The FinTech industry has always been in the eyes of VCs and investors. The already established FinTech players have started taking major steps in order to engage with emerging technologies. Cloud technology and open-source software have lowered the entry level barriers, thereby causing a rapid increase in the establishment of new startups. This revolution in technology and innovation is engaging investors with the FinTech Industry. In addition, the emerging and evergreen FinTech sectors like lending, bitcoin,blockchain, identity verification, loyalty & rewards, mPOS and cloud-based financial services are majorly attracting investors.
LTP analyzed the investments that were made in the FinTech Industry during July 2015 – January 2016. According to the analysis, more than $5.5+ billion of investments were made in the FinTech Industry during this period. The analysis also revealed that the majority of the funding raised by the companies was to expand their services globally.
The largest funding of $1 billion was raised by Sofi in its series E round; the investments were led by SoftBank Group and other investors, including Baseline Ventures, DCM Ventures, IVP, Renren Inc., Third Point Ventures and Wellington Management.