CB Insights: Fintech startups raised record $34.5 billion in 2019
Analytical company CB Insights has published a study of the global market of venture investments in fintech startups.
In 2019, the total annual volume of investments in fintech startups was a record US$34.5 billion, CB Insights said. This amount is 15% less than in 2018, when the total amount of funding was US$40.8 billion, but US$14 billion of this was accounted for by Ant Financial (part of Alibaba Group). There were 1,913 deals in 2019 and 2,049 deals a year earlier.
The number of deals in North America, Europe and Asia fell in the early stages of company development (Seed and Round A) to a five-year low of 59%, but Round B deals reached a five-year high.
About 50% of financing, or US$17.2bn, according to CB Insights, was in 83 'mega-rounds' worth US$100m or more. By the number of "mega-rounds", 2019 was a record year in all markets except Europe.
The volume of financing of German companies reached a maximum since 2015: US$1.793 billion in 2019 (65 deals) against US$488 million in 2015 (41 deals). The US$470 mln was attracted by online bank N26.
67 fintech-unicorns (valued at over US$1 billion) are worth a total of US$244.6 billion, of which eight appeared in the fourth quarter of 2019: Next Insurance, Ebanx, Riskified, Rapyd, Wefox Group, Ripple, Bright Health and Figure. Three more in the first quarter of 2020: HighRadius, Pine Labs and Flywire.
A total of 24 unicorn fints appeared in 2019. Among them are Ripple (estimated at US$10 billion), Chime (US$5.8 billion), Limonade (US$2 billion), Hippo (US$1 billion) and others.
The five most active venture capital companies in 2019 are 500 Startups, Accel, Ribbit Capital, Insight and a16z.