Good to start? All right, everyone, thank you very much for attending. For those of you who don't know me, I'm Nate Svensson. I'm the Lead Payments and Fintech Analyst here at Deutsche Bank. I'm very excited to have Matt Newcomb, CFO of Chime Financial, recent IPO, new entrant into the public markets here, their first conference. We'll get to learn a lot about the story here from Matt on some key initiatives. Matt, thank you so much for being here.
Thanks for having me.
I mean, just starting on that note, maybe some folks in the room or listening on the webcast that are new to the company, so maybe you can give us an overview of Chime, who you are, what you do, what the growth opportunity is here.
That sounds great. Excited to be here. We think about ourselves as the digital disruptor in payments and banking for everyday people. We know we started to help unlock financial progress for the 200 million U.S. adults making up to $100,000 annually. That's how we define our target market. This is the population that's really been, we think, overlooked by the incumbent banking ecosystem. So far, it's working. 97% of our members tell us that we have helped them unlock financial progress. Chime is the number one destination in America among people making up to $100,000 switching their direct deposit accounts in this country. If you're going to zoom out and maybe look at this at a more strategic or abstract level for a second, I think we're using a playbook that is very much the same one that digital disruptors in adjacent categories have used.
Amazon in retail, Airbnb in hospitality, Uber in transportation. That is, we are maniacally focused on solving the most critical challenges for our members. We've radically innovated on cost structure to be able to deliver the best value to our members at the lowest cost in the market. Doing that well has allowed us to develop some of the deepest levels of customer engagement in our category. It's also allowed us to become a true platform. I think our category is definitely characterized by a lot of point solutions. We serve our members across a range of financial areas. You see that in our product attach rates and ultimately our LTV. That's the playbook we're using. It's been very successful in other categories. We think we're early days in executing on that, Chime .
Yeah, great overview. I think one of the things that's really stood out to me learning more about the Chime story is your ability to win these primary account relationships with your users. I would love to hear what you are doing specifically in order to win the primary account relationships and how you see that playing out going forward and converting those that are not primary account relationships today to that going forward.
Yeah, I think this is the area where I do think Chime has differentiated the most relative to others in the market. The vast majority of our members, our active members, are using Chime as a primary account relationship. Primary accounts are the flywheel in our business. They generate, you know, I think, really unmatched levels of engagement. Our active members are transacting with Chime 55 times per month on average. They're in our app every single day. They generate highly recurring and habitual type of spend concentrated in non-discretionary categories. Our members are using us to pay for their everyday expenses. We've been able to develop an RPM profile that I think is very differentiated without relying on fees. They also generate these kind of annuity-like cohorts in our business with really strong LTV to CACs of 8x or higher.
There's data out there that suggests that the average tenure or lifetime of a primary account relationship is something like 15 years- 20 years. We haven't been around that long, so we're not quite sure. We've got cohorts that are 10 years old still going strong, continuing to chug along and spit off transaction profit at high rates. I think maybe more strategically, what primary accounts do for us is we think it allows us to do things with our product that others simply can't. We have a tremendous amount of data on our members. We have this first-in-line or privileged repayment position by virtue of the fact that the next direct deposit is coming to Chime, the next paycheck is coming to Chime. That allows us to price things like MyPay and our other liquidity products at what we believe are the lowest cost in the market.
This is enabling us, we think, to become a real platform rather than a point solution in the industry.
Yeah, and we'll talk more about MyPay later on. It's a good little introduction there. Maybe the related question to the primary account relationship is I think you have described the incumbent banks as your primary competitor. Maybe you can talk about why that is and what specific advantages Chime has relative to those legacy players.
Yeah, we like to say that we fish where the fish are. All of the primary account relationships, maybe with the exception of Chime, exist at the incumbent banks, not other fintechs. When you wake up in the morning, that's what we are focused on. I think there's some very entrenched structural advantages that we have at Chime that are enabling us to compete so effectively against the incumbent banks. Number one is cost structure. We estimate that our cost to serve is something like a third to a fifth that of an incumbent bank. One of our nation's top bank CEOs, in his own shareholder letter, most recent shareholder letter, admitted the fact that for the majority of their accounts, the cost to maintain those accounts exceeds the revenue that they earn from those accounts.
