AI-driven fintechs have been top recipients of venture capital funding in 2025, attracting $7.2 billion out of $44.7 billion of total global fintech funding during the first half of the year.
Payments fintech were next, grabbing $4.2 billion of funding, or 9.4%, during the same period, according to KPMG’s Pulse of Fintech report, published in August.
Sixty-four fintechs demonstrated their tech at FinovateFall in New York last week to showcase emerging uses of the tech in an effort to woo investors and clients.
Here are five AI-driven fintechs that took the stage:
Check out Bank Automation News’ Emerging Fintech Directory here.
Abacus
Founded: 2019
The San Francisco-based company provides AI infrastructure for regulated industries, banks, credit unions, insurance companies, health care and governmental agencies.
Abacus builds custom AI servers on premises to allow regulated entities to maintain data security and compliance, Chief Executive David Moscatelli said during the presentation.
Abacus’ proprietary solution can shrink big LLMs to run on smaller servers, reducing the need to acquire expensive GPUs from Nvidia, Moscatelli said.
Funding: $90.3 million
ConfiaIQ
Founded: 2018
The Toronto-based firm provides AI-driven real-time transaction monitoring and risk scoring for banks.
“One of the struggles that we see all the time is that there’s so much documentation required to create [compliance] programs and maintain them,” Chief Technology Officer and co-Founder Dan Adamson said during the company’s presentation.
Banks can upload their policies for AML and KYC, among others, and ConfiaIQ’s AI will stop FIs from making decisions outside of its guidelines, Adamson said.
“This can be used to simply expedite the pre-screening process so you’re not wasting time with clients that can never actually be onboarded,” Adamson said.
Funding: Unkown seed funding
Kaaj AI
Founded: 2024
The San Francisco-based company helps banks and credit unions lend to small- and medium-sized businesses.
The platform uses credit intelligence to automate loan origination and approval processes, reducing time and increasing profitability for lenders, CEO Utsav Shah said during the company’s presentation.
The company evaluates alternative data including tax returns, cash flow and accounts receivable to make an accurate lending decision, Shah said.
Funding: Unknown seed funding
OPL
Founded: 2015
The Ahmedabad, India-based company provides financing to SMBs by analyzing their cash flow through AI.
The fintech connects to the borrower’s bank via APIs and asks SMBs to provide their income tax returns to build a profile, CEO Ronak Shah said during the presentation.
Once a profile is created, OPL can provide a decision on lending within minutes of the application being submitted, Shah said.
The in-house AI built model scans through all business transactions to understand an SMB’s cash flow, Shah said, adding that the lending decisioning model can be customized for different financial institutions.
Funding: $14.2 million
Quavo
Founded: 2015
The Wilmington, Del.-based company is a disputes-as-a-service provider for financial institutions and card issuers.
The company launched ARIA, its agentic AI tool that works alongside disputes resolution teams in a bank to fast-track disputes and boost consumer satisfaction, Daniel Perret, director of product delivery, said during the presentation.
The agentic AI is connected to the bank’s core system and is trained on 20 million dispute resolutions to understand which claims are legitimate and which are fake, Perret said.
Customers can file a dispute in a matter of minutes, and the AI tools will evaluate the dispute and will only bring in a human when the resolution is complex, he added. The AI tool even drags information from card payment networks like Visa through APIs to properly judge and understand if the dispute is valid or not, Perret said.
“ARIA prevents invalid disputes from ever advancing, while simultaneously managing legitimate claims through their entire life cycle,” Perret said.
Funding: $311 million
