How Fintech is shaping Europe in 2021

Investments in Fintech startups increased significantly in 2021 and are expected to outperform 2020. In H1 2021 alone startups already raised $8.5 billion compared that is very close to the total amount raised for the whole of 2020.

According to Crunchbase there’re 3689 Fintech startups in Europe with 25 new projects that appeared in H1 2021. Klarna raised the largest venture capital investment among all Fintech startups this year that is $1 billion.

There’s also an increase in the average deal size in 2021 compared to the previous years. It can be seen from the total amount of funds raised compared to the overall number of venture capital deals.

The UK became the main Fintech hub in Europe with US$12.9 billion raised by Fintech startups. It’s not a surprise for anyone considering the recent growth of different niche applications within the domain and the significant growth of the Islamic Fintech that we covered earlier.