I think if you compare that to Chime, we developed a business that monetizes at close to 70% transaction margin. If there's anything that sums up our opportunity more, I think it's probably that. The second piece is our focus on our product innovation. It's not me sitting here saying that the big banks are out to get the everyday consumer. They just aren't focused on this customer segment because the economics don't really incentivize them. I think you see that show up in the product portfolio. Things like helping our members get access to short-term liquidity, build their credit. These are not problems that the big banks are effectively helping everyday folks with. The third is brand. Among people making up to $100,000, Chime has unaided brand awareness that now rivals the top two largest banks in America.
Maybe even more importantly, everyday Americans associate Chime with the most critical financial challenges, solving those most critical financial challenges, like building your credit, like getting access to short-term liquidity. I think the proof is in the pudding. More people are coming to Chime than any other institution in America. We've got 8.7 million actives today. There's nearly 200 million people in this country making up to $100,000. I think it's very early days, continuing to compete with the big banks.
Yeah, that's great. Maybe one on that last topic. Accelerating user growth on a year-over-year basis, you're up to 8.7 million today. Maybe you can talk about, as you've expanded the aperture and the top of the funnel to get more users onto the platform, how have unit economics with those users trended? How do you expect those unit economics to play out going forward?
Yeah, so maybe just to quickly level set, I think the way to think about Chime is we are, at our core, a payments-driven business, which is very different than traditional banks that are much more NIM or balance sheet-driven businesses. We've developed a pretty compelling, I think, compelling set of unit economics around this core payments relationship with our members. That is, back to primary accounts, entirely driven by the fact that we've been successful earning primary account status for our members in this top-of-wallet card position. That is what gives us, again, this habitual daily spend focused in these non-discretionary categories. It's what gives us very strong long-term retention rates with net dollar retention over 100% across our cohorts and ultimately very strong LTV profile. Yes, we've actually seen, while we've accelerated our member growth, our unit economics improve in recent cohorts.
In Q2, our active members grew 23% year over year. That was an acceleration from where we were in 2024. We did that while bringing down CACs over 10% year over year. Meanwhile, you've seen us grow RPM, our average revenue per active member. That was up 12% year over year in Q2. The net effect of that is relative to what we disclosed in our S-1 not too long ago about cohorts that have trended to about a seven-quarter transaction profit CAC payback. Our more recent cohorts trend to five to six quarters. We're really excited about the progress really across the business.
Yeah, absolutely. You mentioned the growth in RPM there. I promised we would come back to MyPay. MyPay has been a great success since you launched it last year. Some folks might be newer to the story here. Maybe you can explain what MyPay is, what value you're bringing to your consumers, and how it fits into the overall strategy at Chime .
Yeah, the basic premise of MyPay is that you should not have to wait to get paid for the work that you've already done. There's something like $340 billion trapped in a two-week pay cycle, every two weeks in this country. That is an antiquated system. It should not work that way. The basic premise of MyPay and the way that MyPay works is we allow our members to get access to up to $500 or 50% of their earned wages on demand. No credit check, no interest, and no mandatory fee. It is completely free if you wait 24 hours, or you can pay an optional $2 fee if you want to get MyPay instantly. I think one of the really important things to understand about MyPay, which is also true across our other liquidity products, is that we're underwriting via direct deposit.
Direct deposit gives us an enormous amount of data. It allows us to get repaid first because the next paycheck has come into Chime. That has enabled us to price this product at what we believe is by far the lowest cost in the market. We've been really satisfied and happy with the traction on MyPay. I think it really illustrates the power of having a primary account install base, an install base that is as deeply engaged as we have at Chime. We've basically taken MyPay from zero to about a $300 million revenue run rate product since launching it about a year ago. It is now one of the top reasons that new members are coming to Chime. We've also been making recently a lot of progress honing the loss rates on MyPay. Excited about it, but still a lot left to do, including with the enterprise version.
Right, right. A topic we will touch on later on here. You mentioned loss rates. It's a question we get a lot from investors. You're making really good progress on the earnings call. You talked about sort of moving ahead of plan. I think loss rates were down to 1.4%. I think you are targeting over the long term a 1% loss rate for MyPay. Maybe you can talk more about what specifically you have to do at Chime in order to get to that target and maybe a time frame for how long it might take to get down to 1%.
Yeah, what we disclosed in our earnings call was, we have been making faster progress than we had planned on honing MyPay loss rates. In Q1, MyPay loss rates as a percentage of advanced volume was a little north of 1.6%. By Q2, we brought that down to 1.4%, which again is faster progress than we had planned. I think as it relates to what's driving that, there's a few things to call out there. Number one, this is the natural seasoning of a new credit product. As MyPay cohorts mature, our good members comprise a greater portion of the portfolio. Those members have lower loss rates. Natural maturing. Second, we're getting better at underwriting. We have more data. We're feeding those into our underwriting models. We're fine-tuning who to give what limit to and when. That's helping. Last, we've made some progress on collection and repayments.
