Fintech Savings App, Acorns, Plans to Introduce Crypto Assets to Its 4 Million Subscribers
In an interview with CNBC, Noah Kerner, CEO of fintech firm, Acorns said the startup plans to introduce cryptocurrencies and other digital assets on its platform. This will give users the ability to invest and learn more about cryptocurrencies. The move represents a switch from the conservative nature Acorns has adopted in previous years.
Additionally, the savings app has appointed former Amazon employee David Hijirida as president to lead the company’s day-to-day operations. Hijirida started his journey in traditional finance companies before spending 12 years in management roles at Amazon, including its global payments division. He also held the CEO position at digital bank, Simple Finance from 2018 before unexpectedly shutting down operations in May this year.
According to Kerner, introducing Bitcoin and other digital currencies will be launched on the app in the coming weeks. This will allow users to diversify their portfolios and learn how to manage their crypto assets, he added during the interview.
“We are going to let people customize their portfolios and add individual equities and crypto into a slice of their diversified portfolios, much the way a money manager would advise you to behave.”
The fintech startup is preparing for its expected public listing later in the year by appointing seasoned managers such as David, Kerner explained. Following a merger with Pioneer Merger Corp., a special purpose acquisition company (SPAC), Arcons was valued at $2.2 billion, preparing for its public sale launch in May. David is the second high-ranking manager appointed in the last two months after it named Twitter executive Rich Sullivan its new chief financial officer.
“David obviously has a great depth and breadth of financial services and technology experience.”
“He has a great combination of fintech, payments, operations, and also product development experience.”
The growth of Arcons is nothing short of impressive, having reached over 4 million paying subscribers with a plan to reach over 10 million subscribers in the next four years.
Unlike fintech startups such as Robinhood, which went public last year, Arcons offers savings and long-term investment options rather than a short-term trading service that offers gamified stock and crypto trading.
“Everything Acorns does about long-term saving and investing for the everyday consumer.”
“It’s why our subscription model is so important because it decouples the business from behaviors that aren’t necessarily customer-aligned, like driving trading or driving spending or driving borrowing.”
The platform is yet to release a launch date for its planned crypto assets inclusion, Kerner concluded.