A FinTech Connect report highlights that while 72% of FinTechs actively seek investment, many encounter difficulties due to tightening funding environments and increased regulatory demands such as AML, KYC, and DORA compliance. Despite these challenges, industry optimism persists, with 70% of respondents forecasting growth in investment over the next few years. Trends like AI adoption, ESG priorities, and economic nationalism shape the sector’s future.
Key Highlights:
- High Investment Demand: 72% of FinTechs are seeking funding, yet many face significant obstacles in securing it.
- Shifting Strategies: 25% of companies adjusted funding plans due to market constraints.
- Future Optimism: Despite hurdles, 70% expect steady FinTech investment growth over 3–5 years.
- Regulatory Pressure: AML/KYC, APP fraud, and DORA regulations add compliance burdens.
- Emerging Trends: AI, ESG focus, and economic nationalism influence the investment landscape.
