European Banks Invested the Most, but the Biggest Gainers are American Startups

As we approach the end of this year, we delve into some fascinating insights about global investment trends of banks/financial institutions in FinTech startups. If you are not familiar with the latest MEDICI Insights on this topic, you can get up-to-date here. This year, we witnessed a total investment of $5 billion by banks/financial institutions in FinTech startups across different segments and regions. In this article, we break down these deals region-wise – North America, Europe & Rest of the World.

MEDICI performed an analysis on 159 deals in total but could only find clear-cut information on 100 deals (see chart below). We believe that the trend is representative of the overall bank-FinTech funding activity. In terms of both volume (53%) and value (47%) of funding deals, we have found that the European banks/financial institutions have been at the forefront, but a lot of their FinTech funding is being been routed to FinTech startups based out of North America. The North American region is the preferred destination of 46% of the deals by volume and 47% by value. Furthermore, Asian banks are gradually emerging as investors and have mostly invested in Asian startups.