Key US RegTech investment stats in Q1 2025:
- US RegTech funding increased by 9% YoY
- New York emerged as the leader of top deals with 50% secured from Q1 2025
- Texas based ninjaOne, a leading automated endpoint management platform, ahead of the rest as they secured the largest US RegTech deal of the quarter with a $500m Series C extension
US RegTech funding increased by 9% YoY
In Q1 2025, the US RegTech sector raised $1.6bn across 54 deals, reflecting a 9% increase in funding compared to the $1.4bn recorded in Q1 2024, despite a 31% decline in deal volume from the 78 transactions in the same period last year.
This divergence between rising capital and falling deal count points to a more concentrated funding environment, where investors are funnelling larger sums into fewer, more established players.
The trend may signal a shift towards prioritising scalability and market maturity over early-stage experimentation within the US RegTech ecosystem.
New York firms emerged as the leader of top deals with 50% secured from Q1 2025
The distribution of top deals also changed notably year-on-year.
In Q1 2025, New York emerged as the clear leader, securing five of the top 10 deals — a sharp increase from just one in Q1 2024.
California maintained a steady presence with two top deals in both periods, reinforcing its consistent role as a RegTech hub.
Texas appeared in both lists as well, albeit with just one top deal each time.
In contrast, Washington, Massachusetts, Ohio, and Florida, all of which featured in the Q1 2024 top 10, were absent in Q1 2025.
Meanwhile, Virginia and Utah entered the rankings for the first time.
This shift indicates a consolidation of RegTech deal activity in traditional financial centres like New York, while also suggesting emerging interest in less conventional markets.
Texas based ninjaOne, a leading automated endpoint management platform, ahead of the rest as they secured the largest US RegTech deal of the quarter with a $500m Series C extension
The funding round extension comes at a $5 bn valuation, led by ICONIQ Growth and CapitalG.
The funding will accelerate the company’s advancements in autonomous endpoint management, patching, and vulnerability remediation—key areas in regulatory compliance and cybersecurity risk management.
With more than 24,000 customers across 120+ countries, NinjaOne plays a critical role in helping businesses streamline endpoint security, ensuring compliance with evolving regulatory standards.
The investment will also support the company’s acquisition of SaaS backup and data protection leader Dropsuite, further strengthening its data compliance capabilities.
As regulatory scrutiny intensifies and cyber threats grow more sophisticated, NinjaOne’s AI-driven automation enhances security operations by reducing risk, improving visibility, and ensuring compliance at scale, making it a vital partner for enterprises navigating complex regulatory environments.
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