Fintech decline impacts blockchain: The Australian fintech industry faces a significant decline, with over 7% of companies shutting down. Blockchain and crypto firms represent 14% of the closures among 60 firms this year, reflecting the challenges in this technological niche.
Active companies reduced drastically: From 2022 to 2024, the number of active Australian fintechs decreased from 800 to 767. The decline mirrors global investors’ growing interest in artificial intelligence, diverting funds from blockchain technologies. Only 74 blockchain-focused companies remain operational after a 14% year-on-year drop.
Ai’s rise shifts investment focus: Artificial intelligence’s rise has shifted investment focus away from blockchain, contributing to the fintech downturn. However, Australia’s recent pro-crypto initiatives, including ASIC’s proposed licensing regime and AUSTRAC’s competency focus, may support recovery in 2025.
Leave a Reply