Vivid Money Secures $73M Funding for European Super App

Vivid Money Secures $73 Million in Series B Funding

Vivid Money, a German fintech startup, has successfully closed a $73 million (€60 million) Series B funding round. This investment was spearheaded by Greenoaks, with participation from existing investor Ribbit Capital.

The recent funding has propelled Vivid Money to a valuation of $436 million (€360 million). This demonstrates strong investor confidence in the company’s growth trajectory.

Positioning as a Eurozone Fintech

Vivid Money operates as a direct competitor to companies like Revolut, but with a specific focus on the Eurozone market. The platform leverages the banking infrastructure provided by Solarisbank.

This allows users to manage their finances in a comprehensive manner, encompassing sending, receiving, spending, investing, and saving capabilities.

Key Features and Functionality

Upon account creation, users are provided with a German IBAN, beginning with 'DE', and a metal debit card. For enhanced security, card details are not printed on the physical card itself.

Instead, all card information is accessible through the Vivid Money mobile application. Users can easily control their card’s functionality directly from the app, including locking/unlocking and integration with Google Pay and Apple Pay.

The platform supports account top-ups and the holding of multiple currencies. When making international purchases, a small margin is applied to the current exchange rate, generally offering more favorable rates than traditional banks.

Investment and Cryptocurrency Options

Beyond standard banking features, Vivid Money provides access to stock trading with fractional shares. Investment in stocks and ETFs is available without commission fees.

Furthermore, the app facilitates the buying, holding, and sharing of cryptocurrencies, achieved through a partnership with CM Equity AG.

Cashback and Premium Subscriptions

Vivid Money incorporates a cashback program to reward users. A premium subscription, priced at €9.90 monthly, unlocks additional benefits.

These benefits include increased limits for free cash withdrawals, the creation of virtual cards, support for a wider range of currencies, and enhanced cashback rewards.

Pockets: Sub-Accounts for Organized Spending

Users can establish sub-accounts, known as "pockets," to categorize and manage their funds. Money can be transferred between these pockets, and other users can be granted access.

Each pocket is assigned its own unique IBAN, enabling users to pay specific bills from designated accounts. Card association with individual pockets is also possible for planned purchases.

Future Outlook

Vivid Money has rapidly expanded its feature set and secured substantial funding. The next challenge lies in attracting a significant user base to effectively compete with established European fintech companies.