Cake Digital Bank Set to Join Top 5 Pct of Profitable Digital Banks Globally

KUALA LUMPUR, Dec 12 (Bernama) -- Cake Digital Bank has reached a major milestone by becoming profitable in just three and a half years, positioning itself among a select group of digital banks globally that have achieved this feat so quickly. 

This success reflects Cake’s innovative approach, technological advancements, and focus on customer satisfaction in Vietnam's competitive banking landscape, according to a statement.

In 2024, Cake saw impressive growth, with revenue per user reaching US$12, a threefold increase from US$4 in 2023. Customer acquisition surged by over 60 per cent, from three million in its first two years to nearly five million in 2024, reflecting the bank’s growing market appeal. (US$1=RM4.42)

Cake processes an average of 400,000 credit applications each month—an impressive feat for a digital-only bank in Vietnam, while payment transactions have more than doubled, reaching US$4.7 billion in 2024, underscoring Cake's expanding market share and the trust customers place in its services.

Achieving breakeven in June this year, Cake became the first digital-only bank in Vietnam to announce profitability in the fourth quarter, an achievement that highlights the bank’s competitive advantage and strong customer retention rates.

A major driver of Cake’s success is its integration of artificial intelligence (AI) across all operations, enhancing both customer experience and operational efficiency.

The bank’s in-house AI solutions provide customers with quick and easy access to its services, creating a smooth, efficient experience. These innovations transform how customers manage their finances, making banking faster, more intuitive, and tailored to individual needs.

In addition to its focus on AI, Cake’s commitment to financial inclusion and ease of use is evident in its focus on accessibility for all users, regardless of their background or technical expertise.

Cake's technological innovations have earned it multiple awards, including "Technology Bank of the Year" and "Best AI Technology Implementation" in 2024.

Having achieved profitability, Cake is poised for continued growth and is positioned to become a model for digital-only banks. With its focus on innovation and commitment to accessible banking and financial inclusion, it is set to play a pivotal role in shaping the future of Vietnam’s financial and banking sectors.

-- BERNAMA