3 top Californian companies transforming the FinTech space
By Edlyn Cardoza
For the first time, in the 1980s, the term “FinTech” appeared when the editor of the Sunday Times business newsletter – Peter Knight, used it to describe a bot that had changed his mailbox.
Post the Global Financial Crisis in 2008; there was a major distrust among the public towards traditional financial institutions. This, along with the 2009 release of Bitcoin v0.1 and the further boom of various cryptocurrencies, shaped the financial world as we know it today.
Additionally, even the market-wide use of smartphones that provided internet access to millions of people across various parts of the world led to the emergence of FinTech. The financial services industry has constantly attracted startups that strive to change how businesses and people borrow, spend, invest, and save money.
Today, right from digital banking and insurance to wealth management and lending, FinTech companies and FinTech startups are growing fast. Furthermore, America’s most happening state – California, is the origin of many such successful FinTech spaces that have earned global fame.
Below are 3 of the top FinTechs in California that shaped the change in the financial sector:
Chime: Chime was founded in 2013 with over 12 million users. It is the fastest-growing FinTech in the U.S., is a technology company focused relentlessly on helping consumers achieve financial peace of mind. When you sign up for Chime, you get a Chime Visa, debit card, a Spending Account, an optional Savings Account, and an award-winning mobile app that keeps you in control. Applying is free and takes less than 5 minutes. Chime’s motive is opposite that of traditional banks, which profit when you overdraft or get into credit card debt. They don’t charge hidden fees, give you your paycheck up to two days early, help you grow your savings automatically, and keep you updated on your spending and account balance with the best mobile app in the industry. The Chime mobile app is available for iPhone and Android devices and has been featured as one of the best Money Management apps available at the App Store.
Robinhood: Robinhood was founded in 2013, with around 13 million users. Robinhood believes in democratizing finance for all. Robinhood was based on a simple idea—that their financial markets should be accessible to all. In an industry where barriers have prevailed for too long, this hasn’t always been easy. They are levelling the playing field by making trading more intuitive, affordable, and inclusive to ensure that everyone, regardless of wealth or industry knowledge, feels empowered to participate in the financial system.
SoFi: SoFi was founded in 2011, with 700k members and 7.5+ million registered users. SoFi is a values-driven company on a mission to help its members get their money right. They have created modern financial products and services that help people borrow, save, spend, invest, and protect their money better so that they can achieve financial independence and realize their ambitions—from owning a home to saving for retirement, paying off their student loans, and more.
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