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Griffin: An API-driven Banking-as-a-Service (BaaS) Platform Obtains Banking License

Image Credits: iStock.com/GaleanuMihai
By: Headliners News / March 12, 2024

Meet Griffin, a U.K.-based banking-as-a-service (BaaS) platform founded by former Silicon Valley engineers, has recently achieved a significant milestone by obtaining a full banking license. This achievement comes approximately one year after initiating the application process, signaling approval from the U.K.’s financial regulators, the Prudential Regulation Authority (PRA) and Financial Conduct Authority (FCA), to transition from “mobilization” to fully operational status.

Unlike some other players in the fintech startup space, Griffin managed to secure its banking license within a relatively short timeframe. Notably, even high-profile fintech firms like Revolut have struggled to obtain similar licenses over a period spanning multiple years. Griffin’s accomplishment underscores its commitment and efficiency in navigating regulatory processes, setting a noteworthy precedent in the industry.

Griffin’s BaaS platform offers a comprehensive solution for fintech companies seeking to provide banking, payments, and wealth management services. By leveraging automated compliance and an integrated ledger, Griffin empowers businesses to offer embedded financial solutions such as savings accounts, safeguarding accounts, and client money accounts. While Griffin primarily targets B2B clients rather than directly serving consumers, its platform enables businesses to enhance their financial offerings seamlessly.

Investors have demonstrated confidence in Griffin’s vision, evidenced by the recent $24 million extension to its Series A funding round. Led by MassMutual Ventures, NordicNinja, and Breega, with participation from existing investors Notion Capital and EQT Ventures, this latest investment brings Griffin’s total funding to approximately $52 million since its inception in 2017. The influx of capital will support the company’s expansion efforts across research and development, operations, and business development initiatives.

Griffin’s co-founders, David Jarvis and Allen Rohner, bring significant expertise to the table, drawing from their backgrounds in Silicon Valley and prior entrepreneurial ventures. Their emphasis on technology-driven solutions underscores Griffin’s commitment to innovation in the traditionally conservative banking sector. With a focus on “embedded finance,” Griffin aims to capitalize on the growing trend of integrating financial products into non-financial services, thereby enhancing customer engagement and driving revenue growth.

The rise of banking-as-a-service reflects broader trends reshaping the financial landscape, with increased emphasis on flexibility, accessibility, and innovation. Griffin’s success in obtaining a banking license positions it favorably within this evolving ecosystem, enabling the company to address diverse market needs while adhering to regulatory standards. As Griffin continues to expand its reach and capabilities, it stands poised to play a pivotal role in shaping the future of banking and financial services.

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