They say innovators are motivated by change. Having that strong desire to improve what’s already established is the true mark of an innovator. In the fintech industry, one name stands out for being a prime mover, a trailblazer, and a groundbreaker — Michael Gastauer. He is the German billionaire who masterminded one of the fastest-growing and most promising digital banks today, Black Banx. With his relentless efforts and innovative approach to banking, he has made a mark in the digital finance landscape and helped establish a path toward a more efficient, cost-effective, and inclusive banking world.
The Man Behind the Accolades
For the uninitiated, Michael Tankred Raimund Gastauer is the creator of the Canada-headquartered, digital-only bank Black Banx. He is an entrepreneur, financial technology investor, and philanthropist who developed a more advanced banking system at a time when traditional banks found it hard to transition and meet the demands of the more tech-savvy banking consumers.
Gastauer is the founder of the Gastauer Family Office and the Black Banx Group. His success in the industry enabled him to amass a staggering net worth of $11.4 billion, making him one of the top ten richest people in Germany. His ambitious but quite triumphant ventures in the financial world have landed him on the covers of reputable magazines, including Wealth & Finance and CEO Review. He was also featured in different editions of Forbes magazine, spreading the word about his revolutionary bank and goals for financial stability and inclusivity.
Gastauer’s Humble Beginnings
While many people struggle to uncover what it is they really want in life, Gastauer knew early on that he would be involved in the world of banking for most of his life. When he spoke about his childhood at a company gathering during the early days of Black Banx, he admitted to being fascinated by banks as a boy, sharing that he would almost always talk about money and finance to his dad out of curiosity. This penchant for banking stayed with him until he finished his university studies in 1999.
Michael received job offers from the likes of Deutsche Bank, ABN Amro, and Andersen Consulting right after graduation. But instead of accepting one, he challenged himself by joining the start-up incubator Gorilla Park in Zurich, Switzerland. He didn’t stay long in the company since he quickly realized that he wanted to be his own boss. In 2001, with the help of three other partners, Gastauer launched an asset management company, which he sold for $15 million three years later to a Swiss investment firm.
By 2003, Gastauer took a chance to create a payment solution for e-commerce and other internet-based businesses when digital shopping was becoming more in demand. This venture proved to be successful since the firm achieved a valuation of $480 million in about five years. However, the visionary in him became more eager to take a step further into becoming a full-fledged venture capitalist. So in 2008, he sold all of his payment solution firm’s assets and founded his private family office—a big step toward his modern-day success.
How Black Banx Came to Be
By the time Michael founded the Gastauer Family Office, he was already prepared to start a revolution in the banking industry. However, instead of doing things hastily, he took the time to conceptualize the perfect bank to match his preferences and ideals. Having witnessed and experienced firsthand the flaws and limitations of traditional banks, Gastauer was determined to make a change and bring about a financial service that would be more inclusive and technologically advanced.
In 2013, he hired a team of software experts to materialize his vision of a digital bank. Their work gave birth to WB21 a year later. Black Banx’s former name, WB21, stood for “web bank 21st century” since Gastauer wanted the platform to be the epitome of virtual banking. Though WB21 achieved relative success between 2015 and 2018, it was struggling to compete with its contemporary rivals, including Revolut, Wise, and N26, among others. So in an unprecedented move, the company changed its name to Black Banx in 2019 and fortified its different strategies to establish its brand, including its customer acquisition efforts.
The name change appeared to be beneficial as Gastauer’s brainchild significantly grew in the years that followed. By 2020, Black Banx was already serving around 10.5 million customers, a far cry from the 200,000 clients it had in its first year. In 2022, its client base doubled alongside its workforce and revenue, with the company employing 3,020 workers and generating $1.1 billion in revenue within the year. However, 2023 proved to be Black Banx’s most successful year yet since its inception as the company reported $2.3 billion in revenue and $289 million pre-tax profit after onboarding 6.1 million new clients in the fourth quarter, bringing its total number of customers to 39 million. Meanwhile, its workforce totaled 5,981 by the end of the year.
What Makes Black Banx Stand Out
As the innovator behind the digital bank, Gastauer has been very vocal about championing borderless banking, so everyone can join a financial system where money can freely flow. According to the Black Banx Group CEO, he intended his company to be a dynamic force for innovation in the fintech sector, one that is committed to facilitating cost-effective and instant flow of money around the world for both private and business clients. Gastauer believes that by connecting people and businesses across the globe with optimal ease, via smartphones and other devices, global markets can grow significantly.
Though the main focus of Black Banx is borderless banking, it also has several features and services to offer. For instance, private and business account owners are free to deposit, send, and transfer money in 28 fiat currencies and two cryptocurrencies. Inter-platform payments are done instantly. Currency exchange services are available 24/7 via the company’s website and mobile application, alongside crypto trading services. The bank also offers interest-bearing savings accounts and batch upload or API to send large numbers of payments for business customers.
On top of its online and mobile banking and finance services, Black Banx distinguishes itself from its rivals by being more proactive in realizing global efforts for sustainability. In fact, it is one of the few banks that take climate change seriously. Three years ago, it laid out its plans on how to directly and indirectly cut down its carbon emissions. The company even set an ambition to achieve net zero by 2030 through various efforts, including motivating and incentivizing employers who work from home, choosing digital meetings over physical gatherings for work, and reducing its office spaces globally to minimize energy consumption and waste production.
