Global Fintech Investment Increases, But Transactions Plummet... 'Selective Investment' Becomes Clearer

In the first half of this year, global fintech investment increased, but the number of transactions significantly decreased. Investors are shifting towards betting 'big' rather than 'many', leading to a concentration of funds in a few promising companies and key sectors.

According to Crunchbase, the total amount raised by fintech startups worldwide in the first half of 2026 reached $28.6 billion, a 22.7% increase compared to the same period last year. In Korean won, this amounts to approximately 42.7 trillion won. However, compared to the $34.6 billion in the second half of last year, this represents a 17.3% decrease. It should also be noted that the second half of last year was the strongest six months since the second half of 2022.

Investment Amounts Increased While Transactions Decreased

In the first half of the year, the number of fintech investments was recorded at 1,605. This is a decrease of 25.7% compared to more than 2,161 in the first half of last year. Compared to the first half of 2024, the decline reaches 40%. It is interpreted that rather than a complete downturn in investment sentiment across the market, there is a clear trend of 'selective investment' where large amounts of capital are concentrated in verified companies.

Regionally, the United States remained dominant. U.S. companies attracted over 52% of the total fintech investment in the first half, amounting to $15 billion, which is about 22.4 trillion won. The UK followed with $2.7 billion, and India with $1.9 billion.

Focus on Wealth Management, Financial Infrastructure, and AI

Investors on the ground see the fintech market as splitting into two paths. Funds are either concentrated in early-stage startups or in a few large companies that have already scaled up.

Elena Sakhach, a partner at Google Ventures (GV), evaluated 2026 as the point when the 'rapification' of modern companies becomes prominent. This means that large fintech companies with profitability, distribution networks, and data competitiveness are directly nurturing experimental new business divisions. She pointed out that Ramp is competing with major AI research institutes for talent acquisition, and Stripe is expanding its product range into corporate billing and blockchain areas.

The focus of early-stage startups is also shifting away from merely replicating past financial services. In particular, the field of 'wealth management' is noted as rapidly growing due to the influx of young generation assets into the market, leading to increased demand for AI-based tools. Automation for businesses and financial infrastructure are also gaining attention. An analysis suggests that simply reducing chargeback issues could create an opportunity worth about $60 billion when combining costs for merchants and banks.

Rise of Stablecoins and Tokenization of Real Assets

Justin Overdorf of Lightspeed Venture Partners pointed to the infrastructure for capital movement, stablecoins, and blockchain-based tracking of real assets as the background for the expansion of fintech investment this year. As the boundaries between crypto and traditional finance blur, funds are flowing into areas that improve actual cash flow and payment systems.

This trend is also confirmed in large investment cases. New York-based Tactile raised $110 million in a Series C investment in June for its 'agent-type' decision-making platform for banks and insurance companies. The leading investor was Goldman Sachs Alternatives. African payment infrastructure startup Flutterwave also received Series E investment in the same month, achieving a company valuation of $3.2 billion, which is about 4.8 trillion won.

Growing Expectations for AI, But Risks Remain

Investors generally agree that AI is becoming a core engine of the fintech industry. It is being used not just as a simple auxiliary function but in ways that compress tasks traditionally handled by analytical teams over weeks into minutes, such as loan assessments, fraud detection, and advisory roles. Traditional industries like tax and auditing have also come under this influence.

However, there are also significant risk factors. Skepticism is raised regarding new stablecoin networks without clear user acquisition paths, low-profit personal credit card startups, and traditional software for existing banks. Particularly, as the introduction of AI into the financial system accelerates, the importance of cybersecurity, regulatory compliance, and governance systems also increases.

Large Companies Staying in Private Markets Instead of Going Public

The U.S. fintech IPO market has been quieter than last year. In the first half of 2026, only three fintech companies went public on the New York Stock Exchange: Brazil's PicPay, Azibank, and Japan's PayPay. All were foreign companies.

In contrast, large fintech companies like Stripe, Plaid, Ramp, Revolut, and Monzo are opting for private fundraising or equity sales instead of going public. Stripe announced in February that it would support employee liquidity through a tender offer transaction valued at $159 billion, approximately 237.3 trillion won. This is a 49% increase compared to its valuation of $106.7 billion in September last year. Ramp also raised $750 million in June at a valuation of $44 billion, about 65.7 trillion won, after previously raising $300 million at a valuation of $32 billion just a few months earlier.

This concentration of funds is likely to continue in the second half of the year. There may be mega investment rounds concentrated in a few 'category leaders', while the funding environment for other companies could become more challenging. The fintech market has now entered a phase where it is more important to consider which sectors and companies are attracting money than just quantitative recovery.

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