Fintech upstart PortX secures $16.5 million in funding and establishes a fresh subsidiary dedicated to catering to credit unions.

In the latest news, PortX, a fintech startup based in the Seattle area, has secured $16.5 million in fresh funding.

The investors leading this Series B funding round are Fuse, a venture capital firm based in Seattle that recently raised its own $250 million fund, and Curql, a collective of credit unions. Notably, BankTech Ventures, EJF Capital, and the Btech Consortium have also participated in this funding round.

PortX, under the leadership of CEO David Wexler, specializes in providing financial services infrastructure software to community banks, credit unions, and fintech companies. Their mission is to assist clients in implementing embedded banking-as-a-service solutions, reducing reliance on external vendors, and simplifying access to banking data. The new capital infusion will support various initiatives, including the enhancement of their AI offerings and data automation components.

In addition to this, with the support of Curql, PortX is establishing a Credit Union Service Organization (CUSO) aimed at better serving its credit union clientele. Curql manages a strategic investment fund that represents 68 credit unions and industry partners in the credit union sector.

PortX, headquartered in Mercer Island, Washington, was spun out of ModusBox the previous year. ModusBox, founded in 2013, initially focused on designing, developing, and supporting financially inclusive, national-level real-time payment networks.

Brendan Wales, a founding partner at Fuse, expressed his confidence in PortX, stating, “Their vision and technology align perfectly with the industry’s evolving needs.” He emphasized that this marks their second investment in PortX, highlighting their belief in the transformative potential of open banking in shaping the future of commerce and financial services.

As for the overall funding received by PortX, it now totals $26.5 million, including a previous $10 million from a Series A round conducted a year ago. Currently, the company employs a workforce of 78 individuals.

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