As an example, we actually built in the ability to manually repay an outstanding MyPay balance. We saw a lot of members actually want to do that so they could continue to get access to the product. That's helped improve repayment rates. All these things are contributing to the improvement in MyPay loss rates. I think this is sort of the natural course or trajectory of any new credit product. It just so happens that it's exactly what we saw with SpotMe, which is our fee-free overdraft product, where we've taken loss rates down by about 50% since we launched the $200 version of that product. We think we're well on our way to what we've said is a more reasonable steady-state loss rate on this product of closer to 1%. I will say it's not necessarily going to be a straight line or linear.
We are constantly making trade-offs between honing loss rates but improving the member experience, trying to drive stickiness to the core spend relationship. We're going to continue to do that. The trajectory here is a really strong one.
Yeah, that's great, especially the details on the manual repayment. I think that's a good tangible example of some of the things that you're doing. We talked about MyPay. In one of your previous answers, you talked about instant loans. Matt and I were chatting about this before coming on stage, sort of the branding between a financial company and a tech company. These liquidity-based products are becoming a larger part of the Chime story. Is this a shift to becoming more of a lending-focused business, or is that not the case? How should investors think about how these new liquidity products play into Chime's thesis and Chime's narrative from here?
Yeah, with the success that we've had earning primary account relationships with our members, we feel like we've earned the right to serve our members across a range of their financial lives, be that spending, saving, building credit, borrowing, investing, and more. If you look at our credit and liquidity products today, SpotMe, MyPay, and the instant loans, which is newer, just beginning to roll out, today they comprise about a mid-teens percentage of our revenue. While they are growing quite quickly, I want to be very declarative that we envision that Chime monetizes, and we're going to stay focused on monetizing primarily via this payments relationship with our members. You should not expect Chime Financial to transform into a lend-centric or balance sheet-heavy business really at all.
I think the other thing to point out too, that's important to understand about the credit that we do have in our business, is that it's being offered in what we think is a very low-risk way, particularly relative to what I think people traditionally think about from a consumer credit perspective. Small dollar, very diffuse among our member base, very short duration. SpotMe, outstanding balances, repay in roughly a week or less. MyPay in less than two weeks. Again, underwritten on direct deposits, where we have this privileged repayment position. I think oftentimes people think about consumer credit as the top-of-funnel adverse selection game. That's not what we're doing. In fact, we're kind of doing the opposite. We are cross-selling MyPay and other liquidity products to a member base that's already trusted us with their direct deposit relationship, that engages with us on a daily basis.
We're using this product to reinforce and drive stickiness with this core spend relationship. I think an analogy on this is SMB payments or usage-based SaaS companies like a Toast or a Shopify that use credit and liquidity products as sort of a value-added service to reinforce a core payments relationship with their customers.
Yeah, no, that's a great analogy. I actually think this is the question I'm probably most excited about to hear the update on. It's been a busy week for Chime announcing a few relationships on the Chime Enterprise initiative. You have Workday, a couple of other ones. Can you explain to us about the partnership with Workday specifically, maybe the other two partners as well, and then how the Chime Enterprise strategy fits into the overall Chime growth story?
The context behind Chime Enterprise, we acquired a company middle of last year called Salt Labs. Salt Labs was founded by the founding team of a company called DailyPay, which really pioneered earned wage access or EWA in the employer space. With that acquisition, we established Chime Enterprise. Chime Enterprise's goal is to offer Chime's products, suite of products, as sort of a holistic employee financial wellness suite to employees via employers. What's exciting about this for Chime is we think this opens up a new strategic, low CAC, and kind of evergreen new customer acquisition channel for us. We're very excited about some of the recent progress and updates. Last week, we announced a new partnership with Workday. Chime is a wellness partner. What that essentially means is we are integrated into the Workday benefits platform.
What this does for us is this gives us exposure to Workday's something like 6,000 customers and their 30 million end consumers in the U.S. to offer Chime products to. It basically creates a very quick way for Workday customers to switch on Chime Workplace, our suite of services directly integrated into their existing HR system. We're really excited about this, sort of a channel partnership within the enterprise space. We also recently announced, and by recently, I think I mean yesterday and today, two of our newest employer partners, companies called Etech and Ubiquiti. These are leaders in the BPO and customer experience space. We've been really pleased with the progress there. These are on the smaller end of employers.
