After announcing a 33% increased onboarding rate compared to this time last year, neobank Black Banx continues to retain its decade long success. Policy, customer-first approaches and offered features can be credited to the bank’s success, but one often ignored is its complete remote and user-friendly smartphone app.
Traditional banking, often referred to as brick and mortar, has dominated banking for decades. Customers became used to visiting a high street branch to deposit and manage their funds. Over the years, as smartphone adoption has risen and technology advanced, users have shunned tradition for a more modern approach in the form of digital banking.
Digital banking continues to disrupt the financial system with its customer-centric approach and range of features that traditional banking continues to lack, especially with the recent widespread use of artificial intelligence (AI). According to Finbold, who acquired the data from an unknown third party, downloads for selected six European mobile banking applications peaked at 26.3 million in 2022. This was a 54.09% increase compared to 2021. For comparison, downloads in 2018 were at only 5.63 million.
One speculative reason for this is the Covid-19 pandemic. As lockdowns caused nations around the world and the businesses within to close for health protective measures, populations sought out digital banking as a way to manage their finances following the closing of physical branches. Black Bank – led by German billionaire Michael Gastauer – also witnessed an increase in users within this time period. In 2019, the digital bank reported 8 million customers. In 2020, this increased to 10.5 million.
Who are Black Banx?
The Toronto-headquartered neobank offers borderless financial services to 180 countries, giving customers access to 28 currencies and the choice of either a private, business or institutional account. Created with the knowledge that over 1 billion adults remain underbanked, Gastauer has made Black Banx easy to sign up to, access and offer fixed fees to combat competition.
Launched in 2015, Black Banx arrived on the scene open to all individuals, with a focus on crypto users. As the traditional financial system remains wary of crypto and its non-government regulated product, digital banks, including Black Banx have catered their platform for crypto users.
In a unique approach Black Banx allows customers full autonomy over their cryptocurrency assets. Users are also able to pay third parties directly from the platform using crypto and remove their assets into a cold wallet. In addition, Black Banx is connected with the features of the crypto exchange, allowing users to see what’s happening in real time. Added benefits such as the above, is one element that has driven mobile-only digital banking application downloads over recent years.
Solely funded by Gastauer himself, the CEO refused to back down from sources of uncertainty, developing the digital bank into the success it is today.
The Black Banx banking app, available on iOS and Android, allows customers to set up an account, and manage and keep track of their wealth. Payments can also be processed via the app. As the company as a whole rejoices in its 5 star app reviews, and are clearly taking advantage of the digital banking app boom, shareholders and CEO Gastauer are thrilled with the bank’s semi-annual report.
On July 7, Black Banx released its latest growth report with particular focus on an increase of 8 million customers since December 2022. Onboarding more than 1.3 million new users a month highlights Black Banx’s place in the fintech market. During the first six months of 2023, Black Banx’s revenue has grown by 47% compared to six months prior to a total of US$997m.
However, its growth isn’t just limited to customer numbers and revenue. The bank is successfully continuing its expansion into new markets is also notable. Within the report, Regional Chief Executive Officer MEA, Jabari Walker said: “Especially with the recent launch of our West African branch in Liberia, we are seeing increased business growth in that region.”
As Black Banx’s importance and ranking in the digital banking world continues to flourish, it’s likely its mobile banking app will progress with new integrated features. After recently unveiling a fresh, more modern and user-friendly website, its mobile app is constantly being updated based on user feedback. Being able to manage and use funds flawlessly at the tap of a finger is a skill that Black Banx has mastered.
