For years, fintech industry insiders have been aware of Darragh Buckley’s ambition to acquire a bank. Buckley, founder and CEO of banking-as-a-service (BaaS) provider Increase, recently made significant progress toward that goal.
Buckley purchased a substantial enough stake in Twin City Bank—located in Longview, Washington—to trigger a public disclosure by the Federal Reserve Board. While Buckley confirmed the acquisition, he chose not to divulge details regarding the precise size of his investment. Though exact numbers aren’t publicly known, any ownership interest surpassing 10% requires federal notification and FDIC approval, placing Buckley among the bank’s most significant shareholders.
Initially, many industry observers assumed Buckley’s purchase was meant to support his startup, Increase, which provides API-driven banking services such as ACH transactions, real-time payments, and other automated banking operations. Increase’s clientele includes fintech mainstays such as Ramp, Check, and Pipe. Securing control of an FDIC-backed institution could have streamlined Increase’s ability to supply regulatory banking services directly—without the need for external partner banks. This direct approach mirrors tactics used by other BaaS providers like Column, founded by Plaid’s co-founder William Hockey, who notably acquired Northern California National Bank. Similarly, former Block executives Jackie Reses and Ronak Vyas now control Lead Bank in Kansas City, another illustration of fintech leaders sidestepping the traditional partnership model by purchasing banks outright.
However, Buckley emphasized to reporters that his aims differ fundamentally from his competitors’ speculation. He clarified that this acquisition is not designed to turn Twin City Bank into a financial backer or operational engine for Increase. Instead, Buckley stated he is motivated by broader enthusiasm and genuine appreciation for community banking institutions. Describing community banks as inherently relationship-driven, Buckley said these organizations possess unique local insights and still have tremendous potential for organic growth and success.
Further aiming to quell speculation around his intentions, Buckley confirmed this latest move isn’t his first foray into community banking in Washington. In fact, the Twin City Bank deal reportedly represents his third community bank investment within the state.
Despite this reassurance, Buckley’s moves have not gone unnoticed or uncontested. Recently, he has drawn the attention—and apparently the opposition—of at least one unnamed competitor. An unidentified entity reportedly hired an external agency to attempt pitching negative press coverage of both Buckley and his banking ambitions, a clear sign of the stakes involved in these strategic maneuvers.
Such tensions underscore the complicated position of banks that partner extensively with fintech companies. High-profile vulnerabilities have affected sponsor banks in the past, including Evolve Bank, which suffered a ransomware attack in 2024, an event closely following federal cease-and-desist orders due to deficient risk management practices. Heeding these risks, Buckley made it clear that he does not intend for Twin City to venture into the sponsorship-banking model. Explicitly warning that the complexities of sponsor banking—particularly regarding compliance and risk oversight—make it suitable only for specialized institutions, Buckley affirmed Twin City Bank would continue its existing, community-centric focus.
Buckley’s strategic clarity has limited competitor options to challenge his deal further. With FDIC officials having already issued their “non-objection for control,” Buckley’s investment in Twin City Bank is now complete, securing him a notable position within the community banking landscape—and stoking continuing curiosity about his long-term vision.
