The news: Assembled Financial, a subsidiary of Assembled Brands, created Anda, a California-based digital-only bank that targets Hispanic consumers and promotes a cryptocurrency-centered rewards program.
How does it work? According to CEO Michael Keeslar, the goal at Anda is to bridge the gap between “everyday banking and the frontier of cryptocurrency, managed in one app.”
The Anda bank account is a deposit account provided through a partnership with South Dakota-based MetaBank.
What need does it meet? The Hispanic community is one of the fastest-growing demographics in the US—yet college-educated Latinos are three times more likely to be underbanked than their white counterparts, according to the Federal Reserve. About 10% of Hispanic adults are unbanked, and an additional 22% are underbanked. And there are only 29 Hispanic-owned or Hispanic-led banks in the US.
Challenges that Hispanics face in the US banking market include an overreliance on nonbank financial institutions—particularly for sending remittances abroad—and regulations with limited services in languages other than English.
The trend toward hypersegmentation in marketing financial services has prompted firms to launch several offerings tailored for Latinos and people of color.
Why the crypto angle? Visa’s recent study on consumer attitudes toward crypto suggests fintechs like Anda that provide an easy on-ramp to crypto are on the right track:
Many Latino consumers say sending remittances to Latin America is an important financial service for them, and Latin America leads in cryptocurrency ownership—30% of adults in the region hold digital assets.