Digital bank N26 to withdraw from US in January to focus on Europe
German digital bank N26 has confirmed it will discontinue its US operations and will no longer serve US customers after 11 January 2022 as it turns its attention to its European business.
N26 will “sharpen its focus on its European business”
N26 says US customers will be able to use their accounts until then and will receive further instructions on how to withdraw their funds.
The fintech says it wants to expand beyond current accounts into other verticals including investment products.
The digital-first bank is also looking to move into additional markets in Eastern Europe in response to growing customer demand, while strengthening its core business in Europe where digital banking is still in its infancy.
N26 says it intends to apply the learnings from two years of growth in the US market as it expands its range of products and looks to scale across Europe.
The bank reports around 7 million customers in Europe and the US and is also making a push into South America through a presence in Brazil.
In October, N26 raised $900 million in a funding round which saw the firm claim a valuation of $9 billion.
But despite its high valuation, N26 is yet to make a profit. The firm reported losses of $252 million for 2019, while its EU division lost $127 million in 2020.
