To date, N26 has received more than $670m in investment.
Less than a week after N26 launched its product in the US, the German start-up has announced that it is now worth $3.5bn.
Today (18 July), the Berlin-founded company said that its total Series D fund has increased to $470m, after an extension of $170m was added to the round of funding.
N26 added that this news makes it the highest-valued start-up in Germany, ahead of About You, Celonis and NuCom Group. It also leaves a considerable amount of distance between N26 and one of its big mobile banking competitors in Europe, Revolut, which was valued at $1.7bn in January.
To date, N26 has raised more than $670m from investment.
A spokesperson for the start-up said: “All previous investors from the Series D funding round in January 2019 extended their investment in the company, thus underpinning their confidence in N26’s future growth and overall success.”
These investors include Insight Venture Partners, GIC (Singapore’s sovereign wealth fund), Tencent, Allianz X, Peter Thiel’s Valar Ventures, Earlybird Venture Capital and Greyhound Capital.
N26 co-founder Maximilian Tayenthal said: “Once again, our investors have placed their trust in us. This will allow us to accelerate our global expansion. The further increase in valuation is a great testament to the company’s development over the last months.”
Tayenthal told the Financial Times that the company had not planned to seek more investment but did so after existing investors encouraged it.
As well as using the funding to expand in Europe, the US and Brazil, the company will invest in a number of new features.
One of these is called Shared Spaces, which is conceptually similar to Revolut’s Group Vaults. In a press release, N26 described Shared Spaces as a feature “that will enable customers to create sub-accounts within N26 and share them with up to 10 people”.
According to N26, the company has tripled its workforce to more than 1,300 within the last 12 months, and it plans to continue hiring with this new investment.
James Fitzgerald, general partner at Valar Ventures, said: “The notion that the best consumer start-ups are all born in Silicon Valley is increasingly outdated. N26 is a prime example of digital innovation moving in the opposite direction, from Europe to the US and beyond.”
N26 currently has more than 3.5m customers in 24 European markets, with 16m transactions per month. The company’s monthly transaction volume is now more than €2bn.