CB-Insights-2021Q2金融科技投资和行业趋势（英）-2021.8-79页_7mb

State of Fintech Q2'21 Report: Investment & Sector Trends Summary

Core Content

This report provides an overview of the fintech industry's performance during Q2 2021, highlighting key trends in investment, sector growth, and notable deals across various sub-sectors.

Main Points

• Overall Funding Growth: Q2 2021 was the largest funding quarter on record, with global VC-backed fintech companies raising $30.8B across 657 deals, a 30% increase from the previous quarter and a 29% YoY growth.
• Deal Activity: Deal activity increased by 29% YoY, surpassing Q1 2021's record. Mid- and late-stage deals accounted for 8 percentage points more of the total deal activity compared to the previous quarter.
• Regional Growth: South America led in growth, with funding increasing by 153% QoQ and deal activity rising by 52% QoQ. All continents saw increased funding, but deal activity declined in Asia, Europe, and Africa.
• Mega-Rounds Dominance: Mega-rounds (deals over $100M) accounted for 70% of total funding, with 88 mega-rounds raised in Q2 2021, compared to 60 in Q1 2021.
• Sector-Specific Trends:
  • Payments: Raised over $8B, with a 25% QoQ increase in funding and a 5% decrease in deal activity. Payments companies saw 24 mega-rounds, which represented over 80% of total funding.
  • Banking: Recorded a record-breaking quarter with 59% QoQ deal growth and 43% QoQ funding growth. 16 mega-rounds accounted for 68% of total funding.
  • Digital Lending: Funding and deal activity both saw significant growth, with $7B raised across 126 deals, a 76% QoQ increase in funding and a 19% increase in deal activity. Mega-rounds doubled to 16.
  • Wealth Management: Funding fell by 21% QoQ to $4.4B, but 12 mega-rounds set a new record, representing 77% of total funding.
  • Insurance: Insurtech funding surged by 79% QoQ, with mega-rounds accounting for 66% of total funding.
  • Capital Markets: Deal activity fell 10% QoQ, and funding dropped 82% YoY to $5.1B.
  • SMB: Fintechs focused on small- and medium-sized businesses saw a 37% QoQ increase in funding to $5.9B, with deal activity at its strongest in 5 quarters.
  • Real Estate: Despite a 20% QoQ decrease in deals, late-stage mega-rounds drove funding to a 5-quarter high of $3.2B.

Key Deals and Trends

• Open Banking Expansion: Open banking platforms gained momentum, with Visa acquiring Tink for $2.2B, and several other open banking companies securing large funding rounds.
• Robinhood's Public Debut: Robinhood filed for an IPO in July 2021, with a valuation of $65.3B, and reported significant growth in revenue and user base.
• Blockchain Growth: Blockchain fintechs raised a record $4B in Q2 2021, with top deals including Circle ($440M), Ledger ($380M), and Paxos ($300M).
• SPAC Activity: Several fintech companies, including Acorns, Better.com, and Dave, announced plans to go public via SPACs.
• IPOs and Public Listings: Coinbase, dLocal, Alkami, Marqeta, Flywire, and Wise (formerly TransferWise) launched IPOs or direct listings, with Coinbase achieving a valuation of $65.3B.
• LatAm Fintech Growth: Latin American fintech funding grew at a 57% CAGR since 2016, with Brazil-based companies representing 70% of total funding between 2016 and 2021.
• Challenger Banks: Challenger banks targeting specific demographics gained millions of customers, with increased funding and deal activity.
• Fintech Unicorns: Globally, there are 131 fintech unicorns, valued at a combined $516B.

Notable Companies

• Visa: Acquired Tink, a UK-based open banking platform, for $2.2B.
• Circle: Raised $440M in a mega-round.
• Ledger: Secured $380M in funding.
• Paxos: Raised $300M in a mega-round.
• Klarna: Raised $639M in a mega-round, offering a buy now, pay later solution.
• Wealthsimple: Raised $610M in a mega-round.
• Xingyun Group: Secured $600M in funding.
• SaltPay: Raised $500M in funding.
• Better.com: Raised $500M in a mega-round.
• Kavak: Raised $485M in funding.

Investor Activity

• Top Active VCs: Investors such as SoftBank Group, Tiger Global Management, and Sequoia Capital were highly active in Q2 2021.
• Investment Focus: Early-stage virtual corporate card and expense management companies attracted significant investment, with notable deals like Tribal Credit and Payhawk.

Conclusion

Q2 2021 marked a record-breaking quarter for fintech investment, driven by mega-rounds and strong performance in digital lending, banking, and SMB fintech. Open banking and blockchain technologies saw significant growth, while SPACs and IPOs provided new pathways for fintechs to enter public markets. Regional trends highlighted the rise of Latin American fintechs, with South America leading in funding and deal growth. The report underscores the evolving landscape of fintech, emphasizing the importance of innovation, strategic partnerships, and regulatory developments in shaping the industry.