The fintech sector is currently maturing and stabilizing showing consolidation towards venture-backed fintech companies
GlobalData’s Disruptor Intelligence Center conducted research on how different fintech companies are trying to expand while the sector is stabilizing.
For instance, One97 Communications, the parent company of Paytm, became the first fintech unicorn in India after securing $1.6 billion in 2019. It started as an online mobile recharge and bills payment platform, scaling up into other digital financial services businesses. It aims to use the latest funding to expand in both online and offline modes. It also wants to focus on digital banking and insurance businesses.
In addition to that, US startup Robinhood raised $323 million in Series E funding round in 2019, bringing its total funding to $7.6 billion. The has received regulatory approval to expand its services into the UK. Besides, it has just launched a cash management service. It enables users to earn interest in un-invested money in their account and spend it via the Robinhood-branded debit card account.
Lemonade, NY-based insurance startup, raised $300 million in a Series D funding in 2019, shooting up total funding to $2 billion. The research revealed that the insurtech aims to expand its presence across Europe. What is more, Lemonade is planning to enter into the largely untapped pet insurance market.