March 8, 2018
There is an outstandingly large community of over 10,000 FinTech startups operating around the world – shedding international borders, democratizing remittances in the name of inclusion, facilitating inclusion through economic identity on the blockchain, and a lot more.
The FinTech startup community is very diverse and rich in ideas and solutions. We track around 50 FinTech sub-segments into which the 10,000+ startups fall, but there are only two categories continuously at the top of their game in terms of capital saturation and entrepreneurial activity – lending and payments. No wonder. The role models – Stripe, Square Cash, PayPal, M-Pesa, Alipay, and Venmo – opened the floodgates into the world of social payments and efficient e-commerce, demonstrating opportunities that technology brings into this segment. Let’s look at PayPal’s 2017 operating results for some numbers:
Active customer accounts of 227 million, up 15% with growth of 29 million net new actives
7.6 billion payment transactions, up 24%
$451 billion in total payment volume (TPV), up 27% both on a spot and FX-neutral basis
33.6 payment transactions per active account on a trailing 12-month basis, up 8%
Once the way was paved and proven to be lucra ...