Southeast Asia’s fintech startups collectively raised US$839 million during the first nine months of 2025 (9M 2025), reflecting a continued cooling trend in regional investment.
The total capital inflow marks a 39 per cent decline compared to the US$1.4 billion raised in 9M 2024 and a 56 per cent drop compared to the US$1.9 billion recorded in 9M 2023, according to the Southeast Asia FinTech Report by Tracxn.
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Despite the overall contraction in funding activity, Singapore solidified its position as the central hub for fintech investments, capturing 84 per cent of the total funding raised across the region. Jakarta followed distantly, contributing 4 per cent of the region’s fintech funding.
The massive decline in overall funding was primarily driven by steep drops in investments across the seed and early stages. Seed-stage funding stood at US$62.3 million in 9M 2025, a reduction of 63 per cent from 9M 2024 and 64 per cent lower than 9M 2023. Early-stage investments fared similarly, totalling US$219 million, which represents a 66 per cent drop compared to 9M 2024 and 70 per cent less than 9M 2023.
However, late-stage funding showed stability. Late-stage investments held steady at US$558 million, matching the level seen in 9M 2024. This figure was still 45 per cent below the US$1.0 billion recorded in 9M 2023.
Mega rounds stabilise late stage
The stability in late-stage funding was supported by three significant US$100 million-plus funding rounds, up from two such rounds in 9M 2024. The notable mega-rounds recorded during the period included Thunes (US$150 million, Series D), Airwallex (US$150 million, Series F), and bolttech (US$147 million, Series C). These deals underscore strong investor backing for select growth-stage fintech players.
Investor participation remained active across all stages. DST Global Partners and Unbound were identified as the top late-stage investors, while Iterative, 500 Global, and 1337 Ventures were the most prominent investors at the seed stage. Peak XV Partners, OSK Ventures International Berhad, and Citi Ventures played leading roles in early-stage growth investments.
Acquisitions and public markets
The region recorded two initial public offerings (IPOs) in 9M 2025–Antalpha and TCBS–marking a 100 per cent increase compared to the single IPO seen in 9M 2024. The number of IPOs matched the two recorded in 9M 2023. Additionally, the fintech ecosystem saw the creation of one new unicorn in 9M 2025, consistent with the number created in 9M 2024.
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Acquisition momentum, however, slowed down. Fintech companies in Southeast Asia recorded 13 acquisitions in 9M 2025, a 43 per cent drop compared to 23 acquisitions in 9M 2024. Strategic consolidation within the sector continued, with the highest-valued acquisition being KFin Technologies’s acquisition of ASCENT for US$34.7 million. This was followed by Titanlab’s acquisition of Coinseeker for US$30.0 million.
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