Asia fintech hits $1.7b as global investment slump deepens

Region closed 150 transactions placing third behind US and Europe.

Asia’s funding deals in the financial technology (fintech) sector reached a total of $1.7b in the first quarter of 2026, the third largest share compared to other markets.

It also closed 150 deals. Compared to its peers, the US recorded $6.7b (361 deals) whilst Europe saw $2.4b (161 deals), according to CB Insights' State of Fintech Q1’26 Report.

Other regions lagged behind, with Latin America bringing in $0.7b, Africa $0.3b, and Oceania $98m. 

Canada saw $85m in funding, whilst all other regions combined accounted for $0.1b.

Global fintech investment remained subdued in the first quarter of 2026, with deal activity falling to its lowest level in several years, according to CB Insights data.

A total of 762 equity deals were recorded in the quarter, marking a continued decline and the fifth consecutive quarterly drop. 

Funding levels also remained weak, coming in at about $12.1b, roughly half the level seen at the start of 2022.

Late-stage banking technology deals made up 35% of activity, though overall late-stage deal count fell to 34, a multi-year low. 

Of the largest banking deals, most funding went to companies working directly with banks rather than partners.

Mergers and acquisitions also slowed, with 199 deals completed during the quarter, down 26% from the previous quarter and marking a six-quarter low. 

Activity was concentrated in areas that had previously experienced strong growth.

In the crypto sector, average startup valuation per employee reached $6.4m, nearly double the broader fintech average of $3.5m. 

Several of the highest-valued fintech firms in the quarter were crypto-focused companies.