London-based digital money assistant Cleo has raised $10m in a Series A funding round led by venture capital firm Balderton Capital.
Balderton Capital was joined by Skype founder Niklas Zennström, TransferWise founder Taavet Hinrikus, LoveFilm co-founder Simon Franks, and seed fund LocalGlobe in the funding round.
The latest tranche of funding brings the total capital raised by the firm to $15m since its establishment in 2016.
Balderton Capital partner Rob Moffat said: “In the future, people may not use a traditional bank account as their primary financial interface. Cleo has managed to strike the perfect balance between education and entertainment, bringing a unique personality that keeps users coming back.”
The virtual money assistant app enables users to connect their bank accounts and offers them insights on their spending behaviour, powered by artificial intelligence. It answers queries through Facebook Messenger.
The virtual money assistant currently has over 600,000 users, most of them under the age of 35 years.
The company now plans to introduce its own financial services range and also intends to expand across the globe. In April this year, it expanded to North America, bringing on board 350,000 users in four months.
Founder and CEO Barney Hussey-Yeo said: “Cleo is designed to solve a global problem. There’s an arms race going on to become the financial interface for this generation. A Google-size company will emerge in the next 5 years that achieves that.”