Providing A Money Experience: MX Banks On $300M Series C

Fintech data company MX aims to connect people with their financial data in a way that automates their “money experience.”

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Buoyed by a $300 million Series C round of funding, the Lehi, Utah-based company aims to make interacting with money similar to shopping on Amazon, streaming movies on Netflix or music on Spotify, Ryan Caldwell, co-founder and CEO of MX, told Crunchbase News.

“MX is at the epicenter of leveraging data to create positive money experiences,” he said. “In the financial services industry, they are not using data to help the user come up with what they need to do next with their money. Accounts go down to zero without any warning. We are connecting data, and since we know the nature of the transaction and know the customer concerns, we can prompt them with the right warning.”

The company, founded in 2010, is already working with more than 2,000 financial institutions and 43 of the top 50 digital banking providers, Caldwell said.

TPG Capital led the investment with participation from new and existing investors including CapitalG, Geodesic, Greycroft, Canapi Ventures, Pelion, Point72 and Digital Garage. The investment quadruples MX’s valuation to $1.9 billion, according to the company.

Derek Zanutto, general partner at CapitalG, said this is his firm’s first investment in MX. He generally looks at big data, and one of the trends within is the challenge of wrangling data and making sense of it.

Customers don’t have the time to go through all of the data to make decisions–they want to find a return on investment off the data quickly. Within that broader thesis, the financial services sector provided an opportunity to take data generated from that daily spend on coffee or online purchase to drive decisions, and any platform that makes sense had the potential to transform the whole category, Zanutto said in an interview.

“MX had a unique position across the data pipeline where they could change the way financial services companies leveraged their data,” he added. “In talking to customers without MX, we learned that they struggled to make sense of the data and tried to either build internally and wasted money, or did it externally, but pieced data together. With MX, there is a true platform right out of the box.”

Including the new funding, MX raised a total of $475 million, which includes a $100 million Series B round in 2019, according to Crunchbase data.

The Series B funding enabled the company to take its vision to the next step. Instead of just connecting data, MX developed a way to predict what the user needs to worry about with its Pulse product, Caldwell said.

Now with the Series C funding, the company will increase that money experience, getting better data and analytics to understand the consumer, as well as hire additional talent to execute on that, he added.

“The category of money experience is exploding, and we are in a lucky position to continue to deliver on that vision,” Caldwell said. “It is an exciting time–99 percent of the journey is ahead of us, not behind us.”

Illustration: Li-Anne Dias