← Embedded Finance Index 2026

Railsbank

Also a provider — view Railsbank’s profile →

“Can a once-pioneering BaaS platform restructure under new ownership and regulatory constraints to remain competitive against Swan, Modulr, and ClearBank?”

Founded2016
HQLondon, United Kingdom
FoundersNigel Verdon, Clive Mitchell
Total raisedunknown
Latest roundSeries C, 2022 ($46M; $26M equity + $20M debt)
Valuationunknown
IndustryInfrastructure / BaaS

The story

Founded 2016 by Currencycloud founder Nigel Verdon as Railsbank, an open-banking and compliance API. Pivoted into full Banking-as-a-Service and Cards-as-a-Service, rebranding to Railsr in 2022 as the embedded finance category matured. After the 2022 BaaS downturn the company entered administration and was acquired by D Squared Capital in 2023. Currently restricted by the FCA from onboarding new agents/distributors without prior written consent, signaling ongoing regulatory remediation.

Last 12 months

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Product timeline

2016

Founded as Railsbank by Nigel Verdon (ex-Currencycloud founder) as an open banking and compliance API platform.· banking

2019

Raised $10M Series A, expanded into US, Australia, Singapore.· banking

2021

Partnered with Plaid to embed Payment Initiation Services in UK/Europe.· banking

2021

Launched white-label BNPL credit solution for retailers (UK, Germany).· lending

2022

Rebranded from Railsbank to Railsr; raised $46M Series C inside round.· pivot

2023

Acquired out of administration by D Squared Capital and consortium after liquidity crisis.· acquisition

Regulated entities

regulatory licence held by Railsbank

Licence types, jurisdictions and registered entities are in the Embedded Finance Index report.

In the press

embeddedfinancereview.com ↗

Coverage sourced from Embedded Finance Review — a content partner for this report. All articles are © their original authors; click any card to open the source.

◇ article2024-12-16

Railsr is back!

British banking-as-a-service provider Railsr has a new chance to win embedded finance; Danish Lunar spins out its infrastructure unit; and Dutch banking frontend provider Flow partners with Adyen.

railsr