The fintech company United Fintech Group Limited has secured strategic investments from banking giants BNP Paribas and Citigroup, marking a significant shift towards collaborative fintech innovation within the industry.
This marks the first instance of major banks backing United Fintech, signifying a move towards increased cooperation between financial institutions and fintech providers.
Both BNP Paribas and Citi will be granted rotating seats on United Fintech’s board of directors, enabling them to contribute to the strategic direction of the platform.
Christian Frahm, CEO of United Fintech, hailed the investments as a testament to forward-thinking leadership and predicted that more financial institutions would soon follow suit.
Frahm had previously hinted at the company’s readiness for institutional collaborations, a forecast that is now materialising.
In addition to the investments, United Fintech has committed to hosting quarterly roundtable discussions among key industry players to foster dialogue and collaboration on innovation.
Junaid Baig of BNP Paribas emphasised the bank’s aim to uphold high standards for fintech companies like United Fintech, while Citi’s Ayesa Latif highlighted the platform’s role in complementing existing bank offerings.
Established in 2020, United Fintech anticipates that these investments will pave the way for further support.
With the additional funding, the company will continue its efforts to create an open ecosystem facilitating collaboration between banks and fintech firms in driving digital transformation.
United Fintech’s expansion strategy involves acquisitions and partnerships aimed at revolutionising financial markets through digital means.
Led by industry veteran Christian Frahm, the company has completed five acquisitions in retail and institutional tech sectors, aiming to empower startups with necessary resources.
One such collaboration involves a partnership with Danske Bank, Denmark’s largest lender, to enhance chart functionalities on its District platform through Netdania, a member of the United Fintech family.
The company’s strategic acquisitions include Netdania in 2020 and Cobalt, a provider of data and risk services for digital assets and forex markets.
These moves underscore United Fintech’s commitment to reshaping finance through digital innovation and strategic growth.