Gaming hardware company Razer is looking to obtain a banking licence in the US and Europe, having applied to become a regulated bank in Singapore, CNBC reported.
Razer already operates a digital payments division and offers virtual credits to gamers. The company owns 60% in a consortium named Razer Youth Bank (RYB), the report added.
Go deeper with GlobalData
In an interview, Razer co-founder and CEO Min-Liang Tan told CNBC: “Singapore is not the only jurisdiction we are looking at. We are also exploring in Europe; exploring in the US.”
Tan noted that many consumers “don’t even have a bank account, let alone credit card”, in emerging markets.
He said: “We got a vision of a global youth banking network, designed for the youth right from the get-go. Pretty much like we did with the gaming industry, we are looking to do it with the youth perspective in mind.
He added: “Today we are regulated in many global jurisdictions with e-payment and e-money licences. It’s something we are very comfortable with, and we are taking a long-term approach.”
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataRazer aims to expand its banking business across Southeast Asia, India and Latin America.
Earlier this year, RYB submitted an application to the Monetary Authority of Singapore (MAS) to obtain a digital banking licence.
In June, MAS shortlisted 14 applications for the digital banking licence, which included Razer, Ant Group, Grab and Singtel, among other applicants.
Razer said that its Singapore bank licence application result is expected to be revealed by the MAS later this year.
In its first half results, Razer’s total payment volume within its fintech unit more than doubled to $1.8bn, the CNBC report added.
In July 2020, digital bank Varo Money secured its national bank charter from the US Office of the Comptroller of the Currency (OCC).
