current market and has claimed over 2 million downloads over the last few years.
- Raisin: Raisin is a pan-European company for the deposit of savings of its customers with the best-provided interest rates. It was founded in 2013 in the city of Berlin in Germany and has expanded rapidly over the years. It provides the chance of depositing the savings of the people into their company and offers exciting interest rates for their savings to increase. The valuation of the company in the current marketplace has been said to be $550 million.
- Atom Bank: It is a UK-based mobile banking platform that was founded in 2014. It is different than the usual mobile banking platforms because it offers mortgages and saving accounts to its users. Though the platform does not issue any current accounts to its users, it has announced it will partner with another fintech company to provide the current accounts facility. It has been valued at $1.2 billion in the current marketplace because of its unique features.
Based on their capability to integrate technology with financial activities, these unicorns are all set to expand their footprint globally.