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“It is so expensive to get those 10 first bank customers’: JAM FINTOP’s new fund has 66 community bank LPs

  • There's a lot of money flowing into fintech from a lot of different sources.
  • A new fund, built in partnership between a fintech investor and bank investor, brings capital from community banks to tech firms.
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“It is so expensive to get those 10 first bank customers’: JAM FINTOP’s new fund has 66 community bank LPs

Money continues to pour into the space. From IPOs to large venture rounds to SPACs, there’s a lot of liquidity sloshing around. And yet, there are still lots of opportunities. 

JAM FINTOP Banktech is a $150 million investment fund, looking to deploy capital into tech firms serving community banks around the US. What’s really interesting is all 66 of the fund’s limited partners are community banks, accounting for $600 billion in assets. That would rank as the fifth largest US bank. The fund is a partnership between Fintop Capital and Jacobs Asset Management (which we’ll refer to as JAM.)

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Robinhood is an online stock brokerage that offers its customers commission free trading and investing. Robinhood users can invest and trade in stocks, exchange traded funds, options, and cryptocurrency. Customers can invest in over 5,000 stocks with Robinhood, including most U.S. equities and ETFs listed on U.S. exchanges.

Robinhood Financial, LLC and Robinhood Crypto, LLC are wholly-owned subsidiaries of Robinhood Markets, Inc. All cryptocurrency holdings are held in Robinhood Crypto as opposed to Robinhood Financial.

The company was founded in 2013 by Stanford roommates Baiju Bhatt and Vladimir Tenev. It has its headquarters in Menlo Park California and offices in the U.S and the UK.

Account Types

Robinhood’s products are accessible through its three different accounts: Robinhood Instant, Robinhood Gold and Robinhood Cash.

Robinhood Instant

Robinhood Instant is the default Robinhood account which is a margin account that has access to extended hours trading and instant deposits. Robinhood Instant account users do not have to wait for funds to process while selling stocks or depositing up to $1000.

Robinhood Gold

Robinhood Gold comprises a range of investing tools and premium products such as greater instant deposits starting at $5000 to a max of $50k, research from Morningstar on 1700 stocks, Level II Market Data from Nasdaq and more access to trading on margin. It has greater buying power and larger instant deposits as compared to the Robinhood Instant account.


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