Friday, 12 January 2024

Which fintech sectors are VCs bullish about in 2024?

Plus, this firm tops active investor ranks in slow year

January 12, 2024

Hi, Agen. You probably already know that startup investors put much less money to work in 2023. But Crunchbase data shows some investors slowed down much less drastically than others — leading to a major reshuffling of the most-active startup investor ranks. Plus, we look at what happened with financial services startups in 2023 and what areas of fintech investors say could get more attention this year. And in another sign of an IPO market thaw in 2024, a stablecoin startup files to go public.

💸 Which fintech sectors are VCs bullish about in 2024?

Fintech — once the startup sector that drew more money than any other — is no longer the No. 1 investor favorite, but still drew billions of dollars in capital in 2023. We look at what happened with the sector in 2023 and hear from investors about what to expect this year.

Related Crunchbase Pro list: Funding to Financial Services Companies In 2023

🤑 A16z tops active investor ranks in slow year

Andreessen Horowitz reclaimed its frontrunner status among active startup investors in 2023, as firms such as Tiger Global Management and SoftBank Vision Fund retreated in a slow year for venture spending.

🅾️ Stablecoin startup Circle files confidentially for IPO

Boston-based Circle, the issuer of USDC, which is pegged to the U.S. dollar and is the second-biggest stablecoin, is again aiming to go public, this time in a year when most industry watchers expect to see the IPO markets open up somewhat.

☀️ Survey says: Readers feel upbeat about 2024

Crunchbase News readers who responded to our latest survey are more optimistic about the state of the economy and startup world going into 2024 than they were a year, or even just six months, ago, though they’re still skeptical about an IPO market rebound and many aren’t banking on AI to dramatically recharge the tech world this year.

🇮🇱 Funding to VC-backed startups in Israel plummeted in Q4

Venture funding to Israel-based startups in Q4 2023 hit its lowest point since early 2017, as just more than a half-billion dollars was invested in private companies with tensions and violence rising in the region.

Related Crunchbase Pro list: Funding To Israel-Based, VC-Backed Startups

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