Bnext raises $25 million for its mobile banking alternative
Fintech startup Bnext has raised a $25 million funding round. The Spanish company is building a banking product and has managed to attract 300,000 active users.
DN Capital, Redalpine and Speedinvest are leading today’s funding round. Existing investors Founders Future and Cometa are also participating. Other investors include Enern, USM and Conexo.
When you open a Bnext account, you get a card and you can upload money to your account. Bnext accounts aren’t technically bank accounts — the company has an e-money license. You can then use your card and spend money anywhere around the world without any foreign transaction fee. You can also freeze and unfreeze your card from the app.
“As of now we’ll stick to the e-money license, as our international expansion plans complicate potential passporting of banking licenses. We will first need to understand in which countries makes more sense to get a banking license, and then we’ll make a decision,” co-founder and CEO Guillermo Vicandi told me.
You can also connect to your traditional bank accounts from the Bnext app. This way, you can manage your money from a single app.
And Bnext takes this one step further by offering financial products from third-party companies as well. It’s clear that the company wants to build a financial hub, the only finance app that you need.
You can lend money to small and medium businesses and earn interests through October, you can save money using Raisin, you can get a loan, a mortgage, an insurance product, etc. Bnext generates revenue from those partnerships.
While Bnext only operates in Spain for now, the company has managed to attract 300,000 active users. It processes €100 million in transactions every month ($109 million).
Up next, Bnext plans to offer premium plans with more features and individual IBANs. The company also plans to expand to Latin America, starting with Mexico later this year.