The word –fintech- is an amalgamation of the terms ‘finance’ and ‘technology’ and refers to any business that co-opts technology to enhance or automate financial services and processes. It is an all-encompassing lexicon that includes the rapidly growing financial industry that serves both the interests of customers and businesses in a myriad of ways. It is noteworthy to highlight that the influence and importance of fintech business has skyrocketed in recent times and innovation is a common theme in every niche – from payments to loans and credit scoring.
It should not come as a surprise when we say that the USA is the hub of the fintech revolution. With 1491 startups and an investment of USD 58.5 billion, America is at the forefront of the global fintech trend. So, without further ado, let us look at eleven of the best fintech businesses based in the United States of America.
#1 Stripe
It is an Irish-American fintech company founded in 2011 by brothers Patrick and Collision. Stripe is an online payments processor that serves some of the biggest companies in the world. Simultaneously, several small and medium-sized businesses also opt for the services of Stripe, thereby becoming a ubiquitous presence in the global fintech industry. The company’s current value is USD 95 billion, and it has tripled its valuation from 2020.
#2 Klarna
Founded in 2005 by Sebastian Siemiatkowski, Klarna offers fintech services like direct payments, pay after delivery services, investment plans, and likewise to its clients. Currently valued at USD 45.6 billion, Klarna has now transformed into one of the most extensive banking ecosystems in Europe, with 250000 merchants and more than 90 million customers. Thus, Klarna undoubtedly deserves a sweet second spot on our list of best fintech companies in the USA.
#3 Kraken
It is a crypto exchange mega-corporation premised in San Francisco, USA. Since its inception in 2011, Kraken has become a stalwart presence in the global fintech scenario with a current value of USD 10-20 billion. As of now, Kraken serves 176 countries and enlists 95 cryptocurrencies for sale.
#4 Chime
Also headquartered in San Francisco, Chime is a fintech company that has witnessed explosive sales and growth in the past year. Chris Britt and Ryan King established Chime as an alternative to traditional banking services in 2013. The company provides a debit card with no annual or overdraft charge, which can be a factor affecting its massive boom. As of February 2020, Chime had 8 million account holders, and its valuation has experienced a four-fold jump from 2018 to 2019.
#5 Plaid
Founded in 2013 by Zack Perret and William Hockey, Plaid is a fintech company that fosters communication between financial services apps and users’ banks and credit card providers. What Plaid does is keep its user’s login information private and secure while they are making a bank transaction. Plaid utilizes state-of-the-art encryption protocols to protect users’ information and data. The company’s valuation stands at USD 200 million as of 2019.
#6 Robinhood
Premised in Menlo Park, California, Robinhood is a fintech company known for pioneering commission-free stock trades, cryptocurrencies, and exchange-traded funds via a mobile phone app. The company’s current valuation is USD 6.7 billion and has a user base of 31 million people. Moreover, more than one million people are on a waitlist for its cryptocurrency wallet.
#7 Brex
It is another fintech company with its roots in San Francisco, California. Brex was founded in 2017 as a fintech company that provides business credit cards and cash management accounts to technology companies. In April 2021, the valuation of Brex stood at USD 7.4 billion after it completed a whopping USD 425 million funding round led by Tiger Global.
#8 Carta
Established in 2012, it is a Palo Alto-based financial technology firm. It was Manu Kumar and Henry Ward who set up Carta, which is known for its valuation software and management of capitalization tables. A real-time view of firm ownership helps employees, companies, and investors manage their equity. Before an initial public offering (IPO) or acquisition, shareholders will be able to sell their CartaX shares on Carta’s stock market, which started in January 2021. A total of $100 million in Carta’s shares was sold through the company’s exchange. Carta’s current market capitalization is USD 7.4 billion. “
#9 Gemini
It is one of the earliest cryptocurrency exchanges to launch seven years ago. Gemini currently processes USD 30 billion in transactions each year. It has a valuation of over USD 5 billion each.
#10 Hippo
It is a fintech company that streamlines home insurance applications and claims and processes by leveraging tools like satellite imagery, AI, public data, and so forth. Hippo’s services are now available to more than 70 percent of US homeowners.
#11 Wise
Founded in January 2011 by Kristo Käärmann and Taavet Hinrikus, Wise offers online international money transfers to customers at an average fee of 0.7 percent compared to the conventional USA bank rate of 3 to 4 percent. Wise’s revenue has grown exponentially in the last few years, and it currently reports 10 million users.
Read more: Top innovative fintech models
In conclusion, the fintech industry is in its prime right now. iScripts’ newest ground-breaking innovation – SocialWallet, is a Peer to Peer lending platform that acts as the ideal intermediary between individuals in need of credit and individuals or institutions willing to lend within a single window. The platform allows users – both borrowers and lends – to manage loan requests and listings, front-end content, payment flow, commission fee, interest rate, and so forth. Thus, SocialWallet is an ideal trajectory to operate your fintech business.
As we have already mentioned, the fintech industry is experiencing its heydays, and therefore now is the time to indulge, engage, and invest in a fintech business. SocialWallet by iScripts enables users to operate their fintech business through two distinct models – the Prosper Model and the Kiva Model. The former is an online business model wherein users interact in transactions, generating revenue by charging the users a fee or commission. Likewise, the Kiva Model is for crowdfunding loans and unlocking capital.
If you are on the lookout for creating a similar deliverable application for your company. Please feel free to contact us on 312-423-6728 or compose an email containing your business requirements and budget to sales@iscripts.com receive the best digital solutions for your company. Get a free consultation from our technical team at iScripts.
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