Singapore’s fintech sector is roaring ahead, capturing 53% of ASEAN’s total fintech funding in the first nine months of 2024, according to PwC’s Fintech in ASEAN 2024 report. With US$745 million secured, the island nation is punching well above its weight. It’s no wonder six out of the 16 fintech unicorns in ASEAN call Singapore home.
List of Singapore Fintech Unicorns
Advance Intelligence Group
According to its website, Advance Intelligence Group boasts over 40 million users and more than 240,000 merchants using its technology. Just this November, Atome Financial secured an impressive syndicated credit facility for up to US$200 million, arranged by HSBC.
bolttech
In 2024, bolttech partnered with Thailand Post to launch embedded compulsory motor insurance, giving customers easy access to quality coverage through Thailand Post’s nationwide network, online and offline. It also closed a US$50 million venture debt facility with HSBC to support strategic growth, market expansion, and efforts to enhance its technology, products, and operations.
Amber Group
Matrixport
Matrixport is a digital asset platform that provides a wide range of crypto investment products and financial services, catering to both beginners and seasoned investors. From high-yield savings products to structured investments and trading tools, Matrixport helps users grow and manage their digital wealth with ease.
On its website, Matrixport shares that it has US$5 billion in monthly trading volume and is backed by investors like Lightspeed, IDG Capital and Qiming Venture partners.
Beyond serving individual investors, Matrixport actively supports the Web3 ecosystem by partnering with early-stage innovators to help them build, scale, and succeed. Matrixport expanded its presence in the European market this year by acquiring Crypto Finance Asset Management (CFAM), a leading Swiss crypto asset manager.
NIUM
NIUM is a global payments platform that simplifies how businesses and financial institutions send and receive money across borders. With its real-time payment technology, NIUM enables faster, more efficient international transactions, empowering companies to streamline their financial operations.
A recent partnership it had with Ecobank has enabled seamless, real-time cross-border payments across 35 African markets.
Coda
Coda recently partnered with Electronic Arts (EA), a global leader in interactive entertainment, to launch the EA SPORTS FC™ Mobile Webstore in 60 markets.
Key Drivers of Singapore’s Fintech Unicorn Success
In 2023, the Monetary Authority of Singapore (MAS) committed up to S$150 million over three years under the Financial Sector Technology and Innovation Scheme (FSTI 3.0).
Running until March 2026, the scheme seeks to attract financial institutions, corporate venture capital (CVC) entities, and global tech firms to establish centres of excellence in Singapore. The purpose? To foster innovation and deliver market-ready solutions.
There are also other tracks running under the FTSI scheme. These include ESG fintech, AI and data analytics, regulatory technology, quantum technology and innovation acceleration.
Aside from that, the Fintech and Innovation Group (FTIG) oversees regulatory policies and development strategies for technology and innovation to mitigate risks, improve efficiency, and boost the country’s financial sector’s competitiveness.
FAQs
What defines a fintech company as a unicorn?
A fintech company is termed a “unicorn” when it reaches a valuation of US$1 billion or more. This status reflects significant investor confidence and the company’s potential for substantial growth in the financial technology sector.
Why is Singapore a considered a hub for fintech innovation?
Singapore has established itself as a fintech hub due to its supportive regulatory environment, strong financial infrastructure, access to a skilled workforce, and strategic location in Southeast Asia.
Initiatives like the Monetary Authority of Singapore’s (MAS) regulatory sandbox and grants for fintech innovation from a few years back have further bolstered its position as a leader in the global fintech ecosystem. These initiatives could be considered a driver in developing Singapore fintech unicorns.
What challenges do fintech unicorns face in maintaining growth?
Fintech unicorns often face challenges such as navigating complex and evolving regulatory landscapes, scaling operations across diverse markets, maintaining cybersecurity, and staying competitive in a fast-changing industry. Balancing innovation with compliance and operational efficiency is key to sustaining growth.
List last updated 19 December 2024
Featured image credit: Edited from Freepik