??? The fintech boom Silicon Valley wishes it had

What a week! Just wrapped up four incredible days at Singapore Fintech Festival, where I moderated panels on payment security and got to record a couple of episodes for The Founders Peak podcast right from our booth.

Had some really interesting conversations across the board - AI in financial services, tokenisation, quantum computing...

Pretty significant timing too - looking at the numbers, while global fintech funding's been down across most markets, ASEAN's holding steady at $1.41 billion. It really shows how much momentum is being built in this region.

Let’s see what this resilience means for Southeast Asia in today’s edition of the Crunch.

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???? The fintech boom Silicon Valley wishes it had

Global fintech funding is having a rough year, but the numbers out of Southeast Asia tell a different story.

While fintech funding in North America and Europe has nosedived by over 35% this year, Southeast Asia's fintech scene is barely breaking a sweat - dropping just 1% to $1.41 billion.

To put that in context, global fintech funding has fallen 28% to $39.6 billion, with North America down from $25.3B to $16.4B and Europe sliding from $17.4B to $11.5B.

The numbers tell a compelling story. ASEAN's fintech funding has multiplied tenfold since 2015, outpacing global funding growth rates.

Deal sizes keep climbing too, with the average investment up 8% year-on-year from $13.8 million to $14.2 million in 2024.

Let's take a closer look at where the region's funding is going.

ASEAN's Fintech Leaderboard

Singapore remains ASEAN's fintech powerhouse, securing $745 million through 62 deals in 2024. They've been the region's fintech capital for 10 straight years now, with deals spanning across nine different fintech categories.

Thailand has taken second place with $341 million, largely due to Ascend Money's $195 million deal . This represents 24% of ASEAN's total fintech funding and marks a significant shift in the regional hierarchy.

Indonesia, traditionally in second place, now sits at third with $246 million. The absence of mega-deals this year affected their position, while the Philippines moved to fourth place with $75 million after Uno Bank's $32 million investment.

Innovation That Matters?

Early-stage funding leads the way in Southeast Asia. New startups secured 60% of total funding in 2024, focusing on core financial challenges:

• Alternative lending platforms for underserved SMEs
• AI-powered fraud detection for the digital age
• New payment solutions for the region's massive e-commerce growth
• Blockchain solutions for cross-border transfers

These investments show where founders see the biggest opportunities and the patterns reveal deeper changes taking shape across ASEAN.

Three key trends are shaping the future

ASEAN didn't get here by accident. Looking at the funding patterns and talking to founders at SFF, three key trends stand out:

1. Green Finance: Singapore's pushing $35 billion into green bonds by 2030. Banks and startups are rolling out carbon tracking tools and sustainable financing for SMEs.
2. Smart Banking: Banks across the region are stepping up their game. They're launching digital services, teaming up with fintechs, and building shared systems like Singapore's Project Ubin.
3. Financial Inclusion: ASEAN has 290 million unbanked people – a massive opportunity. Growth will come from building trust, working with regulators, and scaling efficiently.

This mix of innovation, sustainability, and inclusion paints a clear picture of where ASEAN's heading next.

?? Is Southeast Asia the new Silicon Valley for fintech?

?? Wise reports a 25% increase in active customers and significant infrastructure growth, positioning itself as a leader in cross-border payments with faster, lower-cost transfers.

?? Mastercard partners with Buna to streamline cross-border payments in the MENA region to improve speed and cost-efficiency.

?? Orascom Financial Holding has approved Klivvr Holding’s offer to buy a 98.99% stake in Klivvr or Electronics Development and E-Payments, pending approval from the Central Bank of Egypt.

?? Nium partners with Partior to enable 24/7 real-time global payments and settlements via blockchain, with no extra API integration needed.

?? Blade Labs launched the world’s first embedded Islamic finance platform to enable easy integration of Shariah-compliant services with blockchain.

?? Lili introduces Lili Connect to simplify financial management for small businesses through embedded banking, accounting, and tax tools.

?? TapSwap launched a Web3 gaming platform that allows players to monetize their skills with fair and transparent rewards and aims for 5 million monthly users and $500 million in revenue by 2025.

