Habitto, a Japanese digital bank that also offers financial advice, has announced raising $11.7 million in its Series A funding round anchored by QED Investors, DG Daiwa Ventures, and Scrum Ventures.
The round, which marked QED Investors’s debut investment in Japan, was also backed by returning investor Anthemis Group and other existing shareholders, per the announcement.
Habitto offers financial advice primarily to financial novices, with an emphasis on a savings interest rate of 0.4%, which is higher than most traditional banks.
The bank aims to seamlessly assist novices on their financial journey by incorporating features such as investment and insurance into their app, along with offering access to online human financial advisers.
Habitto said it will use the fresh funds to expand its user base, enhance its digital banking platform, and develop advanced financial tools and services aimed at young Japanese consumers.
Japan’s younger generations often face economic uncertainties and lack access to appropriate financial advice. Habitto said its growing user base of over 42,000 now has access to free financial planning services and other financial guidance.
In September 2021, Habitto initially raised a $3.4 million seed round led by Saison Capital. This was followed by a $3.9 million pre-Series A financing round in February 2023, co-led by Saison Capital and Cherubic Ventures.
“Habitto saw strong interest in the Japanese market from global investors throughout this round and we’re excited for those making their way into the market for the first time,” said Samantha Ghiotti, co-founder & CEO of Habitto.
Habitto was established in Singapore when Ghiotti, a venture investor turned fintech executive, and Liam McCance, an entrepreneur from Australia, worked together in a Singaporean fintech company.
The duo then founded SJ Mobile Labs Pte Ltd in Singapore in 2021 and established SJ Mobile Labs Japan KK (SJML Japan) in November of the same year to conduct business in Japan. The company officially changed its name to Habitto Co., Ltd. in March 2023.
