Chime Financial, a digital-first mobile banking platform based in San Francisco, has reportedly initiated the process for an initial public offering (IPO), as per sources from Bloomberg.
The app offers users bank-like services, including checking accounts, high-yield savings accounts, and earned wage access. To facilitate its public offering, Chime has enlisted Morgan Stanley as the lead underwriter, with aspirations to go public by 2025.
As the leading neobank in the United States, Chime serves over 23 million customers, with nearly half relying on it as their main checking account provider. The firm primarily generates its revenue through interchange fees, boasting $1.3 billion in revenue for the year 2023.
To date, Chime has successfully raised $2.65 billion, achieving a valuation of $25 billion during the peak of the tech boom in 2021.