Token Raises $15.7M In Funding Including From Octopus Ventures

Token, a turnkey open banking platform provider, announced Monday (April 24) that it raised $15.7 million in Series A funding.

In a press release, the company said the funding came from Octopus Ventures, EQT Ventures and OP Financial Group. According to Token, starting in January 2018, the European Payment Services Directive, PSD2, will require banks to grant account access to a variety of customer-permitted third-party service providers for the purpose of payment initiation and retrieving information. Token’s open banking platform helps banks quickly meet these compliance requirements while also creating opportunities to generate new revenues, the firm said. In addition to being a turnkey PSD2 compliance solution, Token said it also offers programmable money capabilities, enabling banks to create revenue from a number of high-value business cases, including eCommerce checkout, B2B payments and bill pay, among others.

According to Token, the lead investor in the Series A round of funding is one of Europe’s largest venture capital teams, U.K.-based Octopus Ventures, which has backed a number of FinTech businesses. Simon Andrews of Octopus Ventures said in the press release, “At Octopus, we focus on backing unusually talented entrepreneurs, and Token, headed up by serial entrepreneur Steve Kirsch, was a perfect fit for us. Token is proving that programmable money can transform the way the world transacts. We are looking forward to supporting Steve and the team in the next phase of growth and look forward to seeing the organisation develop from here on.”

Since being founded in 2015, Token has grown rapidly, opening a European office in London in July 2016. Since inception, Token has also made a series of high-profile appointments, including COO Todd Clyde, a senior executive with four consecutive successful exits from financial services technology and enterprise software companies. The company has also announced strategic partnerships with Fidor Bank and OP Bank, both known for their innovation in financial services.