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Fintech involves integrating financial services with technological tools to deliver products and services to customers. Consider Fintech as your ability

Top 5 Reasons Why People Invest in Fintech

Fintech involves integrating financial services with technological tools to deliver products and services to customers. Consider Fintech as your ability to buy a house or a car, apply for scholarships, get microloans for a startup, buy stock investments in your favourite company, and pay your bills using a basic mobile application. All those lending, P2P, and crypto apps in your phone are part of Fintech. 

Financial institutions such as banks, investment firms, or credit houses use Fintech to increase their customer base and reduce operational costs. YouPitch Live is here to help you achieve your dreams if you have an exciting fintech idea that can revolutionise the financial industry.

The Evolution of Fintech Services 

Although the fintech industry saw real growth after the global financial crisis in 2008, financial technology started to grow in the 1970s as computer systems were used to provide electronic banking and manage investment products across international markets. 

The paradigm shift for financial technology came with the launch of mobile payments and P2P platforms, leading to crowdfunding, digital currencies, robo advisory, online lending, open banking, and crypto-wallets. The rise of cryptocurrencies has decentralised financial technology with blockchain, making it easier to develop more secure financial products and services. 

Fintech has disrupted traditional finance, democratising access to capital regardless of location. It means entrepreneurs, whether in bustling metropolises like Beijing, Tokyo, London, Berlin, or New York, or remote villages across South Asian countries like India, Nepal, Sri Lanka, or Bangladesh, can now leverage financial tools to get loans, start businesses, and manage daily e-commerce transactions with ease.

Top 5 Driving Factors: What Motivates Investments in Fintech?

The fintech industry is expected to reach $882.30 billion in 2030 with a CAGR of 17%, making it a lucrative sector for venture capital funds and investment moguls. It is primarily due to the constant adoption of artificial intelligence and machine learning technologies that provide cost-effective and scalable solutions for financial companies to reach consumers and businesses beyond their geographic borders. Here are the top 5 reasons why Fintech investors in UAE are keen on investing in this sector:

  1. Democratized and Decentralised Finance (DeFi)

Fintech platforms empower individuals and businesses to take greater control of their finances. User-friendly investment apps, robo-advisors like Robinhood, and alternative trading platforms like Binance are examples of how technology has made financial services more accessible to everyone.

  1. Untapped Markets

While traditional financial institutions overlook specific demographics or niche markets, fintech startups identify and cater to underserved populations, creating new growth opportunities for investors. 

Some recent Fintech ideas ranked by Forbes included newcomers like DataSnipper, Ramp, Carry1st, Middesk, and Zest AI. These startups provide bank receipt matching using AI, corporate credit cards, blockchain and crypto compliance, cyber insurance, payment platforms for in-app purchases across Africa, microinsurance loans in South Asian countries, and automated bond portfolios with credit risk management facilities. 

  1. Technological Advancements

Innovations like artificial intelligence (AI), blockchain, cloud computing, open banking, cryptocurrencies, robo-advisory, and big data are creating new possibilities for Fintech solutions. Investors are drawn to the potential for disruptive technologies to revolutionise the financial landscape. Each of these technological advancements is a multi-billion-dollar industry within itself. 

As per the Asian Development Bank (ADB), cloud computing in Africa and Asia enables banks and lenders to use shared resources while Software as a Service (SaaS) providers handle security, maintenance and updates, leading to higher profits and lower operational costs. 

  1. Regulatory Tailwinds

As the popularity of Fintech within the financial industry has grown, governments worldwide are increasingly implementing regulations that foster a supportive environment for innovation. This regulatory clarity reduces risks and attracts investors seeking stable market conditions. 

Within UAE, a new FinTech Office was recently opened to support innovation, placing UAE at the forefront of digital transformations. UAE continues to excel in virtual and crypto assets, making it a prime choice for launching YouPitch Live in the Middle East. 

  1. High Growth and Returns

As highlighted, the Fintech sector is experiencing explosive growth, with the market reaching $882.30 billion in 2030 with a CAGR of 17%. Additionally, there are trillions in assets under management with lending agencies and banking, making it a high returns sector for investors in the UAE. The early-stage advantages of B2B payment processing, factoring, invoice discounting, market risk management, quantitative finance, crypto management, blockchain platforms, and FX trading are endless. 


The future of Fintech appears bright, and YouPitch Live aims to help startups capitalise on this opportunity to develop sustainable Fintech solutions. As a venture studio, we reduce the risks of investing in early-stage companies while increasing potential rewards in the Fintech space.