From broke to IPO billions: Chime closes Nasdaq debut with $16.1B valuation after soaring 59%

Chime Financial made its debut on the Nasdaq on Thursday, closing its first day of trading with a $16.1 billion valuation after shares surged 59% above the IPO price. The San Francisco-based digital banking platform opened at $43 per share, well above its IPO price of $27, and ended the day trading at $39.90.

Chime raised $864 million through the sale of 32 million shares, pricing above the marketed range. The offering was led by Morgan Stanley, Goldman Sachs, and J.P. Morgan.

“We’re just scratching the surface of this enormous business opportunity,” said Chime CEO Chris Britt in an interview with Reuters. “Our goal is to become the number one provider of primary bank accounts for working Americans.”

From 100 no’s to Nasdaq bell

Chime’s rise is nothing short of dramatic. Founded in 2012, the company struggled to find backers early on, with co-founder and original CTO Ryan King revealing they were turned down by over 100 venture capitalists when trying to raise an extension of their Series A round in 2016.

“We were broke. It was just way, way harder than I expected,” King told TechCrunch. “We pitched 100 investors, maybe more, and got 100 no’s.”

That changed when Lauren Kolodny, now co-founder of Acrew Capital, took a chance on the startup. On IPO day, she stood proudly with the team to ring the Nasdaq opening bell, a full-circle moment more than a decade in the making.

The business of banking differently

Chime has carved out a powerful niche in the fintech world by offering mobile-first, no-fee banking solutions to underserved Americans. With features like early direct deposit, no overdraft fees, and a sleek app-based user experience, the company targets the estimated 200 million Americans earning under $100,000 per year.

Though Chime was previously valued at $25 billion during its 2021 fundraising peak, its IPO pricing reflects a more disciplined investor environment. Still, Chime’s post-IPO valuation firmly places it among the leading fintech players on the public market.

The company became profitable in Q1 2025 and earns most of its revenue from interchange fees when users make purchases with their Chime-issued debit cards.

Chime reportedly spent nearly $520 million on marketing in 2024 to grow its user base, which CEO Britt says still only covers less than 5% of its target market.

A milestone for fintech and the American underdog

Chime’s IPO caps a powerful comeback for the fintech sector and a narrative of grit, resilience, and long-term vision.

“Small wins became big ones, and here we are,” said Britt.

As the company begins its journey as a public entity, investors and customers alike will be watching whether Chime can continue to disrupt traditional banking and deliver on its mission to provide fairer, more accessible financial services to millions.