Fintech is a rapidly growing area that is now shaping the global financial industry. Some time ago people were standing in the waiting line at the bank with  numerous forms of IDs. Today, customers are using the various financial wellness platforms, allowing them to do their banking, investing, trading and crowd-funding without leaving their homes. Nowadays ,more and more bankers are accepting the new technologies  and engaging in partnerships with Fintech companies and VC backed funding in industry increased from year to year

Annual global FinTech deals and financing reached its record and hit  $16.6 Billion in 2017, where Europe funding share is more than $2 Billion.  As a result there are 25 Fintech Unicorns in the world which are valued in aggregate $75.9 Billion and among them  four European Unicorns : Transferwise, Funding Circle, Klarna and Adyen. 

Even though US market is leading with the number of Fintech companies, 2018 may become a challenging year for US Fintechs to maintain their positions on the market  as  European banking startups are also aiming to seize the US market share and talent.  Revolt , N26  and Monzo are launching in the USA  while Transferwise is launching its new bordless account and debit card that can hold 28 currencies in one account.


Generally, the developing trends are changing so fast it is difficult to keep up with them. However,  according to Zach Perret, CEO of Plaid there are few expressed trends for 2018.

  • Automation : In 2018 and over the next few years, we are going to witness automated financial decisions and actions. From bill autopays to automated savings to better overdraft protection tools, a lot of apps dedicated to helping people live a more automated financial life.
  • Bank acquisitions: The big banks are actively thinking about how they can compete and at the same time serve the customers. Thus, It is expected to see some major and minor acquisitions of FinTech companies by the big banks. According to PWC FinTech survey bankers are increasingly engaging in partnerships with FinTech companies (54% vs. 42% last year) and buying the services of FinTech companies (40% vs 25% last year)
  • Lending data evolution : It is said that FICO score is outdated for years, yet there is no better datatests. Thus, Zach Perret is expecting that this year will bring new alternate lending data which will encourage lenders to think of better credit models.
  • A few more: new and better identity validation / KYC products, lots of startups focusing on fraud and risk automation, and strong continued growth in B2B lending.


We are facing the rapid technological development and financial industry has a strong focus on this development. It is certain that Fintech is up for the further disruption and it’s a good time to be the part of this  highly influential industry .Hence ,if you spot an opportunity perhaps you will be the next one leading the industry.