Key Global RegTech investment stats in Q1 2025:
- Global RegTech funding increased by 18% QoQ
- US asserted its dominance in the market by securing 60% of the top 10 deals
- Texas-based NinjaOne, a leading automated endpoint management platform, secured the biggest global RegTech deal of the quarter with a $500m Series C extension
Global RegTech funding increased by 18% QoQ
In 2024, the global RegTech sector recorded $6.5bn in funding across 444 deals, representing a significant contraction from the $20.9bn raised in 2021 across 1,054 transactions.
This sharp decline in both deal volume and funding underscores a shift in investor sentiment, likely driven by broader economic uncertainties and a more selective investment approach.
The number of deals in 2024 was less than half of those in 2021, while total funding declined by nearly 69%, reflecting a market that has become more concentrated with fewer but larger investments.
Despite this overall downturn, Q1 2025 showed early signs of recovery, with $2.3bn raised across 121 deals—an 18% increase from the $1.9bn raised in Q1 2024, despite a reduction in deal volume.
This suggests that while fewer deals are closing, investors are willing to commit more capital to high-potential RegTech firms.
US asserted its dominance in the market by securing 60% of the top 10 deals
The geographical distribution of top deals also shifted between Q1 2024 and Q1 2025.
The United States remained dominant, securing six of the top 10 deals in both periods.
However, while the United Kingdom, Canada, and India all featured in the Q1 2024 rankings, they were absent from the top 10 in Q1 2025.
Instead, Israel emerged strongly with three top deals, and Australia made its way onto the list with one.
This shift highlights a possible reallocation of investor interest toward emerging RegTech hubs, particularly in Israel, which has been strengthening its position as a key player in cybersecurity and regulatory technology.
The continued dominance of the U.S. reflects its well-established RegTech ecosystem, but the entry of new countries suggests increasing global diversification within the sector.
Texas-based NinjaOne, a leading automated endpoint management platform, secured the biggest global 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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