Step, the US-based operator of a digital banking platform for teenagers, pulled in $100m on Tuesday through a series C round backed by digital payment technology provider Stripe.
Venture capital firm General Catalyst led the round, which also featured Coatue Management and Franklin Templeton as well as private investors Charli D’Amelio, Will Smith, The Chainsmokers, Jeffrey Katzenberg, Jared Leto and Stephen Curry.
Step provides digital banking services for teenagers and their families that include an insured bank account, spending card and digital payments services. The proceeds of the round will enable it to invest in its product infrastructure and develop new products that help teenagers budget their finances.
CJ MacDonald, Step’s founder and chief executive, said: “Our mission is to help improve the financial futures of the next generation and we are thrilled to have such a massive vote of confidence from investors, especially during Financial Literacy Month.”
The company has raised over $176m of funding since it was founded in 2018. It collected $50m in a series B round in December 2020 led by Coatue Management that also featured Stripe, Crosslink Capital, Collaborative Fund, Dreamers VC and assorted angel investors.
Stripe led Step’s $22.5m series A round in June 2019, with participation from Sesame Ventures, the corporate venturing arm of media group Sesame Workshop, as well as media holding company WndrCo, Crosslink Capital, Collaborative Fund, Dreamers Fund and a number of individual investors.
Step had previously revealed $3.8m in seed funding from Sesame Ventures, Crosslink Capital and Collaborative when it emerged from stealth five months earlier.