.png "San Francisco-based Mercury locked in a $300 million Series C led by Sequoia Capital while Mercury revenue 2025 hits $650 million. The fintech closed the round to scale consumer banking.")
San Francisco-based Mercury locked in a $300 million Series C led by Sequoia Capital while Mercury revenue 2025 hits $650 million. The fintech closed the round to scale consumer banking.
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- Mercury locked in $300 million in Series C capital led by Sequoia Capital.
- The deal values the firm at $3.5 billion post-money.
- Revenue stands at $650 million annualized with 10 quarters of profit.
- The fintech launched Mercury Personal to capture founder wealth.
- Regulatory pressure forced a switch from Evolve Bank to Choice Financial.
San Francisco-headquartered fintech Mercury has infused $300 million into its balance sheet. The fresh capital signals the company's shift toward consumer banking at a time when regulatory scrutiny on middleware platforms is peaking. This represents a 116% premium to its last valuation of $1.62 billion in 2021 (Fortune).
Sequoia Capital led the round with the majority contribution, followed by Spark Capital and Coatue, while Andreessen Horowitz contributed to the pool. The deal structure includes a mix of primary capital for the balance sheet and a secondary component where early investors offloaded partial stakes. The round comes 44 months after its Series B, signaling sustainable growth.
The new investment follows earlier rounds. In 2021, the company raised its Series B at a $1.62 billion valuation. With the additional $300 million, the Mercury $300M funding extends the company’s liquidity position significantly.
The infusion comes as Mercury’s financials show strong unit economics. The company clocked $650 million in annualized revenue as of September 2025. This is a 30% increase year-on-year from $500 million in 2024. While revenue grew, the company maintained profitability for 10 consecutive quarters on a GAAP Net Income basis. Mercury revenue 2025 is driven largely by interest income on its $20 billion deposit base.
Co-founded in 2017 by Immad Akhund, Max Tagher and Jason Zhang, Mercury provides a banking stack for startups. The platform serves as a layer on top of partner banks. It positions itself as the best bank for startup founders 2025 by offering interface-first financial tools.
Product expansion is central to the new capital deployment. The company launched Mercury Personal for general availability on December 11, 2025. The product targets founders' personal wealth with an average balance of $80,000, compared to the US average of $60,000. It costs $240 annually.
The subscription comprises features such as 3.50% APY and $5 million FDIC insurance via sweep networks. A Mercury Personal review 2025 indicates the yield dropped from 5.00% during beta.
Regulatory risks prompted significant operational changes recently. Mercury terminated its partnership with Evolve Bank & Trust in March 2025 following enforcement actions against the lender. The move coincides with a broader fintech regulatory crackdown 2025 targeting banking-as-a-service models.
The company now relies on Choice Financial Group and Column N.A. for deposit holding. Notably, Choice Financial Group regulatory issues remain a concern as the bank also operates under a consent order.
On the bottom line, Mercury posted positive EBITDA margins despite rising costs. Compliance headcount surged to 20% of the workforce. Expenses rose, mirroring the company’s need to navigate the Mercury bank Evolve lawsuit fallout and heightened scrutiny on cross-border payments (American Banker).
To professionalize governance, the board appointed Richard Hopkins as CFO and Kevin Taylor as COO. Mercury competes directly or indirectly with other players in this segment such as Brex, Ramp, and Revolut. The Mercury vs Brex vs Revolut competition is intensifying as all players target high-yield operating accounts.