Fast-forward to today, and that number has grown 10x - to over $24 billion.Ĭross River Bank gets unconventional validation with a $28M VC round Prior to this raise, the bank had raised a total of $82 million in funding across three rounds.Īt the time of that 2016 raise, Cross River told us that it originated more than $2.4 billion in loans for companies like Affirm and Upstart in 2015 alone. The latest round marks the third time that a16z has put money in Cross River Bank, with the first time being in the company’s first institutional round that closed in October of 2016 - a $28 million financing which ended up closing at $30 million as others added to it. But as the biggest players in fintech have come to rely on Cross River Bank for things like embedded payments, cards, lending and crypto “solutions,” it feels far less so in 2022. At the time, the move by investors in a number of Silicon Valley’s fintech startups was seen as rare. It’s a massive jump from the company’s last raise - a $30 million round in October 2016 that included capital from Battery Ventures, Andreessen Horowitz (a16z) and Ribbit Capital. (If we want to get technical, the money was actually raised by CRB Group, the bank’s parent company.) Rowe Price Investment Management, Whale Rock and Hanaco Ventures and several other firms. Private equity firm Eldridge and Andreessen Horowitz co-led the financing, which also included participation from funds and accounts advised by T. And as fintech has exploded in recent years, so has Cross River Bank’s business - as well as investor interest. The Fort Lee, New Jersey-based institution is also a technology infrastructure provider that powers lending and payments for many of the fintechs that top VCs are also backing. But today, Cross River Bank told TechCrunch that it has raised $620 million in funding at a valuation north of $3 billion.Ĭross River Bank is not just any bank.
It’s not as typical for us to hear, though, about venture capitalists pouring millions of dollars into a traditional bank. Financial technology startups raised $121.6 billion last year - up 153% year-over-year in terms of global VC deal value - and include a range of outfits, from payments companies to digital banks to corporate spend players.