Monzo to launch US operations

Monzo

One of Britain’s first licensed digital bank, Monzo is mulling launch of its operations in the United States.

People familiar with the matter told Reuters in confidence.

While Monzo has declined to comment, there are signs that the UK’s digital banking providers will be using its 2 million customers to leverage the American market.

Data compiled by Reuters News estimated that the United States’ financial services sector is worth $7 trillion and the entrance of Monzo will be a new dynamics in the market.

Richard Lumb, group chief executive for financial services at consulting firm Accenture told Reuters that “For UK fintechs looking to fly the nest, one major contrast will be the complexity of federal- and state-level laws, compared to the UK’s fintech-friendly regulatory environment.”

Last week, JPMorgan said it was closing down Finn, a digital bank targeted at young people.