Challenger banks are likely to continue growing in importance in 2021 as digital finance options surge.
"As we head into 2021 and beyond the pandemic, we see a wide open market with plenty of opportunity for not just challenger banks but for financial technology as an industry to set themselves apart from incumbents to gain market share," Marwan Forzley, CEO of Kleiner Perkins- and GV-backed payments platform Veem, told Business Insider.
"The original proposition of challenger banks was to unbundle parts of a bank," Vinoth Jayakumar, partner at Draper Esprit. "2021 will see a rebundling of banking services as fintechs cross the trust chasm to continue user growth and penetration, in pursuit of sustainable business models."
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