6 Young, Fast-Growing Fintech Startups from Mainland China to Watch

The fintech sector in Mainland China has experienced a remarkable surge in innovation and growth, with several companies leading the way in transforming the financial landscape. Among these companies are the well-known Ant Group, WeBank, and Lufax, which have captured attention and investor interest with their cutting-edge technologies and disruptive business models.

However, alongside these industry giants, there are also smaller players that are making waves in this burgeoning landscape. Today we will explore six of the fastest-growing and hottest fintech startups in Mainland China, which have recently secured financing from prominent investors to fuel their growth.

Micro Connect: Connecting Global Capital with China's Small Businesses

One of the standout fintech startups in Mainland China is Micro Connect, which was founded in 2021 and is headquartered in Shenzhen and Hong Kong. Micro Connect operates as a platform that connects global capital with China's micro and small businesses. The platform allows investors to tap into the potential of China's small businesses sector and diversify their portfolios by backing these enterprises. By making capital more accessible and affordable to business owners, Micro Connect aims to drive economic growth and foster entrepreneurship.

Since its establishment, Micro Connect has achieved significant milestones, including investing in over 100 micro and small businesses in various industries across multiple provinces in China. This demonstrates the platform's ability to identify and support promising enterprises, contributing to the overall development of the country's economy. In March 2022, the startup successfully raised US$70 million in its Series B funding round, bringing its total funds raised to US$120 million. This infusion of capital will be instrumental in expanding Micro Connect's partnership network, enhancing its platform technology, and developing market infrastructure.

Dowsure Technologies: Streamlining Lending Experiences for Cross-Platform Sellers

Dowsure Technologies, a cross-border fintech startup based in Shenzhen, has gained recognition for its streamlined lending experiences for sellers operating on various cross-platform marketplaces such as Amazon, eBay, Shopee, and Lazada. Since its introduction in 2016, Dowsure Technologies has become Amazon's lending service provider and has developed a proprietary assessment model for evaluating marketplace store owners. Leveraging store data and partnerships with Chinese banks, Dowsure enables pure credit loans for sellers, without the need for collateral.

Within just eight months of operations, Dowsure Technologies facilitated over RMB 35 billion (US$4.9 billion) in gross merchandise volume (GMV) for Chinese sellers on Amazon. This impressive achievement highlights the effectiveness of the company's lending solutions in supporting the growth of cross-border e-commerce. In 2022, Dowsure Technologies secured a Series B financing round of US$20 million, further bolstering its ability to serve a growing customer base and expand its market reach.

Beta Data: Empowering Financial Institutions with AI-Powered Wealth Management Solutions

Beta Data, founded in 2012 and headquartered in Shanghai, offers a software-as-a-service (SaaS) platform that utilizes artificial intelligence (AI) algorithms to assist financial institutions and planners in understanding customer investment preferences, interpreting markets, analyzing financial products, and identifying suitable investment tools and products. The company's main focus is the digital transformation of wealth management, empowering clients across four main areas: attracting and interacting with customers, facilitating transactions, providing follow-up services, and ensuring compliance with regulations.

In February 2022, Beta Data secured a Series B+ funding round, which it plans to utilize to increase product research and development (R&D), expand service networks, and build an overall digital solution for financial institutions focused on marketing, investment consulting, and management. By leveraging AI technology, Beta Data enables financial institutions to offer personalized and data-driven wealth management solutions, enhancing customer experiences and driving business growth.

Baigebao: Delivering Customized Insurance and Tech Solutions

Baigebao, founded in 2015 and based in Xiamen, specializes in providing Internet insurance technology and product solutions. The company's offerings include Baige Insurance, Baige SaaS System, Baige Alliance, Baige Public Welfare, and other application products. Baigebao differentiates itself by focusing on customized insurance and tech application solutions, catering to the unique needs of its customers.

Through strategic partnerships, Baigebao has provided insurance protection to over 260 million Internet users in China, covering all aspects of people's lives. This has solidified the company's position as a trusted provider of comprehensive insurance solutions. In August 2022, Baigebao secured a Series A+ financing round of US$2.3 million, reaffirming its growth potential and recognition as one of China's top 50 emerging fintech companies, as named by KPMG.

Mindigital: Driving Digital Banking Solutions for Belt and Road Countries

Headquartered in Singapore and Foshan, Mindigital is a fintech company specializing in digital banking solutions for Belt and Road countries and emerging markets. Mindigital's focus lies in providing one-stop banking-as-a-service (BaaS) solutions, enabling banks and financial institutions to undergo cost-effective digital transformations. Leveraging standardized open banking architecture, big data, and AI technology, Mindigital upgrades digital infrastructure, improves profitability, manages risk, and reduces operational costs for its partners.

With a global presence, Mindigital serves clients across continents, including countries such as the US, Spain, Brazil, China, India, Indonesia, Pakistan, the Philippines, and Vietnam. The company's expertise in digital banking solutions positions it as a valuable partner for institutions seeking to embrace digitalization and enhance their competitive advantage. In February 2022, Mindigital secured a Series A funding round of US$10 million, which it plans to utilize to enhance its products and systems and expand its sales network.

BlockSec: Enhancing Security Infrastructure for the Blockchain Industry

BlockSec, founded in 2021 and based in Hangzhou, focuses on providing security infrastructure for the blockchain industry. The company leverages cutting-edge technologies to enhance the security of decentralized applications, detect high-impact blockchain vulnerabilities, and block sophisticated security attacks. By addressing critical security concerns, BlockSec aims to foster trust in the blockchain ecosystem and enable its widespread adoption.

BlockSec has already made significant contributions to the industry, having provided security audit services to more than one hundred clients. The company's expertise has played a crucial role in safeguarding assets worth millions of dollars from security breaches. In July 2022, BlockSec closed a US$8 million Seed round, which it plans to utilize to expand its research and production team and further strengthen its on-chain monitoring and attack interception capabilities.

These six fintech startups from Mainland China demonstrate the country's vibrant and rapidly evolving fintech landscape. With their innovative solutions and strong growth trajectory, these startups have attracted the attention of investors and industry experts alike. As they continue to expand their operations and push the boundaries of financial technology, they are poised to make a significant impact on the industry, both domestically and globally.