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United States Fintech Market Size (2024 - 2029)

The United States fintech market has experienced significant growth, characterized by its expanding market size and the increasing integration of technology in financial services. This sector, driven by innovations in AI, blockchain, cloud computing, and big data, is evolving rapidly as it competes with traditional financial methods. Digital payments lead the market, reflecting a substantial portion of the industry's value. Despite a cautious approach from investors as the market matures, venture capital investment continues to rise. The U.S. is poised to dominate a significant share of the global fintech transaction value, underscoring its pivotal role in the industry's future.

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Market Size of United States Fintech Industry

US Fintech Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2020 - 2022
CAGR 11.00 %
Market Concentration High

Major Players

United States Fintech Market Major Players

*Disclaimer: Major Players sorted in no particular order

US Fintech Market Analysis

The United States Fintech market reached a size of USD 4 trillion in the current year and registered a CAGR of 11% over the period of the forecast.

Financial technology, also known as "fintech," is a type of technology and innovation that aims to compete with traditional financial methods in the provision of financial services. AI, blockchain, cloud computing, and big data are considered the ABCs of fintech. The fintech industry is an evolving industry that uses technology to improve activities in finance.

According to research conducted in the US fintech market, venture capital investment is increasing year after year, but investors are becoming more cautious as the industry matures. In the previous year, there were 8775 fintech start-ups in America. Digital payments are the leading fintech segment in the United States, with a market value of more than $1.2 trillion. 60% of credit unions and 49% of banks in the U.S. believe that fintech partnerships are crucial. By the forecasted period, the U.S. will account for more than 62% of the global fintech transaction value.

The United States' customer fintech implementation is at 46%. The customer fintech implementation rate for global money transfers and payments is 75%. 75% of global consumers have used at least one fintech service to pay online or using a mobile application. 70% of U.S. customers say that mobile banking will represent the future. There were 54 million P2P (peer-to-peer) lending users in the United States six years ago, and it was likely to more than double to 126 million in the current year.

US Fintech Industry Segmentation

Fintech (financial technology), is a term used to describe a range of products and services that use technology to enhance and automate traditional financial operations and processes. Examples of Fintech products and services include online banking services, mobile payments, P2P lending, digital wallets and financial management tools.

Sales of platform- and technology-based financial services, along with related products, make up the FinTech (Financial Technologies) market. FinTech refers to the application of technology and innovation to the delivery of financial services via web-based platforms. The scope of the report comprises a complete background analysis of the US fintech industry, including a valuation of emerging trends by segments, significant changes in market dynamics, market overview, market size approximation for key segments, and key company profiles also covered in the report.

The United States Fintech Market is Segmented by Service Proposition (Digital Payments (Mobile POS Payments, Digital Remittance, and Digital Commerce), Digital Investments (Neo-Brokers and Robo-Advisors), Alternative Lending, Alternative Funding (Crowd Investing and Crowd Funding), Neo-banking, and Online insurance and insurance marketplaces. The report offers Market size and forecasts for United States Fintech Market in value (USD Million) for all the above segments.

By Service Proposition
Digital Payments
Mobile POS Payments
Digital Remittance
Digital Commerce
Digital Investments
Neo-brokers
Robo-Advisors
Alternative Lending
Alternative Financing
Crowd Investing
Crowd Funding
Neo-banking
Online Insurance and insurance Marketplaces
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United States Fintech Market Size Summary

The United States fintech market is a rapidly evolving sector that leverages advanced technologies like AI, blockchain, cloud computing, and big data to enhance financial services and compete with traditional methods. The industry is characterized by significant venture capital investment, although investors are becoming more selective as the market matures. Digital payments lead the U.S. fintech segment, reflecting the country's strong preference for credit card and mobile wallet payments. The U.S. fintech landscape is further bolstered by a high penetration of debit and credit cards, facilitating the adoption of digital wallets. The market is dominated by major players such as PayPal, Stripe, and Venmo, which offer a range of services to both businesses and consumers, contributing to the sector's robust growth prospects.

The U.S. fintech market is poised for continued expansion, driven by the increasing adoption of digital payment systems and the growing acceptance of fintech solutions in everyday transactions. The market's growth is supported by the country's strong e-commerce infrastructure and a diverse, tech-savvy consumer base. As more Americans embrace digital banking and online payment methods, the fintech industry is expected to maintain its upward trajectory. The market is consolidated, with key players employing innovative strategies and forming partnerships to enhance their offerings. Despite emerging regulations, the influx of new startups and investments indicates a vibrant and competitive market landscape, with companies like Chime, Stripe, and iTrustCapital leading the charge.

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United States Fintech Market Size - Table of Contents

  1. 1. MARKET DYNAMICS AND INSIGHTS

    1. 1.1 Market Overview

    2. 1.2 Market Drivers

    3. 1.3 Market Restraints

    4. 1.4 Industry Attractiveness - Porters' Five Forces Analysis

      1. 1.4.1 Threat of New Entrants

      2. 1.4.2 Bargaining Power of Buyers

      3. 1.4.3 Bargaining Power of Suppliers

      4. 1.4.4 Threat of Substitutes

      5. 1.4.5 Intensity of Competitive Rivalry

    5. 1.5 Insights on impact of technology and innovation in Operation in Fintech Market

    6. 1.6 Impact of COVID-19 on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Service Proposition

      1. 2.1.1 Digital Payments

        1. 2.1.1.1 Mobile POS Payments

        2. 2.1.1.2 Digital Remittance

        3. 2.1.1.3 Digital Commerce

      2. 2.1.2 Digital Investments

        1. 2.1.2.1 Neo-brokers

        2. 2.1.2.2 Robo-Advisors

      3. 2.1.3 Alternative Lending

      4. 2.1.4 Alternative Financing

        1. 2.1.4.1 Crowd Investing

        2. 2.1.4.2 Crowd Funding

      5. 2.1.5 Neo-banking

      6. 2.1.6 Online Insurance and insurance Marketplaces

United States Fintech Market Size FAQs

The United States Fintech Market is projected to register a CAGR of 11% during the forecast period (2024-2029)

Stripe, Chime, Klarna, iTrustCapital and Robinhood are the major companies operating in the United States Fintech Market.

United States Fintech Market Report Snapshots

US Fintech Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)