Founder and chief executive Andy Taylor said Douugh had taken the original idea of banking disruption and gone beyond the capital-heavy models that have been launched.
"Most of the well-known neobanks are just rebuilding the same old banks in digital form - selling traditional products competing on price, reliant upon getting their customers into debt to turn a profit, while outsourcing their software development," he said.
"This is an incredibly capital-heavy approach and I'm not sure how 'neo' it is or whether it resonates with the millennial and gen Z target market. Our research shows that money management is the fundamental problem that needs solving in banking, and that calls for a new kind of business model."
The company uses licences from its partners, US-based Choice Bank, and Australia's Regional Australia Bank, to deliver basic services through an SaaS model.
"What this means is we can offer a government-insured bank account and debit card just like a first-generation neobank, without the high cost structure, clunky business model and risk profile of becoming a licensed bank," Taylor said.
"For our banking partners, they can deliver innovative products and services to a new customer segment, without having to do the very extensive R&D."
Douugh has a partnership with Mastercard, Douugh has been in beta with some American consumers since mid-2019 and is gearing for a full market launch.
Taylor said the decision to list early was to capitalise on the strong growth opportunity in the US before launching in Australia.
"We will use our IPO funds to scale up our US customer base and continue to invest heavily in R&D to improve our AI-driven platform," he said.
"We are focused on helping people better manage their money, with our long-term goal to become a fully autonomous financial control centre for our customers, which will eventually see us expand into SME banking."