We've been really pleased with the progress there, both in terms of the adoption of Chime among the user base, as well as, interestingly, re-engaging previously active Chime members who are sort of being reintroduced to Chime now via this channel. It is very early days. These are relatively small customers, but we're really excited about this progress. I think one of the things that we've been trying to be clear on is, look, this is an enterprise sales cycle. This is going to take time to build. I think we've been pretty clear that we should not be building this into our financial models for 2025. We remain very excited about this in the medium term. I think that's because we feel like we have a couple of key advantages in building out this business.
Number one, we are going to market with a holistic suite of products as opposed to sort of a monoline, standalone EWA service. Number two, we're pricing this for free. With Chime Enterprise, Chime Workplace, we are offering, think about it as a kind of souped-up version of our direct-to-consumer MyPay product, where instead of access to $500, we're giving access to up to $1,000 of earned wages truly for free. That is very different than the other players in the market that are charging, I think, oftentimes pretty exorbitant fees for this type of product. The third is our brand. We're talking to employers that already have sometimes a high single-digit percentage of their workforces already banking with Chime. It is still early days on Chime Enterprise, but we are really excited about this as a channel.
Yeah, no, that's a great update. If I may ask two follow-ups on this, just because I think it's a really interesting topic. Two things you mentioned. When I think about channel partnerships or distribution partnerships across the fintech ecosystem, you oftentimes worry about owning the direct customer relationship. You mentioned this sort of anecdote that you've been able to go out and re-engage Chime users that may have left. I would love to hear how you think about owning, maintaining, redeveloping, or re-engaging that customer relationship via the Chime Enterprise channel. The second question on MyPay being offered for free, we talked about the dynamics in loss rates coming down in the core direct-to-consumer MyPay loan book. From my understanding, and sort of theoretically on the enterprise side, you're going to have access to the payroll information from the employers.
Those loss rates are going to be a lot lower. The benefits to you are pretty clear, but would love to hear more color on that as well.
Yeah, you got it exactly right. This is a fundamentally different risk profile compared to our direct-to-consumer version of MyPay, where we are underwriting based off of direct deposit history, what we know about a customer base. In the enterprise channel, we're directly integrated into the payroll system. We have time and attendance data. The loss rate profile of that is far different, far lower than what we see in the direct-to-consumer. That is why we can offer this truly for free and monetize this via the core spend relationship that we have with our members. On your first question, part of the bet here is that we're going to market again with the Chime brand. We're not building a white label type of business here. This is a bet that we can go acquire members at the point of employment and hopefully serve them not just through that job.
There is a lot of turnover in this population and these types of employers, but the next job and the next one and the next one, turning this into a long-term customer relationship. That is the hypothesis. We got to go prove that. We think we're well on our way and pretty excited about that.
That's great. Like you said, we've had two announcements over the last two days. I'm looking forward to getting the Bloomberg notification for the next batch of them coming up here. The next few set of questions are maybe a little higher level, taking a step back. I guess when we just think about the growth profile of the company, can you talk about the levers you have to pull to drive growth? Maybe what some of the building blocks for your overall growth algorithm are to help investors understand what the trajectory is from here for Chime ?
I talked about how we think we're a platform. I think one of the benefits of being a platform, oftentimes, is you have multiple ways to win. We think that's very true for Chime across active members, across continuing to grow RPM or average revenue per active member, and number three, our transaction profit margin as we continue to scale. I'll tick through each of those real quick. On actives, we have 8.7 million active members, monthly transacting actives today. Just scratching the surface again of the nearly 200 million, making up to $100,000,000 U.S. adults in this country. We are already the number one destination among anybody in the U.S. for primary account or direct deposit switchers in the U.S. We are making it easier for new members coming to Chime t o get a taste of Chime.
We've talked about this a little bit in the past as our day one strategy. We've opened up key value props from the direct deposit paywall, if you will, like Credit Builder, making it easier to engage and get the value prop from that earlier in our members' journey. We've made it easier to fund your account with Apple Pay or a debit card. That's helped accelerate some of our growth. We are going to continue to launch new value props. We are very excited about Chime Enterprise. There are a lot of levers to continue to grow active members. RPM is the second. We've had, I think, some good success on this recently as well. In Q2, RPM grew 12% year over year. A lot of that was driven by the continued breakout success of MyPay.
