Can Monzo succeed in the U.S.?

The U.K. digital bank officially launched its full-fledged product in the U.S. on Tuesday. Users can apply online for an account within 10 minutes, the company said.

Why should we care?
With its trademark coral pink debit cards, Monzo has seen substantial success across the pond among younger consumers, boasting more than 5 million card holders. But that doesn’t guarantee a home run in the U.S. The challenger bank had to drop its bid for an FDIC license because of unresolved regulatory questions, forcing it to partner with FDIC member Sutton Bank for its services. It also faces a probe from the U.K. Financial Conduct Authority over compliance with money laundering regulations. Monzo’s success or failure in the U.S. will be a case study in branding and international expansion. Can the fintech leverage its existing branding to gain recognition in an entirely new user base, or will it have to adapt its U.S. branch to varied tastes? How will Monzo compete with existing digital banks and fintech cards—especially tech-friendly competitors like Cash App, which already boasts more than 7 million card holders? Will the company’s emphasis on financial inclusion bring more customers into the fold, or do these overtures ring hollow here? It’s certainly worth tracking Monzo’s trajectory and posturing in the months to come.