?? UAE and Saudi Arabia led the MENA region’ s $338.7 billion in crypto transactions, with 93% of the value from institutional trades over $10,000.

?? The UAE's stablecoin market grew 55% in the first half of 2024 , reaching $9.8 billion, driven by new regulations and accounting for 51% of crypto activity.

?? Jambo partners with Lif3 to offer crypto payments on Jambo smartphones in emerging markets.

?? Bitcoin reaches $80,000 for the first time, marking a historic milestone for the cryptocurrency.

?? Neem secured a $4 million credit to expand its earned wage access solution, Neem Paymenow, across Pakistan.

?? Groov secured ￡1.5 million to develop its embedded lending platform.

?? UOB FinLab awarded over S$100,000 to fund 15 GreenTech pilot projects across ASEAN, to support sustainability solutions in sectors like energy efficiency and waste management.

?? Funding Societies secured $100 million from HSBC to expand its digital finance platform and support underserved micro, small, and medium enterprises across Southeast Asia.

Digital Banks Dive into Non-Financial Services with eSIMs

Fintechs are dialling up a new frontier. Neobanks like Nubank, bunq, and Revolut are stepping beyond finance to offer eSIM services, creating a one-stop digital ecosystem that redefines global mobility. This shift allows fintechs to monetize new revenue streams, enhance customer loyalty, and leverage insights for data-driven cross-selling opportunities - offering consumers unprecedented convenience, cost savings, and security. As fintechs blend financial and telecom services, they are laying the groundwork for a future where mobile banking and mobile connectivity are seamlessly intertwined.

Want to see how fintechs are becoming digital hubs beyond banking? Explore the full story and discover the future of fintech-powered connectivity!

Our guest for this week’s special episode is Maher Loubieh , Co-Founder & CEO of HALA . During this episode, Maher shares Hala’s incredible journey from its beginnings as a peer-to-peer payment platform to then pivoting their business model to focus on the MSME sector in Saudi Arabia. We discuss Hala's strategic pivots, the trials and tribulations of evolving one's business model, the challenges of serving small businesses, and their vision for building a robust financial ecosystem tailored to MSMEs' unique needs. Watch the full episode here.

Now, a quick break for your wellness. Chief Wellness Officer at FAB Diego Carrete is on a mission to help executives get fit, increase their energy, and live longer.

In 4 years, my testosterone levels increased by 76.3% (Reports below).

I Increased My Testosterone Levels by 21.93 Times

Low testosterone affects 1 in 4 men over 30 and is associated with several health problems like obesity, diabetes, and heart disease.

The good news? The ETB Method can help solve this.

Here’s how it works:

• Step 1: Eat cruciferous vegetables like broccoli and cauliflower, which contain compounds that reduce estrogen production. Increase your intake of olive oil. A 2013 study found that men who replaced butter with olive oil for three weeks saw a 17.4% boost in testosterone. What you eat truly matters.
• Step 2: Avoid weightlifting to failure. Training between 70-90% of your maximum effort is the sweet spot for increasing testosterone over the following 24 hours. Bonus: Focus on training your lower body twice as much as your upper body. It helps by boosting muscle mass, triggering hormone release, and improving insulin sensitivity.
• Step 3: Avoid breathing through your mouth; this can raise carbon dioxide levels, reducing testosterone and increasing estrogen. I started using a mouth retainer at night. Also, practice nose breathing during workouts.

Why This Matters:

Testosterone levels have been falling by 1% each year since the 1980s. The more we chase comfort, the faster we age.

While it may not be your fault, it is your responsibility to address it.

Here are 6 more unconventional strategies I’ve used to boost testosterone:

1. Swapped butter for olive oil.
2. Slept in a cooler room (65oF).
3. Trained my lower body twice a week.
4. Got sun exposure 2-3 times a week.
5. Took 400 mg of magnesium before bed.
6. Stopped using products with BPA/phthalates.

That’s it for today. Found this helpful? Share this with someone who needs it.

See you next week, where we'll talk about the best exercise to sharpen your brain (according to science).

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