We think there's a lot more to do on this dimension as well, even just within our current or existing product set. If you take a look at our most engaged members, we define those as ones that have adopted six or more of our products. This is a double-digit percentage of our active member base. Their RPM is double our average of closer to $250. You see our cohorts trend up over time as well. There are a few different levers underneath that that are going to help us continue to grow RPM. One is share of wallet. We are already capturing a big portion, but there's more to go.
I think one of the reflections we've had as a business is we actually haven't done the best job helping our members understand that as they bring more of their financial life to Chime , they get more from us. That's why we're doing things like Chime Plus, which is our free membership tier. We get much more from Chime Financial when you bring a direct deposit to us. The second one is take rate. Specifically, what I would point out on take rate is the opportunity to help more of our members get more out of our credit building service, specifically our Credit Builder card, which earns interchange rates that are far higher than debit. Third, when we launch new products, we open up a new revenue stream. Multiple levers across RPM as well. The last one is transaction margin.
I think we are going to continue to see opportunities in transaction margin across, again, a few dimensions. One is we complete the final stages of our Chime core migration, which we have slated for the back half of this year. We stand to benefit from additional gross margin expansion in the business. We're going to continue to hone our loss rates. We talked about that as it relates to MyPay. We also benefit from economies of scale. This is a payments business at the end of the day, and payments businesses are all about scale. One thing that I would say about transaction margin as it relates to how we manage and run the business, you should expect our transaction margin to fluctuate over time. A great example of this is MyPay, where we deliberately brought transaction margin down with the initial launch of this product.
It's a lower margin product, but now it's getting better over time. Our philosophy and decision framework is all around how do we maximize transaction profit dollars over the long term. We think that's the most strategic way to grow. I think you're seeing that play out right now with MyPay, now with us returning to an incremental adjusted EBITDA margin of mid-40% or higher by the end of this year. That's how we manage the business. We'll continue to invest some margin for the sake of long-term growth going forward as well.
Yeah, it makes a ton of sense. You just mentioned EBITDA margins. If I think about the three topics I discuss most with investors, it's net user ads, TAM, which we've talked about, loss rates at MyPay, which we've talked about, and then it's adjusted EBITDA margins, both near-term and long-term. For fiscal 2024, your break-even adjusted EBITDA margins could get up to 4% in Q2 2025. You've also talked about your long-term target to getting to 35% adjusted EBITDA margins. Maybe you could talk about the confidence of your ability to achieve that longer-term target, anything you can say on timelines, levers to pull, operational leverage, et cetera.
Yeah, if you boil down the core economics of our business, think about how our business operates. This is essentially a recurring payments portfolio that monetizes at close to 70% transaction margin, that retains north of 100% year over year on a net dollar basis. We're scaling that over a largely fixed OpEx base that's really concentrated in discretionary investments in growth, new member acquisition, product development. There is a lot of operating leverage in a model like that. I think our numbers kind of speak for themselves on that front. If you took a look at OpEx as a percentage of revenue, that's improved 19 points over the last two years. You've seen leverage across every OpEx category. That's flowed through to our adjusted EBITDA margin. That improved 18 points over the last two years in Q2.
We expect that the margin improvement that we posted this year to accelerate as we move into the back half of the year. We called that out in our guidance for Q3 in the full year. I think one other way to look at this is on an incremental basis, as I mentioned. If you take a look at our business on an incremental adjusted EBITDA margin basis, you'd have seen that in 2024, our incremental was 46%. We then temporarily brought that down with the initial launch of MyPay. Now, as loss rates are improving, our guide is calling for returning to the mid-40s or higher incremental adjusted EBITDA margin by Q4. I don't think the forehandle is a crazy place to see Chime execute against over the years ahead.
That's why we think we've got a really strong line of sight to a 35% or higher long-term margin in the business.
Yeah, maybe sort of a related topic you mentioned in one of your prior answers is Chime Core, which I think is a really interesting initiative. You were previously using a third-party provider. You've built out your own proprietary payment processing system. Maybe you could just give a very brief overview of the work you've done there. You've migrated part of the portfolio. What remains and then what the benefits of the P&L are going to be from there?
