Meet Midas, Turkey’s first retail investment startup, which raised $11m from Spark Capital, Earlybird Digital East and Nigel Morris
ISTANBUL, February 7, 2022 /PRNewswire/ — Midas, a retail investment startup that provides access to U.S. and Turkish stocks in Turkeyannounced today that it has lifted $11 million in equity financing.
The fundraiser comes just 8 months after their inception and is led by Spark Capital and Earlybird Digital East Fund, with Nigel Morris, Revo Capital also participates. This is one of the largest fintech seed investments to date in Turkey.
Midas started with a long waiting list in April 2021and more $100 million has now been traded on the platform. Less than a year after its launch, Midas now has a team of 70 people based in Istanbul. The funds will be used to launch cryptocurrency products, build infrastructure to power banks and neo-banks in their investment offerings, as well as grow the user base.
The first retail investment app in Turkey In order to offer low commission trading, fractional stocks and US stocks, Midas invests heavily in market education by producing easy-to-digest financial content for free. The company offers detailed company profilesa daily basis podcastand a weekly newsletter to make sense of the markets.
Egem Eraslan, CEO and Founder of Midas, commented “We created Midas to change people’s relationship with money, for the better. The current environment in Turkey makes it easy to spend your money, but to invest it, rather difficult. By creating the most seamless investment experience, we make investing effortless, as it should be.”
Midas claims to be the first licensed broker to make “download to first trade in less than 10 minutes” a reality in Turkey, down from the 5-day industry average. The potential is huge because Turkey is moving from mandatory physical KYC to video KYC soon, and Midas is here to use it.
More than half of Midas users are new investors and are under 30 years old. Nationally, 30% of all investors in Turkey are under 35, while at Midas, 70% of users belong to this age group. Egem Eraslan says “With a young and engaging user base and a superior product experience, we believe we are well positioned to build the future of investing in Turkey“.
Unlike many other retail apps, Midas builds an infrastructure to power the entire industry. Already a partner of one of the largest banks in TurkeyMidas wants to help banks and neo-banks to offer the best investment products to their customers.
Egem Eraslan: “We want neobanks to also use the Midas infrastructure to offer better investment products to their customers at the lowest costs. We believe that every consumer finance company should work towards wealth growth of its customers, and Midas is here to help them.”
The startup touts its “product stack approach,” aiming to solve the toughest problems by building infrastructure from the ground up.
“Over the past decade, we have seen the rise of modern mobile investment platforms globally. However, emerging markets have remained beyond the reach of large, well-known players due to local requirements that result in high barriers to entry This leaves a unique space an opportunity in these markets, where both offline and online dynamics are extremely favorable for rapid growth – as the penetration rate of financial instruments has been historically low and online customers are underserved,” said Mehmet Atici, Partner at Earlybird Digital East. “We believe that Midas is in an exceptionally strong position to seize this exceptionally large and untapped opportunity, and become the leading investment and wealth management platform in emerging markets. We are delighted to support Egem and its team on their journey. .”
Midas is Turkey first fully digital stock brokerage app, allowing investors to invest in both Turkish and US stock markets. Midas offers low transaction fees for investments in US stocks, split investing and free live market data. The product Borsa Istanbul (Turkish stock exchange) is in closed beta and will soon be launched to offer commission-free trading of Turkish stocks.
Prior to Midas, Turkish residents were unable to invest in popular US stocks for many reasons, ranging from high minimum balance requirements to costly transaction fees ($25 per transaction with $25,000 minimum balance requirements). And when it comes to Turkish stocks, there is no mobile product that millennials will love. investment experience.
Photo – https://mma.prnewswire.com/media/1740371/Midas_Team.jpg
See original content to download multimedia: https://www.prnewswire.com/news-releases/meet-midas-turkeys-first-retail-investing-startup-which-has-raised-11m-spark-capital-earlybird -digital-east-and-nigel-morris-301476124.html