Global FinTech Financing While the market has experienced a correction in recent years, new indicators show lasting potentialin the sector.
FinTech Financing by Year (In Billions of USD)
Total Deal Size in ($B) # of Deals
4,233
3,912
Annualized
2,447
Key trends:
2,244
1,888
• Funding Decline: FinTech funding volume dropped significantly in 2022 and 2023, exceeding a 30% decline each year. This trend continued in Q1 2024, with the lowest first-quarter volume since 2020 (at $8.8 billion). However, a slight uptick in Q2 2024 suggests a potential shift in trajectory. • Shifting Investment Strategies: Mimicking the trend seen in 2023, VCs are currently deploying smaller investment sizes, with most deals falling below $5 million. • Bright Spots Remain: Despite the overall decline, significant capital continues to flow into the fintech space. As of 2024, 31 financing rounds have surpassed the $100 million mark, indicating continued investor interest in high-growth opportunities. The uptick in Q2 volume, along with the continued presence of large investment rounds exceeding $100 million, signifies continued investor confidence in the fintech sector.
1,033
146.9
99.9
35.5
63.2
58.1
19.4
2020
2021
2022
2023
YTD 2024
Financing Volume by Quarter (In Billions of USD)
Total Deal Size in ($B) # of Deals
1220
1133
1094
1056 1102
888
844
708 667
37.5 39.2 38.7 36.4
664
656
31.8
555
534
533 571 572
28.7
478
460
21.3
20.7
17.7
17.2
15.5
13.6
12.3
12.1
11.0 10.9
8.8 10.7
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2020 2021 2022 2023 2024
Source: Pitchbook as of June 2024. Data consists of transactions where deal value was disclosed.
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