RegTech Analyst, which is going into its seventh year, has released the most recent iteration of the RegTech100, which provides an overview of the major companies in the market.
The list for this year showcases the most creative and ground-breaking companies in the regulatory technology sector that aim to assist financial institutions in keeping up with the rapid changes brought about by ongoing technical advancements and regulatory revisions.
The RegTech industry showed remarkable endurance and continued on its robust development trajectory in the face of high inflation, a downturn in private investment, and rising fines. In fact, according to research by Fortune Business Insights, the industry is expected to expand at a compound annual growth rate (CAGR) of 24.9% from $12.82 billion in 2023 to $60.77 billion by 2030.
The selection process for this year’s RegTech100 was the most competitive yet, with a large and diversified spectrum of companies to pick from, as the sector continues to grow.
RegTech Analyst compiled a longlist of about 1,400 companies, which was evaluated by a team of analysts and industry professionals. Their goal was to draw attention to the technology solutions that, by 2024, all financial services leaders in the fields of innovation, risk, and compliance should be aware of.
According to RegTech Analyst director of research Mariyan Dimitrov, “financial institutions are re-examining the compliance software’s true cost, namely whether a given RegTech solution truly will free up compliance staff for higher-level tasks and whether the software can scale, adapt, and get implemented efficiently.” This is due to the challenging economic climate and the ongoing rise of artificial intelligence.
“This year’s RegTech100 list highlights the leading companies in areas such as information security, compliance, risk management and fraud prevention working on the forefront of innovation and new AI implementations who have demonstrated a strong track record delivering regulatory and operational improvements in financial services.”
Many of the businesses listed on the latest RegTech100 list have made headlines lately.
The Encompass Corporation is one of them. With the help of Encompass, businesses can enhance customer satisfaction, increase income more quickly, and show consistent compliance with real-time digital KYC profiles.
The company was honored for its accomplishments at the Sibos 2023 event earlier this year. International FinTech companies get a venue to showcase their products through the Discover Perfect Pitch competition. By winning this competition, particularly in the “established trendsetter” category, Encompass demonstrated its noteworthy influence and innovative position within the industry.
Red Oak Compliance, with its headquarters in Texas, asserts that it is the preferred program for advertising compliance reviews in the financial services sector. The business previously collaborated with Synthesis to support the implementation of a presentation management and compliance workflow solution by a global asset manager.
LeapXpert is the pioneer of responsible business communication, offering secure and compliant communication solutions to businesses, giving them peace of mind. The business raised $22 million in a Series A+ investment round after entering the capital market earlier this year.
Know Your Customer is another SaaS ecosystem that helps businesses all over the world with their corporate onboarding, periodic review, and KYB processes. Recently, the company announced a strategic alliance with Joint Electronic Teller Services Limited (JETCO) to provide financial institutions in Hong Kong with real-time access to official company registrations.
One of the top suppliers of financial crime, risk, and compliance solutions worldwide is NICE Actimize. The company and GoTyme Bank teamed up back in September to strengthen the support system for GoTyme’s recently launched cloud-only bank.
The Lithuania-based iDenfy is another business on the updated list; it has been very active in closing acquisitions this year. Businesses are being assisted by the RegTech organization, a top provider of integrated identity verification and fraud protection solutions, in automating KYC/KYB/AML compliance.
The company first teamed up with international bitcoin and digital payment service provider Mountain Wolf back in July.
Additional companies on the RegTech100 list include Saifr, which leverages cutting-edge AI to make the complicated regulatory environment easier to understand for marketing and compliance teams in the financial sector; ACTICO, a software company that offers digital decisioning and intelligent automation to control risk and stop fraud; Armadillo, a company that provides 500 million company due diligence and ongoing KYC; CleverChain is a company that turns data into insights that can be used for risk assessment, continuous monitoring, and easy due diligence. Creditro provides an automated KYC & AML platform among other things to guarantee security, enforce compliance, and fight fraud; Smarsh delivers cloud-native digital communications capture, retention, and oversight solutions.
Other noteworthy companies on this year’s list are Fincom, a leading AML sanctions screening platform; iON, a provider of trading and workflow automation software; EverC, a company that bills itself as the world’s first fully automated, AI-driven cross-channel risk management platform for the online seller ecosystem; and RequirementONE, a company that assists businesses in implementing regulatory changes, advanced facial recognition firm Regulo, training, competence, and accountability firm Worksmart, global provider of compliance solutions for FIs Vneuron, AML compliance services provider SmartSearch, Kaizen, which offers regulatory reporting assurance, trade and communications surveillance, research management tools, shareholding disclosure, and a single rulebook, and S&P Global Market Intelligence Cappitech, a provider of regulatory reporting, best execution analysis, and business intelligence solutions