Top 5 FinTech Companies of the European region in 2021

By Joy Dumasia

FinTech refers to software and other modern technologies used by businesses that provide automated and improved financial services. FinTech in our daily life is Mobile Payment apps, Cryptocurrency and Blockchain like Bitcoin and Gemini. In the future, the range of FinTech services is predicted to transform the market even more with AI and machine learning and will make FinTech products an integral part of our digitalized life.

FinTechs role in society is becoming more vital than ever, mainly due to Covid-19. FinTech can be used anywhere, by anyone meaning it becomes accessible to people who may never have taken advantage of financial services before. Through access to essential financial services such as mobile money and e-wallets, FinTech companies are helping lift people out of poverty and create a more financially inclusive world.

The following are the Top 5 FinTech Companies of the European region in 2021:

• Rapyd

Rapyd helps businesses create local commerce experiences anywhere. The technology that removes the back-end complexities of cross-border commerce while providing local payments expertise. Global eCommerce companies, technology firms, marketplaces, and financial institutions use FinTech-as-a-service platforms—Collect, Disburse, Wallet, and Issuing to embed localized FinTech and payments capabilities into their applications in a simple way.

Recently, IBS Intelligence reported that Rapyd, a global FinTech as a Service company, announced a $300 million Series E funding round led by Target Global. Joining the round are several new investors, including Fidelity Ventures, Altimeter Capital, Whale Rock Capital, BlackRock, and Dragoneer, along with participation from existing investors: General Catalyst, Latitude, Durable Capital Partners, Tal Capital, Avid Ventures, and Spark Capital.

• Klarna 

Klarna is the global payments and shopping service, providing more intelligent and flexible shopping and purchase experiences to 90 million active consumers across more than 250,000 merchants in 17 countries. Klarna offers direct payments, pay after delivery options and instalment plans in a smooth one-click purchase experience that lets consumers pay when and how they prefer.

IBS Intelligence reported that Klarna’s quarterly global Pulse reports underline consumers’ difficulty understanding the costs of using “traditional” payment methods, such as credit cards, and their overall shopping and money management behaviour.

• Starling Bank

Starling Bank is an award-winning, fully licensed and regulated bank built to give people a fairer, more intelligent and more human alternative to the past banks. It offers personal, business, joint, teen, euro and dollar accounts alongside a child card and a range of lending products. Starling also provides B2B banking and payments services through its Banking-as-a-Service model based on the proprietary technology platform to power its bank. Starling’s head office is in London, but the team works across Southampton, Cardiff, and Dublin offices.

Recently, IBS Intelligence reported that Starling Bank had announced the acquisition of specialist buy-to-let mortgage lender Fleet Mortgages in a £50 million cash and share deal. Fleet Mortgages, based in Hampshire, focuses on providing mortgages to professional and semi-professional buy-to-let landlords only via mortgage adviser distribution channels.

• Revolut

In 2015, Revolut launched in the UK offering money transfer and exchange. Today, customers worldwide use dozens of Revolut’s innovative products to make more than 100 million transactions a month. In July 2021, Revolut became the most highly valued fintech in the UK after a Series E funding round of just under $800m. Revolut announced that it had raised just under $800m in a Series E round and would use the money to fuel expansion into the US and India.

IBS Intelligence reported that Equifax UK and Revolut had announced a new strategic partnership that provides differentiated data assets and real-time predictive analytics for a faster, more informed view of customers and prospects. The Revolut app enables individuals and businesses to exchange, send and receive money in multiple currencies.

• N26

Founders Max and Valentin started N26 in 2013 to set new standards in an industry that’s remained institutional and dysfunctional for many. Their vision was to transform the way money had been managed with the latest technology and the best minds from around the globe to change banking for the better. N26 has raised close to $800m to date and is backed by the likes of Peter Thiel and serial FinTech investor Ian Osborne.

IBS Intelligence reported that N26 announced the launch of N26 Insurance in a bid to offer its customer the option to purchase coverage, manage plans and initiate claims for a range of insurance within the app. The mobile bank has partnered with Simplesurance, enabling customers to select programs straight from the app, with the option to purchase an annual cover or monthly plans with a flexible cancellation policy. Prices start at €6 a month, based on the original value of their smartphone.

ALSO READ: Cybersecurity in Financial Services Report 2021