The 54 most promising fintechs shaking up everything from how we invest to how we pay, according to top VCs
- Insider asked 34 top fintech investors to nominate the most promising startups.
- VCs highlighted startups that haven't raised more than a Series C.
After several tough quarters in the fintech space, venture-capital firms say they are ready to pump some life, and money, back into the sector — and some of the country's top investors are placing their bets on the most promising startups in the space.
Insider surveyed 34 early-stage investors — including Bain Capital Ventures, Point72 Ventures, and Index Ventures — about the hottest fintechs to watch. VCs nominated a mix of startups in their portfolios and those in which they had no financial interest. In total, investors identified 54 up-and-coming fintechs that hadn't raised beyond a Series C.
Rising interest rates and tanking tech markets have dragged the fintech industry down to its lowest level of funding (less than $8 billion in the second quarter) since 2017, CB Insights reported. Still, investors see bright spots in the space.
"In these downturns, one of the silver linings is we see wonderful companies being built that are enduring. So this should be a good vintage. In 10 years, when we look back, we'll be talking about brand names that were made now," Mark Peter Davis, the managing partner at Interplay, recently told Insider.
As was the case last year, fintechs that sell to businesses, as opposed to those that serve consumers directly, dominated the list. Among business-to-business startups, payments, and risk were popular focus areas. There were also several sustainability-focused startups, offering everything from electric-vehicle financing to marketplaces for financing renewable-energy projects.