- Lightyear raises $23M to expand into five new EU markets and boost euro-denominated trading.
- The firm will launch AI investing tools and a long-term crypto product within two months.
- Euro-focused strategy positions Lightyear to compete with Robinhood across EU markets.
Lightyear, a London-based fintech startup, has raised $23 million in Series B to expand across Europe. Founded by former Wise employees Martin Sokk and Mihkel Aamer, the firm aims to become a homegrown alternative to Robinhood. The platform lets users invest in more than 5,000 assets. These include stocks, ETFs, and money market funds. Now, it’s turning its focus to euro-denominated expansion.
The company announced the new funding round on Thursday. The round was led by NordicNinja, a Japan-backed VC fund based in Europe. Estonian entrepreneur Markus Villig, co-founder of ride-hailing firm Bolt, also joined as an investor.
Euro-Denominated Focus Strengthens Lightyear’s Edge
Lightyear is prioritizing euro-denominated growth. This move is strategic, not just convenient. It aligns with Europe’s financial frameworks and deepens trust among users. By operating in euros, Lightyear ensures regulatory consistency and integration across EU countries.
CEO Martin Sokk emphasized the value of investor experience in navigating diverse markets. He said, “People like Markus have built massive companies in multiple markets.” With the new funding, Lightyear plans to launch in five additional countries soon. The company already operates in 25 markets.
Villig noted the difficulty of scaling across regulated sectors. However, he also pointed to Europe’s underdeveloped retail investing space as ripe for innovation. Lightyear’s euro-first approach could give it a competitive edge over U.S.-based rivals like Robinhood and Revolut.
Prominent Estonian investors also participated in this round. These include Wise co-founder Taavet Hinrikus, Checkout.com’s former CTO Ott Kaukver, and Skype engineer Jaan Tallinn. Estonia’s dense tech talent has made it a launchpad for unicorns on a per capita basis.
The latest raise significantly boosts Lightyear’s growth prospects, following its previous funding round in 2022. While the company hasn’t disclosed a new valuation, sources indicate a notable increase compared to previous levels.
Related: Robinhood Expands in Europe with SpaceX and OPAI Tokens
AI, Crypto, and the Future of European Fintech
Lightyear is now expanding beyond traditional investing tools. The company is launching new artificial intelligence features within its app. One AI tool, “Why Did It Move,” explains market events behind stock price changes. Others will deliver bullish and bearish outlooks and portfolio updates.
CEO Sokk said AI will create two investing styles: “self-driving money” and a “manual gearbox.” The first uses AI for goal-based investing. The second one allows users to have hands-on control of strategies. Lightyear is creating its own niche despite competition from its competitors. The company targets long-term investors rather than short-term traders. It avoids risky products like leverage or margin trading.
Still, crypto is on Lightyear’s radar. The company plans to launch a crypto feature within the next two months. According to Sokk, the upcoming product will focus on long-term use rather than speculation. This expansion comes at a time when the European crypto-fintech space is evolving. Regulation is tightening, and trust is critical. Lightyear’s euro-focused strategy and measured product roadmap may appeal to cautious users.
Europe is aiming to reduce its dependency on American technology platforms. Startup companies such as Lightyear might enhance the fintech sovereignty of Europe. Their emphasis on local currency, compliance, and cross border access indicates the maturing industry. Backed by top Estonian investors and new capital, Lightyear’s next steps will show whether its strategy can win in a competitive and regulated market.
