Bolt CEO Ryan Breslow Unveils New ‘Super App’ Amid Controversy Over $30 Million Personal Loan
Ryan Breslow, the controversial co-founder and newly reinstated CEO of Bolt, recently spoke about a significant event that has impacted the company: a $30 million personal loan he took out from Bolt. This loan has sparked legal disputes and contributed to his temporary removal from the CEO position. Breslow’s insights into the situation and his plans for Bolt are crucial for understanding the future of the fintech industry.
Legal Challenges Surrounding Breslow’s Loan
The legal controversy began in 2023 when Activant, an investor in Bolt, filed a lawsuit against Breslow. The lawsuit alleged that Breslow burdened the company with $30 million in debt after borrowing the sum and subsequently defaulting, which led to the use of company funds to repay it.
- Activant claimed Breslow’s actions were detrimental to Bolt.
- The case was eventually settled, with Bolt agreeing to repurchase Activant’s shares for $37 million.
Breslow’s Defense
At the recent Fintech Meetup in Las Vegas, Breslow defended his decision to take the loan, asserting it was motivated by loyalty to Bolt rather than self-interest. He stated:
“It was done to be pro-Bolt. I took it out instead of selling any meaningful secondaries.”
He emphasized that the loan was approved unanimously by Bolt’s board, aiming to demonstrate his commitment to the company and its investors.
Plans for a New “Super App”
With Breslow back at the helm, he announced plans for an innovative “super app” that will transform the user experience by integrating Bolt’s one-click checkout feature across various services.
- Breslow’s vision includes financial services, peer-to-peer transactions, cryptocurrency, and more—all in one app.
- He compared Bolt’s potential to that of the U.K. fintech giant Revolut, which was valued at $45 billion last year.
Despite boasting 80 million “wallets,” Breslow admitted that Bolt has yet to monetize its consumer base effectively. In contrast, Revolut reported $2.2 billion in revenue and $545 million in pre-tax profits for 2023.
Fundraising and Future Outlook
One of the pressing issues for Bolt is the status of its next fundraising round. In August, news surfaced regarding a potential $450 million fundraising deal, which raised eyebrows due to its proposed use of $250 million in marketing credits.
- Some investors, including BlackRock and Hedosophia, sought to block this fundraising effort.
- However, Bolt announced that these lawsuits have been voluntarily dismissed.
Breslow reassured attendees that all legal issues against him have been settled, though he did not provide updates on the fundraising initiative. He expressed a renewed determination to lead Bolt to new heights, stating:
“I’ve got a very big chip on my shoulder. I’m ready to take Bolt to really new heights.”
For more details about Bolt’s innovative solutions and Breslow’s leadership, visit Bolt’s official website.
