Lending Briefing: The digital lending fintechs attracting capital in a down market
- Funding is down across the fintech sectors compared to last year, with less capital going to big segments like payments, baking, and lending.
- We are taking a look at some of the digital lending fintechs that still secured financing in this past quarter, in spite of the down market.
In a down market, who’s still attracting capital?
Fintech funding is down considerably – the numbers have started to come in, and they’re pretty bad.
Globally, fintech startups raised $21.5 billion in Q2 2022, 32% less than a year ago according to Dealroom. They reported that the banking, insurtech, mortgages and lending sectors were the most affected, with funding at half of last year’s.
Similar figures can be found at CB Insights, which revealed that fintech funding is at its lowest level since 2020 on a quarterly basis. Some of the most active fintech investors are more reserved this year, with top VC firms Sequoia and Tiger Global participating in 36% fewer investments in Q2 compared to the prior quarter.
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