Greenwood Secures $40 Million in Funding Shortly After Launch

Prior to accepting its initial deposits, Greenwood, a digital banking platform focused on serving Black and Latino communities and entrepreneurs, has successfully raised $40 million in funding. This achievement comes within a few months of the service’s initial rollout.

Investment from Major Financial Institutions

The funding round includes participation from six of the seven largest banks in the United States, alongside leading payment technology companies Mastercard and Visa.

Specifically, Bank of America, PNC, JPMorgan Chase, Wells Fargo, and Truist are providing financial backing to the challenger bank. This is notable considering Greenwood was co-founded by an individual who publicly expressed support for progressive policies while campaigning for Senator Bernie Sanders.

Additional Investors Join the Round

Beyond the major banks, the investment round also features contributions from:

• FIS, a technology provider for the financial services industry
• Venture capital firms TTV Capital, SoftBank Group’s SB Opportunity Fund, and Lightspeed Venture Partners
• Sports investors Quality Control
• NFL running back Alvin Kamara

Greenwood's Founding and Mission

Greenwood, headquartered in Atlanta, was established last October by a team including former Atlanta mayor Andrew Young and Ryan Glover, the founder of Bounce TV.

Ryan Glover, Chairman and co-founder of Greenwood, emphasized the significant wealth disparity, stating, “The net worth of a typical white family is substantially higher – nearly ten times greater – than that of a Black family and eight times greater than that of a Latino family. Addressing this wealth gap is a solvable issue that necessitates collaborative efforts.” He further added, “The support from six of the top seven banks and the two leading payment technology companies demonstrates the growing influence of the Black and Latino community, and strengthens our ability to provide exceptional services to our customers.”

Inspired by Black Wall Street

The bank’s name pays homage to the Greenwood district of Tulsa, Oklahoma, historically known as “Black Wall Street” before its tragic destruction in the 1921 massacre.

Greenwood has committed to a philanthropic component, pledging to donate the equivalent of five meals to organizations combating food insecurity for each new account opened. Furthermore, a donation will be made to either the United Negro College Fund, Goodr (focused on food insecurity), or the National Association for the Advancement of Colored People with every Greenwood debit card transaction.

Support for Small Businesses

In addition to charitable donations, Greenwood will award a $10,000 grant each month to a Black or Latinx small business owner utilizing the company’s financial services.

Truist Ventures' Perspective

Dontá L. Wilson, Chief Digital and Client Experience Officer at Truist and head of Truist Ventures, stated, “Truist Ventures is dedicated to fostering positive change and strengthening communities by leading the Series A funding round for Greenwood’s innovative approach to building trust in banking within Black and Latino communities.” He continued, “Our investment reflects our commitment to economic empowerment and our purpose, alongside the opportunity to collaborate with and learn from this impressive founding team.”

Strong Initial Interest

To date, over 500,000 individuals have registered on the waitlist to become Greenwood banking customers.