Innovation offers neobanks a key to growth

“Simple, considered the first neobank in the United States, shut its doors last winter amidst rising pressures and Varo, among others, has recently announced layoffs. Efforts to reach profitability are proving elusive for most neobanks: A recent report found that of the world’s 400 or so neobanks, fewer than 20 are running in the black.
According to Bankrate, there are approximately 23 million neobank customers today and that number is expected to hit 50 million by 2025.”