Key Indian RegTech investment stats in 2025:
- Indian RegTech capital invested halved YoY in 2025
- Average deal value dropped to $3.2m as investors prioritised smaller deals
- Protectt.ai, an India-based mobile app cybersecurity and compliance platform focused on safeguarding digital applications for regulated sectors, secured one of the top Indian RegTech deals of the year with an $8.8m Series A funding round
Indian RegTech investments halved YoY in 2025
In 2025, the Indian RegTech market recorded declines in both deal activity and funding compared with the previous year.
A total of 20 deals were completed during the year, representing a 9% decrease from the 22 deals recorded in 2024.
Funding fell more sharply, with RegTech firms raising $63.5m in 2025, a 52% decline from the $131m raised in 2024.
This reversal highlights a more challenging funding environment, with investors pulling back capital after a stronger funding year in 2024.
Looking back historically, deal activity has trended downward over the longer term. Compared with 2021, when 27 deals were completed, deal volume in 2025 was 26% lower.
Funding has also declined over the same period, falling 15% from $74.3m in 2021 to $63.5m in 2025.
While 2024 marked a temporary funding peak, the broader trajectory suggests increasing caution among investors in the Indian RegTech space.
Average deal value dropped to $3.2m as investors prioritised smaller deals
The average deal value in 2025 stood at $3.2m, down from $6m in 2024 but slightly higher than the $2.8m average recorded in 2021.
The sharp drop from 2024 reflects a shift away from larger transactions, indicating that investors are increasingly focusing on smaller, more selective deals as market conditions tighten and risk appetite remains subdued.
Protectt.ai, an India-based mobile app cybersecurity and compliance platform focused on safeguarding digital applications for regulated sectors such as insurance and financial services, secured one of the top Indian RegTech deals of the year with an $8.8m Series A funding round
The round was led by Bessemer Venture Partners.
The capital injection will be deployed to strengthen its AI-driven mobile security stack, build new AI-powered threat detection and fraud prevention capabilities, expand its global footprint across the US, Middle East and APAC, and deepen its cybersecurity talent base.
Protectt.ai enables insurers and other regulated enterprises to protect mobile applications from evolving cyber risks while acting as a compliance hub aligned with regulatory frameworks from bodies such as the RBI, SEBI and NPCI, supporting continuous monitoring, audit readiness and regulatory reporting.
The company claims its technology currently covers more than 300m smartphones, processes over 2bn mobile app sessions each month, and blocks around 200m cyber threats and fraud incidents monthly, with widespread adoption across insurance companies, banks, NBFCs, FinTech firms, stock exchanges and government platforms, underscoring its growing role in securing digital insurance distribution and mobile-first financial ecosystems.
Keep up with all the latest RegTech news here
Copyright © 2026 RegTech Analyst
Copyright © 2018 RegTech Analyst
