The United States of America is the world leader in this area thanks to its 105 FinTech Companies. In terms of the number of FinTech Companies, the US has managed to lead the rankings, unchallenged by its bitter competitor China. This is a significant accomplishment for the financial technology industry. The substantial funding the sector has received in the region is what is driving the continuous expansion in the number of fintech unicorns in North America. In contrast to a decline in sales in Asia and Europe, the number of venture capital deals in 2021 continues to soar in Q2 2021.
Nearly nine out of ten Americans now use some type of fintech app to manage their financial lives; according to Fortune, the region is seeing an increased appetite for digital financial services. When we look at the sector on a microscale, we see that the main fintech unicorns populating the US ecosystem come primarily from sub-sectors like Wealthtech, Payments, and Challenger Banks.
Table of Contents
Here is the complete list of FintTech Companies Unicorns in the United States in 2022:
| Name | Market Cap ($) | Type of company | Status |
| Visa | 416,754,800,000 | Paytech | Listed |
| Mastercard | 318,515,600,000 | Paytech | Listed |
| Paypal | 220,640,100,000 | Paytech | Listed |
| Square | 97,827,340,000 | Paytech | Listed |
| Coinbase | 65,247,890,000 | Cryptocurrency | Listed |
| Affirm | 38,492,140,000 | BNPL | Listed |
| Robinhood | 24,002,990,000 | Wealthtech | Listed |
| Bill.com | 30,766,110,000 | Paytech | Listed |
| Chime | 25,000,000,000 | Challenger Bank | Private |
| Upstart | 17,162,700,000 | BNPL | Listed |
| Ally Financial | 16,760,960,000 | Challenger Bank | Private |
| Plaid | 13,500,000,000 | Open Banking | Private |
| Sofi | 14,693,950,000 | Challenger Bank | Listed |
| Ripple | 10,000,000,000 | Paytech | Private |
| Toast | 8,000,000,000 | Paytech | Private |
| Brex | 12,300,000,000 | Challenger Bank | Private |
| Carta | 6,900,000,000 | Wealthtech | Private |
| Avant | 6,500,000,000 | Diversified | Private |
| True Accord | 6,000,000,000 | Infrastructure | Private |
| Flywire | 4,347,421,000 | Paytech | Listed |
| Hippo Insurance | 5,000,000,000 | Insurtech | Private |
| Marqeta | 4,300,000,000 | Paytech | Private |
| Chainalysis | 4,200,000,000 | Blockchain | Private |
| Dataminr | 4,100,000,000 | Infrastructure | Private |
| Better.com | 4,000,000,000 | Wealthtech | Private |
| Kraken | 4,000,000,000 | Cryptocurrency | Private |
| Next Insurance | 4,000,000,000 | Insurtech | Private |
| iCapital Network | 4,000,000,000 | Wealthtech | Private |
| Lemonade | 3,253,930,000 | Insurtech | Listed |
| Gusto | 3,800,000,000 | Infrastructure | Private |
| FalconX | 3,750,000,000 | Cryptocurrency | Private |
| Blend | 3,300,000,000 | Challenger Bank | Private |
| Figure Technologies | 3,200,000,000 | Wealthtech | Private |
| Cedar | 3,200,000,000 | Insurtech | Private |
| HighRadius | 3,100,000,000 | Infrastructure | Private |
| Oscar | 2,057,445,000 | Insurtech | Listed |
| Circle | 3,000,000,000 | Paytech | Private |
| Blockfi | 3,000,000,000 | Cryptocurrency | Private |
| Upgrade | 3,000,000,000 | Challenger Bank | Private |
| Drivewealth | 2,850,000,000 | Wealthtech | Private |
| Tradeshift | 2,700,000,000 | Infrastructure | Private |
| Divvy | 2,500,000,000 | Infrastructure | Private |
