Yapily is live in the Baltics
In the Baltics, there are more devices connected to the internet than there are people at an average of 140% of the population, which is almost double that of the global average of 79%. We also know that as high as 91% of the population are active internet users.
The most popular FinTech segments in the Baltic states are Payments and Lending, accounting for 40% of FinTech solutions. According to a Global Consumer Banking Study carried out by EY, almost half of consumers are actively reducing their dependency on traditional financial services due to the efficiency of FinTech alternatives.
Education from a very young age could be a huge player in the mass uptake of financial technology. After building a financial payments infrastructure from scratch in the 1990s using the best tech, Estonian banks are now educating active users of cards and online banking as young as six years old. Equally, in a fast-paced marketplace, banks are also ensuring that the elderly aren’t left behind and are kept up-to-date with changing digital solutions, in fact, pensions and benefits have only been paid out digitally since 2009. Education is largely responsible for high levels of trust in digitisation throughout the majority of the population. This high digital literacy and connectivity make the Baltics region a thriving environment for open banking.
The Baltic states of Estonia, Latvia and Lithuania have a total population of 6 million people. In relative terms, this may seem small, but favourable regulatory frameworks and a solid talent pool of highly skilled individuals have resulted in Index Ventures rating the three Baltic nations as the most “start-up friendly in Europe”. The small local market works as an advantage when starting up a business, FinTechs are able to create and test their early-stage innovations, quickly receiving feedback to rapidly make improvements.
The Baltic states have become a hub of FinTech activity, giving rise to a number of standout innovations, among others, mobility apps Bolt and Citybee, Digital Bank Monese and payments provider Wise. Our Pan-European coverage supports Baltic companies who are looking to expand their products into these markets.
Investment in tech lies at the heart of economic growth in the Baltics. Yapily’s European hub is based in Vilnius, Lithuania, as a result of this and growing client demand, it made sense to expand our coverage to the Baltic region.
Key funding announcements:
- Verification startup Veriff raised $100m, becoming the largest unicorn from the region
- Mobility app Bolt raised $628m
- Fintech startup Tuum raised $15m, barely two years after conception
- Specialist VC has launched a €50m fund to invest in over 40 startups in the Baltics
- Secondhand clothing marketplace Vinted becomes Lithuania’s first unicorn after raising a further $250m
- Wise valued at almost £9bn on stock market debut
- Nord Security becomes Lithuania’s second unicorn after raising $100m
Ten years ago the startup ecosystem in the Baltics was almost nonexistent but today the region is home to over 5,000 startups and 12 startup unicorns. The Baltics have quickly become some of the most exciting and fastest-growing ecosystems.
Companies In This Post
- KPMG International appoints David Rowlands as Global Head of AI and launches global KPMG Trusted AI framework Read more
- Citcon Partners with Alipay+ to Enable Cross-Border Mobile Payment for U.S. Retail Merchants Read more
- Trovata Brings Next-Generation Banking for National Australia Bank Read more
- Barclays UK Appoints Inderjit Bassi As Chief Marketing Officer Read more
- PPRO adds popular Swiss payment app TWINT to its payment method portfolio Read more