Online bank N26 plans to list on the stock exchange within five years. But first the German scaleup is moving towards appeasing the country’s regulators.
Earlier in the year, the challenger bank faced a number of negative headlines. Some were due to the German banking regulator BaFin publishing a list of shortcomings on the bank’s behalf. The list included calls to remove backlogs in IT monitoring, establish process description sand workflows in writing and to reidentify a specified number of existing customers. The measures, published in May, were aimed at preventing money laundering and terrorism financing.
N26 also faced criticism for clients under distress struggling to reach customer services. The bank had also been at the centre of a number of phishing attacks that saw N26’s accounts hijacked by hackers.
Speaking with the Financial Times, Valentin Stalf, co-founder and CEO of N26, said, “We have a full banking licence and we comply with every law there is. There were some things that BaFin criticised that we tackled immediately, and others that we had been working on already.” He added that some of the things that had not already been addressed would be so in the next few weeks.
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