2024 has been a year of growth and consolidation for the fintech industry in Italy, and the Fintech District ecosystem has strengthened its role as a fintech and techfin reference point, establishing itself as the most relevant industry ecosystem in our country. If we were to summarize the evolution of the Fintech District ecosystem in 2024 with three key words, they would be: sustainability, investments, and partnerships.
According to the research of Fintech & Insurtech Observatory¹ at Politecnico di Milano, as of the end of 2024, there are 596 Fintech & Insurtech companies in Italy. The Fintech District community has reached 305 fintech and techfin companies, representing about 60% of the industry in Italy. These include 14 global unicorns, demonstrating the centrality of Fintech District simultaneously for younger startups, emerging companies and scaleups. 30% of the Community is made up by international companies, mostly from France, Great Britain, Germany, Switzerland, and the United States. Many international companies – such as Wamo, Blank and Finom – entered the Italian market, mostly focusing on services dedicated to SMEs and bringing innovative solutions. The sector breakdown within the Fintech District community is heterogeneous. TechFin stands as the largest category, comprising almost 80 companies, followed by Payments. Lending, WealthTech, and Crypto & DeFi are also key areas, each with around 27 companies. Beyond these, the community includes companies operating in Insurtech, Crowdfunding, RegTech (which doubled its presence), and Real Estate, with sectors like Invoice & Tax Management, PFM, and Neo Banks also represented.
The adoption of emerging technologies, such as generative artificial intelligence, blockchain and machine learning, is a strategic driver for industry players. However, implementation requires a responsible approach in terms of governance, ethics and regulatory compliance. In line with this responsible approach, sustainability remains a crucial issue for the industry, especially under regulatory pressure that promotes commitment to environmental and social goals. Indeed, projects and collaborations geared toward sustainability and “fintech for good” – with solutions to address social challenges – have increased. Traditional operators are recognizing sustainability as a long-term strategic goal, allocating significant resources to address risks related to climate change and sustainable practices.
The Fintech District community has also seen an increase in the presence of female-led companies, with 22 companies led by women. This refers to companies with a female founder who is currently active in the company in a managerial role. In 15 of these companies, women are working as CEOs. Although this number represents a small percentage of the Fintech District community, it shows a significant increase compared to just a few years ago, with notable achievements and investments raised. Much can and must still be done to incentivize female entrepreneurship in fintech and to enhance the role of women in the Italian fintech market, yet the numbers are promising.
In 2024, the fintech sector witnessed a dynamic landscape of collaborations, both between fintech companies and between traditional financial institutions and fintech companies. These partnerships were instrumental in enabling banks to leverage fintech innovations, improve operational efficiency, and offer enhanced services to customers. Fintech companies benefited from banks' extensive customer bases and regulatory expertise.
During 2024, Fintech District carried out over 60 projects and 44 matchmaking meetings. 50% of these had follow-up meetings. 60% of Fintech District clients decided to renew their partnership, to continue being part of the most relevant Italian Fintech and Techfin ecosystem. Fintech District also partners with International Hubs and Players - to create an international bridge and help the Community grow abroad: this year Fintech District has reached 25 Ecosystem Partners from all over the world.
Several players, part of the wider Fintech District ecosystem, have established disruptive partnerships to provide innovative solutions throughout 2024. Fintech District has acted as an innovation enabler, stimulating collaboration activities to combine innovative fintech models with the corporates’ structures. Here are some examples of the partnerships born through Fintech District.
The partnership between Visa and PausePay is an innovative initiative, born thanks to Fintech District, aiming to revolutionize B2B payments through the integration of "Buy Now, Pay Later" (BNPL) solutions. Announced in October 2024, this collaboration introduces a business credit card supported by Visa's global network, enabling companies to access deferred payments in a simple and secure way. PausePay is an Italian fintech startup, founded in 2022, focusing on flexible financing solutions for businesses. The agreement leverages Visa’s expertise in digital payments, enhancing PausePay’s financial management capabilities. This partnership highlights the growing demand for innovative payment solutions in the European B2B market. PausePay, which has managed significant financing volumes through connected platforms, will utilize the collaboration with Visa to further expand its impact in the market.
