From Yahoo Finance: 2025-05-20 08:00:00

Slash, a startup initially focused on banking services for sneaker resellers, pivoted to provide bespoke banking lines for various industries following Kanye West’s controversial remarks. The shift proved successful, leading to a $41 million Series B funding round at a $370 million valuation led by Goodwater Capital.

The founders of Slash, Victor Cardenas, and Kevin Bai, created the startup after realizing the lack of financial services available to sneaker resellers generating substantial revenue. Unlike other fintech startups targeting various industries, Slash adopted a vertical model tailored specifically for sneaker resellers before expanding to other sectors.

Following a significant revenue drop due to Kanye West’s anti-Semitic comments, Slash restructured to cater to performance marketing agencies, crypto firms, and HVAC operators. This strategic pivot led to increased processing volume, reaching $300 million monthly, and garnered positive feedback from investors like NEA partner Rick Yang.

With a focus on providing specialized financial services for specific sectors, Slash differentiated itself from competitors like Ramp and Mercury. By targeting performance marketing firms and crypto-native businesses, Slash addressed key pain points and aims to expand further into sectors like e-commerce, online travel, and property management.

The latest funding round for Slash highlights the growing interest in the fintech sector, with other startups like Plaid and Ramp also securing significant investments. The startup’s success has been attributed in part to its partnership with Column, a chartered bank designed to support tech firms, overcoming challenges faced by other fintech startups.

Read more: Two Gen Z college dropouts just raised $41 million for their ‘vertical banking’ startup Slash