RegTech Market Growth & Trends

The global Regulatory Technology (RegTech) market is projected to reach a valuation of USD 70.64 billion by 2030, expanding at a compound annual growth rate (CAGR) of 23.1% from 2024 to 2030, according to a recent report by Grand View Research, Inc. The market’s expansion is largely fueled by the escalating volume of fraudulent activities across various industries. This, in turn, has significantly elevated the demand for efficient and automated risk and compliance management solutions.

As regulatory frameworks become increasingly complex, organizations are compelled to invest in technologies that not only streamline compliance processes but also help reduce associated costs and operational inefficiencies. RegTech solutions are instrumental in enhancing the accuracy and reliability of compliance efforts, while simultaneously accelerating business workflows and minimizing the risk of regulatory failures and customer friction.

RegTech encompasses a diverse suite of tools and technologies, including but not limited to:

• Transaction monitoring
• Risk and compliance management
• Regulatory reporting
• Identity and control management
• Regulatory intelligence

Due to the broad spectrum of solutions available, businesses can select tools that align with their specific regulatory needs and preferences. Among these, the risk and compliance management segment emerged as the top revenue contributor in 2018, and is anticipated to register an impressive CAGR of 49.7% during the forecast period, primarily driven by heightened demand for robust compliance infrastructures.

Another noteworthy segment is regulatory intelligence, which accounted for over 12% of the global market share in 2018. This segment is projected to witness the fastest CAGR throughout the forecast timeline. A growing number of small and medium-sized enterprises (SMEs) are embracing RegTech to proactively manage compliance costs and mitigate potential fraud-related losses.

In terms of regional performance:

• The United States led the North American RegTech market in 2018.
• The United Kingdom is expected to maintain its leadership position within the European market, thanks to the surge in market entrants and a conducive regulatory environment.

The European Union has introduced several stringent regulatory standards aimed at curbing the increase in financial sector fraud. However, ensuring regulatory compliance remains a cost-intensive and time-consuming endeavor for both institutions and regulators. This highlights the pressing need for scalable, automated solutions that can adapt to the rapidly evolving regulatory landscape.

RegTech Market Report Highlights

• Cloud Deployment Segment:
  In 2023, the cloud-based deployment segment captured the largest revenue share, accounting for 5% of the global market. This dominance is underpinned by the growing adoption of cloud technologies across various sectors, the advantages of remote monitoring, improved network control, and the overall convenience of cloud-based infrastructures.
• Large Enterprises Segment:
  Also in 2023, large enterprises led the market, largely due to their resource-rich environments, including access to capital, skilled in-house IT teams, robust infrastructure, and partnerships with established RegTech providers. These organizations are well-positioned to invest in comprehensive regulatory technologies to maintain competitive and compliant operations.
• Risk & Compliance Management Segment:
  This segment held the largest revenue share in 2023, driven by the urgent need to protect organizational data and assets, ensure business continuity, and meet

RegTech Market Segmentation

Grand View Research has segmented the global RegTech market on the basis of on deployment, organization, application, and region:

RegTech Deployment Outlook (Revenue, USD Million, 2018 - 2030)

• Cloud
• On-Premise

RegTech Organization Outlook (Revenue, USD Million, 2018 - 2030)

• SMEs
• Large Enterprises

RegTech Application Outlook (Revenue, USD Million, 2018 - 2030)

• Risk & Compliance Management
• Identity Management
• Regulatory Reporting
• Fraud Management
• Regulatory Intelligence

RegTech Regional Outlook (Revenue, USD Million, 2018 - 2030)

• North America
  • US
  • Canada
  • Mexico
• Europe
  • UK
  • Germany
  • France
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
• Latin America
  • Brazil
• Middle East and Africa (MEA)
  • South Africa
  • Saudi Arabia
  • UAE

Key Players in the RegTech Market

• ACTICO GmbH
• Adenza
• ComplyAdvantage
• Fenergo
• MetricStream
• NICE Actimize
• OneTrust, LLC
• LSEG Data & Analytics
• CUBE Content Governance Global Limited (Thomson Reuters)
• Trulioo

Order a free sample PDF of the Market Intelligence Study, published by Grand View Research.