London-based fintech company Curve has raised £37 million in its latest funding round, aiming to enhance its financial services and expand its product offerings. The investment, led by Hanaco Ventures, comes after Curve disclosed a £36 million loss for 2023, which marked a 48% reduction compared to the previous year. The company continues to focus on reaching profitability while exploring new ways to grow its customer base. Curve, which consolidates multiple bank and loyalty cards into a single platform, currently serves over 5.5 million users across more than 30 markets.
Curve has consistently attracted investments over the years, with total funding surpassing £200 million before this latest round. In 2024 alone, it raised over £40 million, which included £29.7 million in equity funding and £11.6 million in debt financing. The company’s efforts to reduce financial losses while planning expansion indicate a strategic shift in its business model. Previous investments have helped Curve solidify its partnerships with major financial players, including Samsung, PayPal (NASDAQ:PYPL), and Visa.
How Does Curve Plan to Use the New Funding?
The newly acquired capital will support Curve’s push towards profitability and fund the launch of new financial products. The company has stated that the funding will help it move towards achieving a full-year profit. Additionally, Curve is preparing to introduce Curve Pay, a payment service positioned as a competitor to Apple (NASDAQ:AAPL) Pay. The company argues that its alternative could help banks save on transaction fees that are typically paid to Apple.
Who Led the Investment and What Are the Expectations?
Hanaco Ventures, known for its investments in Israeli startups, spearheaded the funding round, marking its first investment in Curve. Other participating investors included existing backers such as Fuel Ventures, IDC, Outward VC, and Lord Stanley Fink. Hanaco Ventures expressed confidence in Curve’s future growth, emphasizing its commitment to digital payment solutions.
“The Curve team has proven to be resilient and innovative, and we are excited to support Curve as it continues to grow, bringing more choice and flexibility to the digital wallet market, and to its millions of users.” — Tomer Jacob, General Partner, Hanaco Ventures.
Curve’s strategy of consolidating multiple payment options into a single app aligns with broader trends in the fintech industry. The company has positioned itself as a versatile alternative to traditional banking services, aiming to increase customer convenience. With growing competition in the digital payments sector, Curve’s ability to scale while managing operational costs will determine its long-term success.
The introduction of Curve Pay signifies an effort to challenge Apple’s dominance in contactless payments. By offering an alternative that claims to reduce costs for banks, Curve is targeting financial institutions looking for cost-effective solutions. However, its ability to gain traction in a market dominated by tech giants will depend on partnerships and user adoption.
As digital wallets and payment platforms continue to evolve, Curve’s funding and expansion efforts highlight the increasing importance of financial technology in everyday transactions. The company’s ability to balance growth with financial sustainability will be critical in determining its position in the competitive fintech landscape.
