Company: EGG
Filing Date: 2025-04-24
Form Type: F-1/A
Source: 0001641172-25-005939
Chunk: 102

Company: ENIGMATIG LTD
Filing Date: 2025-04-24
Form: F-1/A
Chunk 102
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 Amount, 2020-2029E</div>

Source: Frost & Sullivan Report

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Analysis of the Regtech Market

Definition of Regtech

Regulatory technology, or regtech, is a sub-component of fintech which involves the management of regulatory processes within the financial industry through technology. The main functions of regtech include regulatory monitoring, reporting, and compliance. Regtech service providers typically use cloud computing technology through software-as-a-service to help businesses comply with regulations efficiently and less expensively. Key categories of regtech include fraud management, regulatory intelligence, risk & compliance management, and regulatory reporting, among others. Based on end user, is the market can be segmented into services provided to banks, insurance companies, fintech companies, IT & telecommunication companies, public sector entities, energy & utility companies, and other companies.

Market Size of the Global Regtech Industry

Driven by the increases in fraudulent transactions and requirements being placed on technologies on technologies such as AI, regtech is expected to grow to be a more significant component in the global fintech industry. According to the Frost & Sullivan report, the market size of the global regtech industry by investment amount will increase from USD10.7 billion in 2025 to USD20.6 billion in 2029, representing a CAGR of 17.8%.

<div align='center'>Market Size of Global Regtech Industry by Investment Amount, 2020-2029E</div>

Source: Frost & Sullivan Report

Key Drivers and Future Trends in the Global Regtech Market

Regtech leverages emerging technologies such as AI, machine learning, and blockchain to improve the way businesses manage regulatory compliance. The use of regtech has a significant impact on both businesses and the regulatory environment. For businesses, the adoption of regtech helps to streamline their compliance processes and reduces the costs associated with regulatory compliance. The use of advanced technologies like AI and machine learning enables businesses to monitor regulatory changes, detect patterns, identify potential compliance risks and facilitate compliance with evolving regulations. According to Frost & Sullivan report, in the future, regtech solutions are expected to be used increasingly to meet compliance challenges in a wider variety of sectors such as healthcare, energy, and telecommunications, broadening the market’s scope. For regulators, regtech solutions will play a vital role in helping financial institutions navigate these harmonized regulations and regulators, assisted by regtech, will work towards aligning regulatory frameworks to facilitate cross-border operations and reduce compliance complexity. These can lead to the increase in the application