Global fintech funding reached $55.94 billion in 2025, marking a 25% increase from $44.75 billion in 2024, according to Bloomberg. This growth, the first since 2021, was driven by significant investments in prediction markets. Polymarket raised $2 billion in October, achieving a valuation of $90 billion, and is now seeking further funding at a valuation between $120–150 billion. Kalshi also secured $3 billion in October and $10 billion in December, reaching a $110 billion valuation. Despite the increase, 2025 funding remains below the 2021 peak of $123.99 billion, with the number of deals dropping to 3,712, indicating a concentration of capital among leading firms. Easing U.S. regulatory conditions have facilitated fintech and crypto firms in acquiring bank clients, exemplified by Coinbase's partnerships with Citigroup and PNC Financial Services. The year also saw a wave of fintech and crypto IPOs, including Circle, Gemini, Chime, Klarna, and Wealthfront.