Mercury (company)
 | |
| Industry | Financial technology |
|---|---|
| Founded | 2017[1] |
| Founders | Immad Akhund Max Tagher Jason Zhang[2] |
| Headquarters | San Francisco, California , |
Key people | Immad Akhund (CEO) Max Tagher (CTO) Jason Zhang (COO)[2] |
| Products | Banking services |
Number of employees | 470[3] (2023) |
| Website | mercury |
Mercury is an American fintech company that provides banking services to early stage start-up companies. The company is not a bank, but works with banking service providers to provide bank accounts and other financial services.[4] The company was founded in 2017 in San Francisco, California.[1]
History
[edit]Mercury was founded in 2017 by Immad Akhund, Max Tagher, and Jason Zhang.[1] Mercury's business bank launched in 2019.[1] In March 2022, the company began offering venture debt services to its customers.[5] In September 2022, the company launched a corporate charge card.[1]
The company reportedly gained a significant number of new customers and deposits in the wake of the March 2023 Silicon Valley Bank failure.[3]
In June 2024, one of Mercury's partner banks, Evolve Bank & Trust, suffered a major data breach that included account numbers and deposit balances for Mercury accounts.[6] The ransomware group LockBit took credit for the attack.[7]
Business
[edit]Mercury offers banking services to customers, primarily early-stage startups.[8]
The company is not a chartered bank, and is therefore unable to lend against deposits. Instead, it partners with regional bank networks to hold customer's deposits. Its main bank partners are North Dakota-based Choice Bank and Tennessee-based Evolve Bank and Trust, which have a network of regional banks.[9] This network gives customers access to a sweep network of other banks such as Goldman Sachs and Capital One.[4] Customer deposits of up to $5 million can be spread out across multiple accounts that are each under the FDIC's $250,000 insurance limit.[9]
The company provides a corporate credit card called Mercury IO.[10]
The company also operates Mercury Raise, a service connecting customers with investors.[11]
References
[edit]- ^ a b c d e Mason, Emily (September 12, 2022). "Mercury Launches Corporate Charge Card, Entering Crowded Fintech Field That Includes Brex And Ramp". Forbes. Retrieved July 20, 2023.
- ^ a b Azevedo, Mary Ann (July 7, 2023). "SVB's collapse drove 26K customers to Mercury in 4 months". Techcrunch. Retrieved July 20, 2023.
- ^ a b Kauflin, Jeff (March 15, 2023). "Silicon Valley Bank Collapse Produces An Early Winner: Digital Banks". Forbes. Retrieved July 20, 2023.
- ^ a b Azevedo, Mary Ann (March 13, 2023). "Mercury expands FDIC insurance up to $3M through new Vault product". Techcrunch. Retrieved July 20, 2023.
- ^ Loizos, Connie (March 15, 2022). "Startup banking service Mercury jumps into debt lending to take on Silicon Valley Bank". Techcrunch. Retrieved July 22, 2023.
- ^ "Arkansas-based Evolve Bank confirms cyber attack and data breach". Reuters. 2024-06-26. Retrieved 2024-06-27.
- ^ Xie, Teresa; Gorrivan, Charles (2024-06-26). "Evolve Bank & Trust Confirms Data Was Stolen in Cyber Attack". Bloomberg. Retrieved 2024-06-27.
- ^ Leffert, Catherine (March 23, 2023). "Mercury and Brex acquired thousands of ex-SVB clients. Will they stay?". American Banker. Retrieved July 22, 2023.
- ^ a b Brewster, Lucy (May 11, 2023). "Mercury has attracted depositors after SVB fell. But can it keep them". Fortune. Retrieved July 22, 2023.
- ^ Mason, Emily. "Mercury Launches Corporate Charge Card, Entering Crowded Fintech Field That Includes Brex And Ramp". Forbes.
- ^ Clifford, Catherine (May 16, 2021). "How this 28-year-old is giving unbanked families in Mexico access to solar hot water heaters, washing machines, refrigerators". CNBC.