Digital banks secured $3bn in 2019 as venture capitalists poured money into banking startups looking to upend the traditional banking model; these new entrants were able to rack up customer numbers alongside their large funding rounds but the lingering question these firms face is can they make money; Chime CEO Christ Britt believes their current business model of referral fees and interchange revenue can work when they reduce their marketing spend; will this big bet pay off or will these banks have to start looking more like the incumbents they are looking to disrupt to ensure long term survival and profits; we are still a ways off from knowing the answer to the question, though a downturn could be key proving ground as many industry analysts believe customers will come back to the incumbents when times are tough. Business Insider