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DriveWealth to Raise $400M from Softbank and Insight Partners

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by Juhi Mirza · 2 min read
DriveWealth to Raise $400M from Softbank and Insight Partners
Photo: DriveWealth / Facebook

DriveWealth is a successful fintech startup that has recently gained momentum in terms of accelerated revenue.

DriveWealth, which is a fintech start-up that deals with providing retail investor access to the American stock market, is all set to raise approximately $400 million in a Series D round led by Softbank and Insight Partners.

The references accumulated from four persons who have been closely associated with the situation have claimed that the exact size of the deal is yet to be finalized and the growing speculation is indicating that the deal will close as soon as possible.

DriveWealth is a successful fintech startup that has recently gained momentum in terms of accelerated revenue. Taking inspiration from Robinhood, the company had gone through a phase of a sudden stock investment pattern. This trading outburst was centered around a group of retail traders who after going through a subreddit had started investing in an American video game retailer GameStop Corp (NYSE: GME) that resulted in a sudden increase in the prices of the available shares which resulted in the loss of hedge funds and limited availability of stocks.

The API-driven company had issued research in July which was based on data acquired from millions of retail investors. The research asserted that DriveWealth was able to accumulate a 20% increase in assets due to the accelerated flow of funds amounting to $28 Billion to the American stock market.

DriveWealth has been one of the most successful API-driven infrastructures that have been powering many organizations and retailers to seek smart investments. The company was founded in 2012 and has been successfully able to raise $100 million to date. The company’s CEO Bob Cortright was seen commenting on the potential raise of DriveWealth as a defining moment for the company. He further addressed the raise as a beginning of a new era for promising investment activities.

Softbank which is Japanese based conglomerate pursuing investments in crypto-related domains has recently announced their possible association with Fintech as an investment. The company is all set to invest in Fintech and structurally expand its business operations.

 
Business News, FinTech News, Investors News, News
Juhi Mirza
Author Juhi Mirza

Juhi Mirza is an archaeology major who is obsessive about blockchain/Crypto technology and deems it to be the foundational philosophy of the future. Her dogged ability to research and crystallise technical facts/multiple perspectives into rivetting stories makes her an accessible finance writer. She tends to her archaeological pursuits and loves unearthing the past over the weekends.

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