Top 7 FinTech funding rounds (America) – 2020

By Pavithra R

Financial technology or FinTech is a booming industry. It is also one of the few sectors which receive the highest amount of funding. 2020 started on solid ground, but with the outbreak of coronavirus, the industry experienced certain economic downturns.

There are several large FinTech currently on the fundraising trail. Here is a list of top companies which has raised the most amount of funding this year:

Stripe (2010)

Stripe is a technology company that builds economic infrastructure for the internet. Recently, the company raised $600 million in Series G with participation from Andreessen Horowitz, General Catalyst, GV, and Sequoia. The investment brought the FinTech’s total funding to date to $1.6 Billion. With over $2 Billion on its balance sheet, stripe kept itself in a position to provide uninterrupted service to its users in times of stress and invest in long-term improvements.

AvidXchange (2000)

AvidXchange provides automating invoice and payment processes for mid-market businesses. In April, the company has raised $128 million in equity capital. With the $260 million raised in January, the company financed a total of more than $388 million this year. The company’s solution portfolio includes Purchase Order Software, Automated Invoice Management Software, Bill Payment Software, Check Printing Software, Utility Bill Management Software. Its solutions manage the entire process from invoice to payment so that businesses can receive invoices and pay bills at any time and from any location.

Robinhood (2013)

Robinhood Financial makes it possible to make unlimited commission-free trades in stocks, funds, ETFs, options, and cryptocurrencies. The company recently raised an additional $320 million in subsequent closings, bringing its total Series F funding to $600 million. The funding round saw participation from new and existing investors, including TSG Consumer Partners and IVP, and brought the firm’s post-money valuation to $8.6 billion.

Robinhood’s cash management product helps users to earn 0.30% APY* on uninvested cash and to gain flexibility with a brokerage account. Its crypto helps to tap into the cryptocurrency market to buy, HODL, and sell Bitcoin, Ethereum, Dogecoin, and more, 24/7.

Bakkt (2008)

Bakkt is a Financial service company expanding access to the global economy by building trust in and unlocking the value of digital assets. The FinTech recently completed it’s 300 Million Series B Financing raising its total funding to date to $482.5 million. The funding round saw participation from investors, including Intercontinental Exchange, Microsoft’s M12, PayU, Boston Consulting Group, Goldfinch Partners, CMT Digital, and Pantera Capital.

Varo Money (2015)

Varo’s mission is to redefine banking, enabling everyone to make smart choices with their money. The FinTech has built its fully digital banking solution from the ground up faster than initially planned. Recently, the FinTech closed a $241 million Series D funding round, co-led by new investor Gallatin Point Capital and existing investors. Recently, Varo was granted its national bank charter from the Office of the Comptroller of the Currency (OCC).

Brex (2017)

Founded by Henrique Dubugras and Pedro Franceschi, Brex is rebuilding B2B financial products, starting with a corporate card for technology companies. In May, the company announced its Series C funding of $150 million from investment groups, including Lone Pine Capital, as well as a group of existing investors led by DST Global.

Brex helps startups of all sizes to get a card that has 20x higher limits instantly, completely automates expense management, kills receipt tracking, and integrates with their accounting systems. It also offers approved customers with virtual cards enabling them to get started quickly.

Marqeta (2010)

Marqeta brings speed and efficiency to card issuing and payment processing with its open API platform. The FinTech recently raise $150 million in funding bringing the company’s total value to $4.3 billion. The latest financing comes on the heels of Marqeta’s previously announced $260 million equity financing led by Coatue and included participation from Vitruvian Partners and several others. The company is also backed by Visa, Goldman Sachs, 83North, Granite Ventures, and ICONIQ Capital.