| Paxos | 2,400,000,000 | Blockchain | Private |
| Greenlight | 2,300,000,000 | Wealthtech | Private |
| Acorns | 2,200,000,000 | Wealthtech | Private |
| Current | 2,200,000,000 | Challenger Bank | Private |
| Fireblocks | 2,200,000,000 | Cryptocurrency | Private |
| Addepar | 2,170,000,000 | Wealthtech | Private |
| Green Sky | 2,126,672,000 | BNPL | Listed |
| ReCharge | 2,100,000,000 | Paytech | Private |
| AvidXchange | 2,000,000,000 | Paytech | Private |
| Clearbanc | 2,000,000,000 | Wealthtech | Private |
| Pipe | 2,000,000,000 | Challenger Bank | Private |
| Unqork | 2,000,000,000 | Infrastructure | Private |
| Tipalti | 2,000,000,000 | Open Banking | Private |
| Ethos Technologies | 2,000,000,000 | Insurtech | Private |
| MX Technologies | 1,900,000,000 | Open Banking | Private |
| LX | 1,900,000,000 | Challenger Bank | Private |
| SpotOn | 1,880,000,000 | Paytech | Private |
| CFGI | 1,850,000,000 | Accounting | Private |
| Ramp | 1,600,000,000 | Cryptocurrency | Private |
| Extend | 1,600,000,000 | Paytech | Private |
| Mercury | 1,600,000,000 | Challenger Bank | Private |
| Enfusion | 1,500,000,000 | Wealthtech | Private |
| Collective Health | 1,500,000,000 | Insurtech | Private |
| Persona | 1,500,000,000 | Regtech | Private |
| Symphony | 1,400,000,000 | Wealthtech | Private |
| M1 Finance | 1,400,000,000 | Wealthtech | Private |
| Stash | 1,400,000,000 | Wealthtech | Private |
| Alloy | 1,350,000,000 | Open Banking | Private |
| Built | 1,500,000,000 | Open Banking | Private |
| Signifyd | 1,340,000,000 | Infrastructure | Private |
| TaxBit | 1,330,000,000 | Cryptocurrency | Private |
| Enova | 1,329,589,225 | Challenger Bank | Listed |
| Feedzai | 1,300,000,000 | Infrastructure | Private |
| Ascend Money | 1,300,000,000 | Open Banking | Private |
| Socure | 1,300,000,000 | Challenger Bank | Private |
| Root Insurance | 1,030,200,000 | Insurtech | Listed |
| BlockDaemon | 1,255,000,000 | Blockchain | Private |
| Deel | 1,250,000,000 | Infrastructure | Private |
| Kabbage | 1,200,000,000 | Paytech | Private |
| Public | 1,200,000,000 | Wealthtech | Private |
| DailyPay | 1,200,000,000 | BNPL | Private |
| Guideline | 1,150,000,000 | Wealthtech | Private |
| Sunbit | 1,100,000,000 | BNPL | Private |
| Dave | 1,000,000,000 | Challenger Bank | Private |
| Varo Money | 1,000,000,000 | Challenger Bank | Private |
| WeBull | 1,000,000,000 | Wealthtech | Private |
| Vise | 1,000,000,000 | Wealthtech | Private |
| Trumid | 1,000,000,000 | Wealthtech | Private |
| Tresata | 1,000,000,000 | Infrastructure | Private |
| Sidecar Health | 1,000,000,000 | Insurtech | Private |
| Pacaso | 1,000,000,000 | Wealthtech | Private |
| Ivalua | 1,000,000,000 | Infrastructure | Private |
| Ibotta | 1,000,000,000 | Paytech | Private |
| Forte Labs | 1,000,000,000 | Blockchain | Private |
| Clearcover | 1,000,000,000 | Insurtech | Private |
| Chipper Cash | 1,000,000,000 | Paytech | Private |
| Amount | 1,000,000,000 | Challenger Bank | Private |
| Qualia | 1,000,000,000 | Wealthtech | Private |
| Injective Protocol | 1,000,000,000 | DEX | Private |
| MobileCoin | 1,000,000,000 | Cryptocurrency | Private |
| Orchard | 1,000,000,000 | Insurtech | Private |
| SumUp | 1,000,000,000 | Paytech | Private |
| Sightline Payments | 1,000,000,000 | Paytech | Private |
What kind of investments in fintech have there been in the US?
