Future of Global Fintech Second Edition 2025

Distribution of fintechs by business model FIGURE 2 8% 8% 21% 34%18%11% Digital banking and savings Digital capital raising Digital lending Digital payments Insurtech WealthtechBusiness models This report focuses on six retail-facing fintech industry verticals. The distribution was similar to that of the previous edition, with the addition of wealthtech. In the recent study, digital payments were the largest vertical, comprising 34% of the total responses, followed by digital lending (21%), insurtech (18%) and wealthtech (11%). Digital capital raising and digital banking and savings accounted for 8% each. The top three digital payment categories were cross-border remittances (45%), money transfer (43%) and domestic remittances (40%). This trend was consistent in SSA, Europe and LAC. Digital lending was the second largest vertical in APAC (29%), LAC (26%) and MENA (16%). In LAC and Europe, most digital lending firms provided balance sheet business lending services. Meanwhile, in MENA and APAC, they primarily focused on balance sheet consumer lending services.Digital wealth management was the leading service for wealthtech firms, with 50% offering this service, followed by personal financial management (35%) and robo-advisers (21%). The US and Canada and Europe led in terms of the number of wealthtech firms (17% and 15%, respectively), followed by MENA (11%) and LAC (10%). Technical service providers (TSPs), on-demand insurance and customer management were the top three categories in the insurtech vertical. TSP dominated most regions, except for the US and Canada and APAC. In APAC, the claims and risk management solutions category led (34%), while in the US and Canada, use-based insurance was the largest segment (44%), with one-third offering parametric-based insurance.The survey data sample consists of responses from fintechs operating in different geographies (totalling 717 data points, as a fintech firm may have multiple separate jurisdictional subsidiaries). The study composition contains robust data cuts, with at least fifty firms represented from each region and fintech industry vertical, allowing the research team to derive relevant insights. The APAC region had the largest proportion of responses (30%), being home to some of the fastest-growing fintechs in the world. Europe followed closely with 28%, while LAC and MENA contributed 18% and 9% of the survey sample, respectively. The sample also included firms from Sub-Saharan Africa (SSA) and the US and Canada (8% and 7%, respectively). Overall, the distribution was similar to that of the first edition, with nuances such as increased participation by fintechs in Europe and a drop in participation from SSA (from 15% to 9%). The study revealed that fintech hotspots include the UK, India, the US, Singapore, Brazil and Indonesia, each of which headquarters over 10 firms and showcases their booming fintech sector. Additionally, the top operating countries for fintechs included the US, the UK, India, Singapore, the United Arab Emirates, Brazil, Colombia, Mexico, Indonesia and Germany. The Future of Global Fintech: From Rapid Expansion to Sustainable Growth 7