Member Exclusive, New banks

As it prepares to go public, MoneyLion is growing quickly, reducing losses

  • Challenger bank MoneyLion grew its revenue by 32 percent, reaching $79.4 million for the full year of 2020, according to its latest earnings report.
  • The fintech is tapping into the cryptocurrency world through its partnership with digital asset platform ZeroHash.

Email a Friend

As it prepares to go public, MoneyLion is growing quickly, reducing losses

Challenger bank MoneyLion recently announced its earnings for 2020. The company reported a revenue increase of 32 percent, reaching $79.4 million, compared to $60.4 million in 2019.

This increase was fuelled largely by revenue generated through its loan originations and its 60 percent increase in membership growth, which now ranks at around 1.4 million users. This marks a significant jump from its customer base in 2019 which amounted to around 894,000 consumers. 

MoneyLion earns its revenue primarily through its loan business and its subscription offering through a combination of fees and interest charged to its consumers. In 2020 the mobile bank reported a total payment volume growth of 84 percent to $510 million while total originations grew by 242 percent to $410 million. In 2019 these were $277 million and $120 million respectively.

“The digital financial solutions landscape changed significantly in the past year, and I'm proud of our team's ability to capitalize on market opportunities, deliver strong financial results and generate consistent, high-user growth and engagement on our platform," said Dee Choubey, MoneyLion co-founder and CEO. 

The digital banking app reported a decrease in its net loss of $32.3 million, compared to $79.1 million in 2019. 

For the first quarter of 2021, MoneyLion expects to report greater accelerated growth in its adjusted revenue to approximately $31.5 million, up 118 percent compared to the first quarter of 2020. Adjusted revenue here is defined as total revenues, net plus amortization of loan origination costs less direct charge-offs and revenue derived from phased out products.


"As our preliminary first quarter results demonstrate, this momentum has strengthened due to the advancement of our product offerings and capabilities to help more customers take control of their financial future. In light of these results, we are confident in our ability to meet our financial outlook for the full year 2021,” said Choubey. 

MoneyLion has indicated that it will be going public in the coming months through its SPAC merger with blank check firm Fusion Acquisition Corp. 

Earlier this month the fintech also announced that it will be venturing into crypto through its partnership with regulated digital asset provider ZeroHash. The fintech’s cryptocurrency feature will allow members to buy, sell and earn digital currencies. 

The offering will include a crypto rewards based program and spending roundups through debit card purchases. According to Choubey, MoneyLion members have not previously acquired crypto due to a foundational lack of knowledge in the digital asset class. 

"We want to empower people with the tools and education they are looking for to feel confident when they decide to enter this market,” said Choubey. “The MoneyLion crypto offering will provide members an intuitive way to own digital currencies within a seamless and secure environment and, through our strategic investment in Zero Hash, we're confident that we're advancing our mission to increase access to previously exclusive financial services." 

A growing number of fintechs have started offering crypto based rewards programs and services. In December of last year, Quontic Bank became the first bank to offer bitcoin rewards on credit card purchases. Crypto custodian Gemini recently announced its launch for a crypto credit card with Mastercard which offers consumers the ability to earn back 3 percent of bitcoin or other cryptocurrencies with every purchase. 

0 comments on “As it prepares to go public, MoneyLion is growing quickly, reducing losses”

New banks

Quick Take: MoneyLion partners with Column Tax – but how does the partnership align with the former’s product suite?

  • In order to provide convenient tax filing experience to its customers, MoneyLion has partnered with Column Tax. So how is this partnership in line with its product suite?
  • MoneyLion shareholders have had a rough ride lately as the firm’s share price tumbled 80% last year and 18% in February this year -- can the company gain ground in the long term on the strength of its underlying businesses?
Sara Khairi | March 16, 2023
New banks

Gamifying financial literacy is tough. Can Greenlight’s Level Up get it right?

  • Financial literacy games can be gimmicky and may fail to find the balance between “game” and “education”.
  • Level Up by Greenlight focuses on gamification in a manner that's sticky, but for the right purposes.
Rabab Ahsan | February 17, 2023
New banks

Rebundling banking services: Are fintechs trying to be more like banks?

  • Why are fintechs that have grown to a certain size continuing to pursue a banking license?
  • Luis Trujillo, CCO at Alviere sheds light on whether acquiring a license guarantees a successful banking business model for fintechs and if it constitutes a threat to banks.
Sara Khairi | January 09, 2023
Banking as a service, New banks

The Big Bank Theory Conference 2022: All session videos

  • Tearsheet's Big Bank Theory Conference brings together the most innovative players changing the face of the financial institution.
  • Here are the videos from this year's conference, held in December online.
Shabih Rao | December 21, 2022
Modern Marketing, New banks

Embracing ‘side bank’ status: 5 questions with Aaron Wollner, CMO of Quontic

  • As a community bank turned digital bank, Quontic has its own unique challenges in sticking out of the crowd.
  • In this Q&A, CMO Aaron Wollner talks about what’s new in the digital bank’s campaign work and how it’s been shifting its messaging to fit the current financial climate.
Rivka Abramson | October 19, 2022
More Articles