In H1’21, large, huge amounts of checks started to be cashed in the American Fintech environment. Investment deal values have already increased by 117% in the first six months of 2021 compared to H1’20. The $3.4 billion raised by Robinhood, $600 million raised by Stripe, and $500 million raised by Better, ServiceTitan, and DailyPay were the largest contributors to the increase in investment.
This does not imply that 2020 itself was devoid of significant investment. KPMG’s 2021 Report states that in 2020, investments totaling $78.9 Bn poured in. Looking back, the industry has gone a long way from 2009, when investments in financial technology amounted to about $1.1 billion when it was just starting to gain traction. In just 11 years, that has increased by almost 80 times.
The realization that Big Finance is ready for a tech makeover is the main factor behind the current investor frenzy in the USA. This realization draws venture capital into thriving industries like payments, wealth tech, and cryptocurrency.
How many unicorns in the fintech space exist in the US?
It’s clear that fintech is a big business in the USA. Compared to other nations, the sector has matured significantly more quickly. According to Statista’s data from November 2021, there were 10,755 fintech businesses in the United States, making it the region with the most startups worldwide.
Only about 1% of the 10,755 finTech companies are unicorns, or companies worth $1 billion or more. Though it might appear insignificant, the 105 unicorns in the United States account for approximately 45% of all fintech unicorns worldwide. With 13 fintech unicorns, China lags behind the US and is only home to a tenth of what the US takes pride in.
Therefore, regulation plays a significant role in encouraging startups’ rapid growth and innovation. Regulatory sandboxes and pilot programs have been the focal point of the expansion of the financial services industry, with the federal and state regulatory agencies in the US being “pro-fintech innovation.”
Swarms of consumers are hopping aboard the FinTech companies bandwagon in the US market as well, propelling the nation toward a stage of mass adoption. According to Fortune, the percentage of American consumers utilizing finTech companies increased to 88% in 2021 from only 58% in Plaid’s poll from the previous year. It’s obvious that the US Fintech industry will prosper in the face of this rising demand.
Which FinTech Companies in the US have the most Unicorns?
With 38% of unicorns located in this sector, Wealthtech and Payments, also known as Paytech, is by far the most well-liked industry in the Fintech billion-dollar club. The Challenger Bank sector, which is also a promising US industry, is ranked second on the list.
The retail investing boom that persisted in the wake of the epidemic was a major contributor to the Wealthtech sector’s unheard-of growth. The level of demand increased according to investments made by VC. According to CBInsights, the sector received investments totaling $4.7B in Q1’21, a 562% increase from Q4’20.
The pandemic has also whetted the growing thirst for digital payments. Consider the 186% increase in PayPal’s share price over the past 12 months or the more than quintupling of Square’s shares to get a clear picture of this based on some solid, factual data. The e-commerce growth and the general shift away from using cash as the primary payment form are just two factors that have ignited the sector.
One may argue that even while the pandemic served as a catalyst for the expansion of these two industries, the shift in consumer behavior and the rising demand for these modern financial services goods will persist for years to come. But how the sector will develop can only be predicted with time. And we’ll be attentively monitoring.
Conclusion
If banking sector advances take a backseat, finTech companies might prove disruptive. To keep customers happy, bankers must constantly look for new benefits and enhancements. Fintech offers numerous opportunities, but meeting client expectations will be difficult. However, both parties benefit, and incumbents have the added advantage of watching the fintech businesses operate and later step in as needed because they have a solid reputation and are established leaders in the financial system.
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