Online banking and PayPal changed the way we manage our finances. Now, another company plans to reinvent the bank. The European Central Bank and German regulators have given Number26, a Berlin-based startup, a full banking license to operate in Europe.
The license was given just a year and a half after the startup launched in Germany, and has now attracted 200,000 users and raised tens of millions of dollars.
Before being given a banking license, the startup could only provide a better user interface. It had to fight with restrictions from Wirecard and integrate other products, such as TransferWise.
In addition to partnering with other fintech startups, Number26 can now build its own financing products, such as savings accounts, investment products, credit offerings and more. In other words, the startup will become a full-fledged bank faster.
The company will be launching an investment product within the next few weeks and is planning to launch products for savings, credit, and insurance within the next 6 to 12 months.