15 Jul The State Of Fintech In 2016
Singapore-based investing start-up Call Levels and Canadian discount voucher platform Savvybeaver have published an infographic on the global Fintech landscape in 2016 highlighting investment flows into Fintech and the most promising start-ups in the sector.
From 2010 to 2015 global investment into Fintech totaled USD 49.7bn. The bulk of these investments were made in 2014 and 2015, as Fintech started to move into the forefront of the global financial industry. While the United States is the largest investor in Fintech, both Europe and Asia have seen a massive growth in Fintech investments in the year 2015. The most popular areas for Fintech investors have been payments and lending, the blockchain and cloud-based services.
The top five Fintech unicorns, according to their valuations, are mobile payments company Square Inc., valued at USD 6bn, online payments provider Stripe, valued at USD 5bn, peer-to-peer lender Prosper, valued at USD 1.9bn, e-commerce company Powa Technologies, valued at USD 2.7bn and Amsterdam-based payment company Adyen, valued at USD 1.5bn.
While these valuations are substantial, they are still relatively small compared to the leading tech unicorns such as Apple, Google, Microsoft and Facebook, valued at USD 663bn, USD 352bn, USD 262bn and USD 244bn respectively.
The infographic also highlights US-based online wealth management companies Betterment and Wealthfront, and bitcoin wallet and payments provider CoinBase as the top three aspiring Fintech unicorns today.
The three biggest acquisitions in the Fintech sector to date have been the acquisitions of SunGard Data Systems by Fidelity National Information Services Inc. for USD 9.1bn, the purchase of digital payments business Skrill by Optimal Payments for USD 1.3bn and the acquisition of bank payments solutions provider Fundtech by D+H for USD 1.25bn.
The biggest venture capital firms active in the Fintech space are Sequoia Capital, Softbank Group and Google Ventures, while the largest Fintech investors on Wall Street are Citigroup, JP Morgan, Goldman Sachs and Barclays.
