Fintech companies raised a total of $31b in 2017, favorable to the $25b raised in 2016 but well below the record $47b raised in 2015. Insurtech and blockchain startups saw the largest increases. Geographically, the US saw almost half of the 2017 global total, with $15.2 billion raised for the year. M&A accounted for the majority of this funding, with US$8.7 billion in deals in 2017.
However, 2016 saw a big drop off in investment on the previous year, particularly in North America and Europe. In fact, last February KPMG predicted the market would bounce back, citing the "game changer" that is PSD2 in Europe and the rise of insurtech and new technologies such as blockchain, AI and the Internet of Things. While the overall numbers may not have met expectations, insuretech and blockchain did see record levels of VC investment and deal volume. Over the last 12 months, insurtech raised $2.1 billion across 247 deals and blockchain generated $512 million of investment from 92 deals.