When Monzo opened a crowdfunding round to raise £20 million, there was naturally going to be global interest. In just two days, two hours and 42 minutes the company reached its fundraising target – a staggering effort from existing investors and customers hoping to capitalise on its meteoric rise.

Bitter Sweet Success?

The announcement comes after CEO and Co-Founder, Tom Bloomfield, was forced to defend the potential involvement of overdrawn customers in the crowdfunding drive.

“We don’t encourage our customers to borrow money, from Monzo or anyone else, to buy shares,” Bloomfield said. “The article seems to stem from the fact we offer overdrafts to our customers and aren’t withdrawing that facility while fundraising is live.”

Bloomfield added: “Before customers can invest in our round next week, they’ll see the prospectus document and must take a regulated suitability test to make sure they understand the investment and the risks that come with it.”

Community Efforts

In a statement published online today, the bank said more than 36,000 people pitched in during the crowdfunding drive, with £2,038,459 of the total coming from existing investors.

Of the 36,000 investors, more than 33,000 are brand new investors, the bank confirmed.

In a statement, the Monzo team said: “We’re happy that so many of you have been able to get involved and take a stake in the bank that you’re helping us build.

“Our community has played an essential part in making Monzo what it is today, and your support and feedback are becoming even more crucial as we grow.”

Breaking Down the Numbers

In the short space of just two hours and 45 minutes more than £17 million was raised. Within the first five minutes of December 5th, customers raised a whopping £6,881, 389. Additionally, the largest amount raised in the space of 60 seconds was an impressive £2,940, 760.

As the fastest-growing digital bank, Monzo recently overtook First Direct as the UK’s best-rated lender. In a survey conducted by Which? Monzo scored 86%, compared with 85% for First Direct. This result marks the end of a near decade-long dominance by the latter.

Nationwide Building Society scored 79% among consumers, while Metro Bank was ranked in fourth place at 76% – meaning that two of the top four spots were taken by challenger banks.

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