Finance

Fintech firms face rising compliance costs

Smaller payment companies say monitoring requirements now absorb a growing share of revenue.

PR
Priya Raman
August 6, 2026 · 4 Min Read

Payment and lending startups are spending more than ever on transaction monitoring, reporting and staff training, according to executives who spoke to The Ledger.

Several said compliance now accounts for a double-digit share of operating costs, a burden that falls hardest on firms without large balance sheets.

Supervisors argue the requirements are proportionate given the sector's exposure to financial crime.

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