Author | Qin Xiaofeng

Editor | Hao Fangzhou

Produced | Odaily

Author | Qin Xiaofeng

Editor | Hao FangzhouDave (Nasdaq: DAVE）Produced | Odaily

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According to the official announcement, US listed companies

Specifically,Established a strategic partnership with FTX US, the US branch of the encrypted trading platform FTX; the company also received a $100 million investment from FTX Ventures, a venture capital fund under FTX, mainly through convertible notes (a type of short-term debt).

Affected by this news, Dave’s stock price rose by 4.85% in intraday trading yesterday, and rose by about 3% after the market. At present, the company’s total market value is about 3.943 billion US dollars; FTT (FTX platform token) has increased by 5% in the past 24 hours, and the current market value in circulation $6.36 billion (FTX’s latest C-round valuation reached $32 billion).

Dave is a U.S. banking app with a mission to create products that level the financial playing field. Founded in 2017, early investors include billionaire Mark Cuban (also a loyal crypto investor). In January of this year, the company went public through a backdoor with a valuation of $4 billion.Specifically,Dave's target users are millennials, mainly through intelligent algorithms to help users improve their financial management capabilities and ease the burden of overdraft fees.The so-called overdraft means that the user prepays with a credit card. If the overdraft is overdue and the payment is overdue, an additional fee will be charged. U.S. consumers paid more than $33 billion in overdraft fees in 2016, with a median monthly overdraft fee of $32, according to research firm Moebs Services. Overdraft fees have also become a huge mountain on the heads of young people. Mark Cuban once said that he was "overwhelmed by overdraft fees in his 20s."

Dave's solution is that the user authorizes the bank account to Dave, and the system's intelligent algorithm will process every expense of the user (as small as one dollar), and

Generate clear bills to help users keep abreast of financial status. In addition, the system can also predict the "minimum value" of the user account in the next 7 days based on common expenses; before the account balance drops to 0, Dave willContinuously pop up windows to remind users and urge users to reduce unnecessary expenses.

According to Dave founder Jason Wilk, one of the main reasons why young people are burdened with overdraft fees is that they are not clear enough about their consumption status, and Dave's fund management tool (automatic budget function) is like a "weather forecast". User consumption habits to avoid users from falling into overdraft.

Of course, that's not enough, Dave also opened the door for some users who were in short-term debt crisis before payday. the platform

Offers interest-free loans of up to $250

, enough for ordinary users to deal with.Of course, this kind of loan is essentially "mortgage" on the user's future salary-Dave needs to confirm the user's real employment relationship through the shared bank statement before providing the loan, and it will be automatically repaid quickly through the bank account after the payday. Also, while the loan is interest-free, Dave will propose users to make donations (not mandatory) and use these donations for Sahara tree planting.

In addition to asset management and short-term loans, Dave also cooperates with LevelCredit, users use its software to pay utility bills and other daily expenses, can improve their credit records, and thus obtain higher large loans in traditional banks. In addition, users can also use the Dave Banking service, and there is no processing fee for ATM withdrawals.financial reportAll of the above services require users to register as full members before they can enjoy them, and the fee is $1 per month.

Subscription fees are also an important source of income for Dave.

In the past 5 years, Dave's model has indeed achieved some success in the US market, and was successfully listed in January this year. But with the emergence of more and more competing products (Activehours, Chime, Simple, etc.), Dave's performance will inevitably decline. up to datefinancial report

It shows that Dave's revenue in 2021 will be US$157.6 million, compared with US$125.4 million in 2020; the net loss in 2021 will be US$20 million, compared with US$7 million in 2020.

For Dave, the important challenge after going public is to expand business and increase revenue. As mentioned earlier, Dave’s users are mainly millennials, and cryptocurrencies also have a strong appeal to millennials. It is logical for Dave to join hands with encrypted finance.