Fastweb and Wallife have launched a strategic partnership, through Fintech District, which acted as local ecosystem partner in the VIPE (Visa Innovation Program Europe) for 2024. Wallife, an Italian insurtech startup, becomes the Insurance Partner of STEP FuturAbility – a space dedicated to understanding and popularizing digital transformation and future challenges, designed and implemented by Fastweb – with the goal of raising awareness about risks associated with new technologies, including digital identity theft and advancements in genetics. As part of this collaboration, Wallife contributes with educational and innovative contents integrated into STEP’s exhibition pathway and will organize events, including the final session of the "Wallife Young Advisory Board", a program for young students focused on validating innovative ideas. This project aligns with STEP’s mission to support the understanding of digital technology and educate users on the responsible use of emerging technologies.
Younited cares deeply about the well-being of its employees, and financial well-being is a key part of that goal. FunniFin's innovative gamified platform aligned perfectly with Younited's vision, helping to improve the team's satisfaction, engagement, and overall financial health. Younited chose FunniFin for its gamified approach to financial wellness, appreciating their innovation. The partnership was born when the two companies met at the Milan Fintech Summit and a collaboration opportunity arose, offering Younited as a trial user in exchange for access to Funnifin platform. The collaboration was mutually beneficial. Younited team actively tested the platform and provided valuable feedback, while FunniFin gained insights to improve its service. In return, Younited gained access to the platform, which also led to additional workshops and potential partnerships, strengthening our relationship.
Despite a significant decline in global fintech investments in 2024, some sectors saw an increase in funding. Regtech, for instance, reached $5.3 billion in the first half of 2024, surpassing the total for 2023. However, analysts predict that the fintech sector could recover in 2025, driven by interest rate cuts and the expansion of areas such as digital payments, artificial intelligence, regulatory technologies, and digital assets.
Despite the overall slowdown, in 2024 Fintech District community companies continue to show strong signs of growth and have successfully closed significant investment rounds. Here are some of the companies belonging to the community who raised funds throughout the year:
In 2024, the fintech sector saw significant activity in mergers and acquisitions (M&A), showing a trend toward consolidation and innovation. Despite a challenging macroeconomic environment, the fintech sector saw an increase in M&A deals, with a 9% increase in deal value in the EMEA region, suggesting a preference for higher value deals².
TeamSystem recently acquired 61% stake in Change Capital, an Italian fintech specializing in credit mediation and soft finance. The deal is part of TeamSystem's strategy to strengthen its presence in the fintech sector, one of its strategic development areas along with AI, cloud and security. Change Capital, founded in 2019, has developed an AI-powered digital platform, called CC-Suite, that facilitates SMEs and professionals in finding and accessing funding sources and facilities. The acquisition allows TeamSystem to integrate advanced fintech solutions into its ecosystem to meet the growing demand for digital tools and alternative sources of credit from Italian SMEs.
Generalfinance has completed its first major acquisition by taking over 96% of Workinvoice, an Italian fintech specializing in invoice trading. Workinvoice, founded in 2013, operates a platform that allows companies to sell trade receivables to institutional investors. The deal is a strategic step for Generalfinance toward digitizing and enhancing its offering, particularly for financing working capital for SMEs.
Mavriq, the broking division of Moltiply Group S.p.A. (formerly Gruppo MutuiOnline), acquired an 80% stake in Switcho S.r.l., an Italian digital platform specializing in utility provider switching. This strategic acquisition allows Mavriq to integrate Switcho's innovative services into its comprehensive price comparison offerings, particularly enhancing its capabilities in the utilities sector. The founders of Switcho retained a 20% stake and continue to manage the company, supporting its new phase of growth within the Moltiply Group.
TXT e-solutions, a global digital enabler listed on Borsa Italiana's STAR segment, announced a strategic investment in PayDo S.p.A., an Italian B2B fintech companies specializing in digital payment solutions. This partnership allows TXT to expand its presence in the fintech sector, leveraging PayDo's innovative payment solutions to enhance its service offerings. As a technology partner, TXT will support the growth and evolution of PayDo's fintech offerings, aiming to become a key player in the innovative payment ecosystem.
Fintech is becoming more and more cross-cutting and it is increasingly affecting non-financial sectors and players. While 2024 was a year of consolidation and challenges for the fintech industry, it paved the way for a new year of upturn and innovation. Fintech District will continue to operate as an ecosystem aggregator to stimulate collaboration and Open Innovation projects, fostering the growth of the Italian fintech ecosystem internationally.
L’ecosistema italiano di startup e scaleup Fintech & Insurtech, Osservatorio Fintech & Insurtech, Politecnico di Milano
IBS intelligence
