Greenwood closes $3 million seed round to build a digital bank for black people

Greenwood has secured $3 million in seed funding from private investors as the first digital banking platform for Black and Latinx people and business owners.  Greenwood features best-in-class online banking services and innovative ways of giving back to Black and Latinx causes and businesses. They realized that there are some pain points when black people try to get a house loan, credit or credit card. To solve the problem, they're decided to establish a new digital bank.

Greenwood's founders include:

• Andrew J. Young, civil rights legend, former U.S. Ambassador to the United Nations, and former Mayor of Atlanta

• Michael Render, aka Killer Mike, rapper and activist in Black financial empowerment

• Ryan Glover, Greenwood Chairman and founder of Bounce TV network

Greenwood's initial products are savings and spending accounts that come with a black metal debit card for customers who sign up by the end of the year.  Advanced features like Apple, Samsung, and Android Pay, virtual debit cards, P2P transfers, mobile check deposits, and free ATM usage in over 30,000 locations are offered with no hidden fees. Customers who invite their friends to open accounts receive cash awards as a thank you from Greenwood. All deposits are FDIC insured by a partner bank. Additionally, Greenwood plans to work with brick and mortar minority-owned banks to provide deposits to help strengthen historically black banks.

Ryan Glover, Greenwood Chairman

It's no secret that traditional banks have failed the Black and Latinx community. We needed to create a new financial platform that understands our history and our needs going forward, a banking platform built by us and for us, a platform that helps us build a stronger future for our communities. This is our time to take back control of our lives and our financial future.  That is why we launched Greenwood, modern banking for the culture.

Where the"Greenwood" name comes from?

The Greenwood name pays homage to the prosperous "Black Wall Street," part of the  Greenwood District of Tulsa, Oklahoma, during the early 20th Century - a center of African American enterprise, entertainment, skills, wealth and investment capital.

According to Greenwood, they're received tens of thousands of account requests in less than 24 hours. Also offering a black metal debit card for customers who sign up by the end of the year is a good move.