Hong Kong, October 31, 2023 - The latest report on FinTech in Hong Kong, published in collaboration with the FinTech Association of Hong Kong (FTAHK), reveals the ongoing growth and potential of the city's FinTech ecosystem. The report highlights the presence of approximately 500 companies operating in various segments, showcasing the strength and diversity of Hong Kong's FinTech industry.

According to the report, the top two verticals in terms of the number of FinTech companies are 'Blockchain & Digital Assets' and 'Payment & Remittance.' This growth is fueled by a resurging Digital Asset community, driven by the increasing adoption of Virtual Assets, license issuances to Virtual Asset Service providers, and a strong industry-wide interest in asset tokenization and DeFi applications.

The report further indicates that 'Crypto' has surpassed 'Data Analytics & AI' to become the third most prominent vertical in Hong Kong's FinTech landscape. This development highlights the evolving trends and growing significance of cryptocurrencies in the industry.

While overall funding has experienced a decline from its peak in 2021, investments made in the past year and the current year still surpass those of previous years. This reflects the resilience and potential of the FinTech sector in Hong Kong. Investors are now more focused and selective, seeking mature and proven business models capable of generating sustainable revenue and driving growth.

The Hong Kong government is playing a significant role in supporting the development of FinTech in the region and the Greater Bay Area. By providing legal frameworks, funding support schemes, talent programs, and more, the government aims to create an enabling environment for FinTech innovation and establish Hong Kong as a leading hub in the industry.

Hong Kong, with its strategic location and access to a market of 1.4 billion consumers on the Mainland, offers ample opportunities for international FinTech companies. Additionally, the city serves as a gateway to other fast-growing Asian countries, making it an attractive destination for expansion.

The report concludes that Hong Kong's FinTech sector is poised for further growth, driven by advancements in blockchain technology, digital assets, and payment solutions. With strong government support and a favorable business environment, Hong Kong remains a prime destination for FinTech companies looking to tap into the Asian market.

For more detailed insights and information, please refer to the full report on FinTech in Hong Kong, available through the FinTech Association of Hong Kong (FTAHK).