Eco Raises $26 Million in Latest Investment Round

With cryptocurrencies and blockchain continuing their march into the mainstream, venture capitalists are taking notice of startups utilizing these technologies in new and interesting ways. Recent weeks and months have brought a flurry of investments to their firms. The latest in this line is Eco, which has just revealed an eight-figure funding round.

This week, Eco announced that it had raised $25 million in its latest funding round. The Series A was led by 16z Crypto while Founders Fund, Activant Capital, Coinbase Ventures, and Slow Ventures participated. On top of that, the startup says that those investors were joined by “more than one hundred others.” To date, Eco has raised a total of $34.5 million, having previously secured $8.5 million in a seed round led by Expa and Pantera Capital early last year.

Eco aims to help users make the most of their money while replacing their traditional savings accounts, checking account, and credit/debit card. The company says that customers will earn 2.5% (and up to 5% if they refer friends) in interest annually on deposits as well as receive up to 5% cashback on select spending — all by leveraging cryptocurrencies. Other planned features include bill pay, P2P payments, and more. Currently, the service is in a private beta but is recruiting users for their pilot program via a waitlist on their website. What’s more, the startup boasts that said waitlist is more than 140,000 users deep.

Speaking more to the firm’s goals and vision, Eco CEO Andy Bromberg said in a statement, “Eco is arriving at the moment we need it most — existing financial infrastructure is failing us, and we deserve something better. Eco puts your money back to work for you. It’s not a bank, checking account, or credit card — we’re building something better than all of those combined.”

As noted, Eco’s Series A comes as cryptocurrencies are enjoying a true breakthrough. Over the weekend, Bitcoin topped the $60,000 mark for the first time to set a new record high (although it’s since pulled back some to around $55k). Meanwhile, investments in crypto-related companies have seemingly picked up, with BlockFi and NYDIG recently unveiling $350 million and $200 million investment rounds respectively.

While Eco’s inner workings remain a bit vague (at least to the public), clearly this round of investors like what they see in the company. Plus, with the startup now inviting users from its waitlist, it won’t be long before more details about their unique offering become available. As a result, Eco suddenly emerges as a FinTech to watch as the cryptocurrency revolution really starts to gear up.

Also published on Medium.


Jonathan Dyer

I'm a small town guy living in Los Angeles looking to make solid financial decisions. I write for a number of finance websites, including HuffingtonPost and Business2Community. I founded in 2015 to focus on personal finance and the emerging FinTech markets.

Other Articles by Jonathan Dyer

Carbon Credit API Cloverly Joins Visa's FinTech Partner Connect 

Last year, Visa introduced the FinTech Partner Connect program to the United States, with the goal of introducing institutions to vetted startups that could help them expand their product offerings. Now, the latest company to join the program is Cloverly. Founded in 2019, Cloverly is an API for carbon credits, allowing businesses and consumers to help fight climate change. As the company points out, with the Visa partnership, Visa clients...

Prosper Announces $75 Million Growth Capital Financing

A long-admired FinTech has added some new capital to its coffers and it continues to grow after more than 15 years in business. Recently, Prosper Marketplace announced that it had closed a $75 million debt financing round. This capital came from a fund managed by Neuberger Bergman and will be used to help Prosper meet the demand for its loans, credit card, investment products, and more. According to the company,...

Small Business Saturday 2022 Drives Projected $17.9 Billion in Sales

This past weekend saw the kick-off to the holiday shopping season with Black Friday followed by Small Business Saturday. Now in its 13th year, the latter is a promotion meant to raise awareness for small local businesses and encourage consumers to support them. Now, the initial figures from this year's event have arrived. According to American Express (which actually invented the retail holiday in 2010), an estimated $17.9 billion were...