Key Global RegTech investment stats in H1 2025:
- Funding increased by 6% in H1 2025 YoY
- Global RegTech funding projected to increase by 29% in 2025
- Average deal grew to $16.5m in the first half of the year
- Cybereason, a leading global cybersecurity company known for its advanced endpoint detection and response (EDR) solutions and expert consulting services, secured one of the largest RegTech deals in the first half of the year with a $120m funding round
Funding increased by 6% in H1 2025 YoY
In H1 2025, the global RegTech sector showed a modest recovery in both funding and deal activity compared to the same period in 2024.
A total of 254 deals were recorded in the first half of 2025, marking a slight 3% increase from the 247 deals completed in H1 2024.
Funding saw a more noticeable uplift, rising by 6% to $4.2bn from $4bn in H1 2024.
This improvement in early-year performance signals renewed confidence in the RegTech sector, as regulatory demands and compliance complexity continue to drive institutional appetite for technology-led solutions.
Global RegTech funding projected to increase by 29% in 2025
If this pace were maintained over the remainder of the year, 2025 would close with 508 deals and $8.4bn in total funding.
This would represent a 10% increase in deal activity compared to the 444 deals recorded in 2024, and a 29% rise in funding over the $6.5bn raised last year.
Average deal grew to $16.5m in the first half of the year
The average deal size in H1 2025 reached $16.5m—up from $16.0m in H1 2024—highlighting a continued investor willingness to back larger transactions.
The data suggests that capital is not only returning to the sector but is being directed toward RegTech players that offer scalable, enterprise-grade compliance solutions.
This rebound comes after a weaker second half in 2024, when deal volume dropped to 197 and funding declined by 35% to $2.6bn.
The H1 2025 performance therefore represents a clear reversal of that downtrend, reflecting shifting investor sentiment and possibly improved macroeconomic confidence.
While caution remains in the market, particularly around early-stage ventures, the upward trend in both deal numbers and average size signals growing institutional demand for regulatory technology that can address emerging risks in areas such as AI governance, data privacy, and financial crime compliance.
Cybereason, a leading global cybersecurity company known for its advanced endpoint detection and response (EDR) solutions and expert consulting services, secured one of the largest RegTech deals in the first half of the year with a $120m funding round
The investment was led by SoftBank Corp., SoftBank Vision Fund 2, and Liberty Strategic Capital.
The funding underscores strong investor confidence in Cybereason’s capabilities to address increasingly complex cyber threats and solidifies its position as a trusted security partner for enterprises worldwide.
With clients in over 40 countries and a growing strategic partnership with Trustwave, the company is doubling down on its mission to support organisations through every stage of the incident lifecycle.
The capital injection will fuel Cybereason’s global expansion, strengthen its EDR and consulting offerings, and accelerate the adoption of its cutting-edge threat protection platform across highly regulated industries, reinforcing its prominence in the rapidly evolving RegTech space.
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