Yeah, this has been a pretty massive and multi-year effort to build our own transaction processing engine and core ledger. This is really the guts of any sort of payments business. We're really excited now to be in the final stages of our Chime Core migration. Just to give a quick lay of the land there, last year, we migrated our credit portfolio over to the Chime Core system. This year is all about migrating our debit and savings portfolio over to Chime Core. We've already transferred all new accounts coming onto Chime on a Chime Core. The last stage is to convert essentially the backbook of debit and savings accounts to Chime Core, which we have scheduled for the back half of this year. We're excited about this on a number of dimensions. Number one, for sure, this is some additional cost savings opportunity for Chime.
We're already benefiting from some of this already. As we complete the final stages, we do anticipate another uptick to our gross margin as we head into 2026. I think maybe more strategically, and really the biggest reason why we embarked on this multi-year expensive journey is this is going to allow us to innovate way more and way faster. When you own your technology stack end-to-end, you don't have to go get into the queue of a third-party system. You can design things the way you want. You can iterate much, much faster. I think the biggest payoff long-term is that really this is setting the stage for future, even faster product innovation for Chime.
I think it's a very exciting initiative. I always want to hear more color on it. I think we have at least one question in the audience. I will turn it over here.
Thanks, Scott Barishaw from Deutsche Bank. Thanks for coming. You know, you talked about all these great things that you're doing to increase new ads, which is exciting. Can you talk a little bit about some of the things you're doing to prevent people from leaving? I mean, that's one of the things that I think may concern people that you grow up, you grow out of Chime, and you want to move on to another financial institution. I think on the roadshow, you were talking about some other things down the road, like some investing products and sort of those types of things that are going to not let people leave.
Yeah, you know, a few things on this. One, just to address your question head-on, we've gotten this question a few times. You know, do Chime customers "graduate" from Chime to another bank, maybe that has more capabilities? The reality is we don't see a lot of that. That is not a large phenomenon in our business at all. That being said, we know we need to continue to grow with our member base, that some of their financial needs are going to evolve over time. Certainly, there's going to be a portion of our member base that is going to be able to utilize a more traditional unsecured credit card. We got to play a role in that. Certainly, our member base needs to solve problems around long-term savings and investings. We feel like we got a right to play in that as well.
The list sort of goes on. You know, our product roadmap is pretty much fully booked for the next decade, I would say. We've got a lot to do. This is also a case where I think one of the realities that we've had to explain is for members, our members, you know, again, everyday folks, there's a lot more job switching than maybe we all are maybe more accustomed to. For example, in Chime Enterprise employers, they turn over their workforce basically twice a year. There's quite a bit of, you know, people resurrecting, coming back to Chime. Maybe they lost their job. Maybe they're switching jobs. The next time they engage with us is when they get a new direct deposit with their new employer. When we ask our members who do churn, where did you go, that's always the number one answer.
We do see a lot of folks coming back to Chime.
Yes, thanks. Thanks for that, Scott. We are right at time. I am going to sneak one more in. This is the Deutsche Bank Tech Conference. Every other company that's been here has taken the opportunity to talk about AI. I would be remiss not to ask Matt about what is going on with AI at Chime, how you're using it today, and what's next on the horizon.
Yeah, look, I think, you know, maybe you've heard this from other companies, but we did issue a pretty clear call to arms to Chimers to think about how they could adopt AI really across the business. We are seeing this change the way that we work in all areas of our business: engineering, marketing, risk, compliance, and certainly customer support. I think that last category is where we're probably seeing the biggest business benefits so far. Now our AI-powered customer support tools automate 72% of customer interactions. That's sort of thousands of human agents. We launched a GenAI voice bot in Q2. It doubled member satisfaction scores. Our members prefer to talk to a robot. That should not used to be the case not so long ago. What's cool about this is we're obviously gaining efficiency, but we're also improving the quality, which is pretty cool.
You know, I don't think that the world of an AI-powered financial coach or advisor in your pocket is actually that far away from us now. There's a lot of hype around this kind of thing. I think at Chime, we've got as good of a shot as anybody bringing that to the real world and making that a reality for two reasons. Number one, the multiplier on AI is data. We have tremendous data on our members. Number two, you have to be able to harness that. Because we built our infrastructure layer, our data is centralized. We can harness our data and leverage it for AI in ways that I think is far superior, particularly relative to traditional institutions that kind of rely on a patchwork. We are very excited about AI, but I think it is still early days on that front.
Yeah, absolutely. It's a great note to end on, Matt. We touched on a lot of topics. Thank you so much for your time. It was great to have you here. Everyone, give it up for Matt. Thank you very much.