Robinhood Buys Credit Card Startup X1
- 11 months ago
Robinhood Buys , Credit Card Startup X1.
The financial services company made
the announcement on June 22.
It will pay $95 million cash
for the credit card startup.
It will pay $95 million cash
for the credit card startup.
X1 "offers an income-based credit card with rewards" and doesn't charge fees, TechCrunch reports.
Their system of offering credit based
on income as opposed to credit scores is gaining steam, as the model has been
adopted by others, such as Tomo Credit.
Since being established in 2020, X1 has raised $62 million in funding, which will likely result in a high valuation, according to TechCrunch.
Robinhood said that the acquisition
represents "an important step in our journey toward broadening our product offerings and deepening
our relationship with existing customers.".
X1's co-founders, Deepak Rao and Siddharth Batra, will continue to oversee operations.
Rao will also be the general manager
of credit cards, TechCrunch reports.
The deal is expected to close in Q3 2023
The financial services company made
the announcement on June 22.
It will pay $95 million cash
for the credit card startup.
It will pay $95 million cash
for the credit card startup.
X1 "offers an income-based credit card with rewards" and doesn't charge fees, TechCrunch reports.
Their system of offering credit based
on income as opposed to credit scores is gaining steam, as the model has been
adopted by others, such as Tomo Credit.
Since being established in 2020, X1 has raised $62 million in funding, which will likely result in a high valuation, according to TechCrunch.
Robinhood said that the acquisition
represents "an important step in our journey toward broadening our product offerings and deepening
our relationship with existing customers.".
X1's co-founders, Deepak Rao and Siddharth Batra, will continue to oversee operations.
Rao will also be the general manager
of credit cards, TechCrunch reports.
The deal is expected to close in Q3 2023