Chime is moving closer to going public, with plans to launch its initial public offering (IPO) in 2025

Chime, a digital-first banking company based in San Francisco, is moving closer to going public, with plans to launch its initial public offering (IPO) in 2025. The company has reportedly filed confidential paperwork with the Securities and Exchange Commission (SEC) and enlisted Morgan Stanley as the lead underwriter for the process. While the timing isn’t set in stone, Chime appears committed to taking this significant step in the coming years.

Chime has positioned itself as an alternative to traditional banks, offering mobile-focused, no-fee banking services. Unlike traditional financial institutions, it operates without physical branches, which helps cut costs and allows it to provide competitive services. Through its app, Chime offers features such as checking accounts, high-yield savings accounts, and early access to paychecks, including a feature introduced this year that lets users access up to $500 before payday.

The company has also expanded its brand visibility, including a sponsorship deal with the NBA’s Dallas Mavericks that puts its logo on the team’s jerseys. These initiatives have helped solidify Chime’s reputation as a customer-friendly and innovative financial service provider.

Chime has raised $2.65 billion in funding so far, attracting investment from major players like Sequoia Capital, Menlo Ventures, Forerunner Ventures, and Coatue Management. At the height of its growth in 2021, Chime achieved a valuation of $25 billion, reflecting the broader tech boom of that time. However, the fintech sector has since faced challenges, with rising interest rates and inflation leading to a cooling market.

Despite these hurdles, Chime is pressing forward with its IPO plans. The broader IPO market is also showing signs of recovery, with growing optimism as companies prepare for public debuts in a changing financial landscape.

The company’s journey to the public market will be closely watched, as it represents not only Chime’s ambitions but also the potential for renewed momentum in the fintech sector. Whether it can maintain its growth and attract investors at the valuation it desires remains to be seen.