These 11 startups are re-inventing how money works and they’re worth more than $1 billion

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Everyone likes money.

But technology that handles money is what's really popular these days.

The rise of "fintech," or, financial technology, has unleashed a new breed of apps, sites and services designed to help consumers pay for goods, get loans and manage their retirement accounts.

Fintech is a multi-billion dollar industry, with startups in the US raising around $18 billion since 2015, according to PitchBook and nearly 1,400 venture capitalist-backed deals. Two of the most valuable startups in the country — Stripe and SoFi — are in the fintech sector. And there are 11 fintech startups valued at more than $1 billion.

To get a sense of why fintech is so hot right now, we took a look at the 11 most valuable VC-funded US fintech startups, as compiled by PitchBook.

Like any fast-growing industry, fintech hasn't been without its bumps. Some companies on the list have had layoffs and scaled back from their initial success. One in particular — SoFi — forced out its CEO over summer following allegations of sexual harassment at the company.

But all 11 startups have made a dent in the space and give credence to venture capital's multi-billion dollar bet that fintech isn't going away anytime soon. Here's why:

11. Clover — $1.2 billion

Clover is valued at $1.2 billion since its $130 million financing round in June 2017.

Clover offers a cloud-based platform for processing credit cards both online and in-stores. The company works with large payment processors and hardware designers to develop digital payment stations — not unlike the cash registers of the olden days.

If you've ever bought a cup of coffee and thought the cashier set up seemed futuristic, it was probably a Clover product.

The company has raised a total of $8 million since it launched in 2014.

10. Kabbage — $1.3 billion

Kabbage is valued at $1.3 billion, according to PitchBook estimates, thanks to a $250 million investment round in August 2017.

Founded in 2009, Kabbage is an automated lending platform for small businesses. It's since raised $1.35 billion in investments and debt financing — making it the most well-funded startup in the state of Georgia.

The company currently has more than 100,000 clients, and has lent more than $3.5 billion to small and medium sized businesses since it launched.

9. Robinhood — $1.3 billion

Who said Robinhood only gives to the poor?

The zero-commission, US-focused stock brokerage is valued at $1.3 billion following a $110 million funding round in April 2017.

In total, Robinhood has raised $176 million, which is quite a lot considering the founders were initially rejected by 75 different venture capitalists.

Robinhood, which was founded in 2012, is popular with Millennials who appreciate the $0 commission fee on its trades. Despite rejecting the common revenue model of its legacy competitors like Charles Schwab and E*Trade, the company makes money on interest from dollars and cents left in its customer's accounts, and it also offers a premium product called Robinhood Gold, which has additional perks, like extended trading hours, in exchange for a $6 monthly subscription fee.

See the rest of the story at Business Insider