What’s next? 7 fintech trends for 2025

In 2024, we saw fintech companies fully embrace AI, weaving it into their offerings to enhance customer experiences and streamline operations. But that was just the start. In 2025, expect AI to take an even bigger role, powering everything from fraud detection to personalized financial advice.

However, with great innovation comes increased oversight. Regulators like the Securities and Exchange Commission (SEC) issued fines and penalties across 2024, with “AI washing” a key area of concern. As AI adoption grows, so will regulatory scrutiny, making compliance a top priority for fintechs looking to stay ahead.

2025 is shaping up to be a brighter year for fintech funding. With interest rates on the decline, the U.S. hinting at potential deregulation and the EU rolling out clearer regulatory frameworks, the stage is set for renewed investor confidence.

This sense of optimism could reignite innovation and growth across the sector, fueling everything from emerging startups to ambitious new ventures. 

The introduction of the Markets in Crypto Assets (MiCA) regulation in Europe is setting the stage for a transformative year. In 2025, fintech startups are poised to seize this opportunity, using the new framework in conjunction with heightened retail interest from the recent bull market in crypto and blockchain at the end of 2024.

Stablecoins are also stepping into the spotlight. In 2024, we saw them gain traction in fintech offerings, and this momentum is only set to grow. From streamlining payments to enabling tokenization—a data security measure of replacing sensitive data with a non-sensitive equivalent—stablecoins are becoming a key part of the fintech toolkit.

Quantum computing is no longer just a futuristic concept—it’s beginning to make its way into the fintech space. In 2025, we can expect early adopters to invest in  this cutting-edge technology to tackle complex challenges like portfolio optimization, high-frequency trading, advanced data analytics and even fraud detection.

With its unmatched processing power, quantum computing has the potential to revolutionize how financial data is analyzed and decisions are made. As insurers, our role is to give fintechs the support to tap into these immense possibilities, which means undertaking innovation ourselves. Backed by broader policies, we can give fintechs the confidence to take on increased risk—and to reap the rewards. 

RegTech is set to become a dynamic subsegment of fintech in 2025. With growing pressure to meet regulatory requirements such as Anti-Money Laundering (AML), Know Your Customer (KYC) and the Markets in Financial Instruments Directive (MiFID), expect to see a rise in fintechs providing innovative software solutions that help businesses achieve compliance.

Tools are designed to cut through complexity, offering a smarter, faster way to stay on top of the rules. Of course, RegTech solutions can also pose risks, from compliance failures to reputational harm—driving demand for insurance. 

In 2025, we’ll see fintechs increasingly consolidate their services. All-in-one solutions are combining banking, payments, energy management, mortgages, pensions and more into a single app.

This trend is all about simplifying life for users, providing a centralized hub to manage their financial and everyday needs. Expect this one-stop-shop approach to reshape how we interact with money and services.

New York, London, Singapore, Silicon Valley—the world’s top fintech hubs have led the way in innovation and progress for decades. But emerging hubs are attracting investment, innovation and talent, too. None more so than Eastern Europe.

While Lithuania remains a prominent hub, expect new players like Romania, Croatia, and Estonia to establish themselves in 2025.