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Fintech startups to scale up beyond their boundaries

Monday 23 March 2020 09:58 CET | News

Fintech startups are looking to scale up beyond their boundaries, says GlobalData, a data analytics company.

An analysis of GlobalData’s Disruptor Intelligence Center reveals how various fintech companies are trying to expand as the fintech sector is stabilising and maturing. India-based One97 Communications, the parent company of Paytm, became the first fintech unicorn in India after securing USD 1.6 billion in 2019.

With a total funding of USD 16 billion, the fintech started its journey as an online mobile recharge and bills payment platform, and gradually scaled up into other digital financial services businesses such as banking and insurance. It intends to use the latest funding to merchant expansion in both online and offline modes as well as make an aggressive push into the digital banking and insurance businesses.

US-based startup Robinhood raised USD 323 million in Series E funding round in 2019, bringing its total funding to USD 7.6 billion. The fintech, which is a popular commission-free stock broker in the US, recently received regulatory approval to expand its services into the UK. It recently launched a cash management service by helping users to earn interest on un-invested money in their account and spend it via Robinhood-branded debit card account.    

US-based insurance startup Lemonade raised USD 300 million in a Series D funding in 2019, shooting up its total funding to USD 2 billion. After disrupting the US insurance market using artificial intelligence and behavioural economics by targeting millennials with renters, homeowners and condo insurance, the insurtech aims to expand its presence across Europe. Moreover, the startup is eyeing to foray into the largely untapped pet insurance market.

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Keywords: insurtech, fintech, banking, Paytm, online mobile recharge, bills payment, stock broker, US, India, funding, Robinhood, Lemonade
Categories: Banking & Fintech | Payments General
Countries: World
This article is part of category

Banking & Fintech