Monzo's exit from the US after 6 years should come as no surprise to long-time observers of this market.
German challenger N26 had a similar fate, exiting in 2022 — less than three years after its US launch. And incumbent HSBC, which, while founded in Hong Kong, is headquartered in London and has an extensive European presence, has pivoted away from mass-market retail banking.
Even with a proven track record and robust financial backing — and Monzo had both — conquering this large, mature, and fiercely competitive market consistently proves to be an uphill struggle for European banks and challengers.
Which begs the question: Why do the best-laid US expansion plans so often crumble on contact with reality?