what the tech?! #10 - fintech

Welcome to Digital Luxembourg’s " What The Tech?!" series! As the tech landscape gets vaster and more advanced by the second, most sectors are turning towards tech solutions to provide 21st century services. Stay in the know this summer as we break it down for you tech-by-tech, and show you the Luxembourg innovators making technology happen.

This Week: FinTech

Exciting new niche turned household name – what is there to say about fintech that has not been said before?

In a time of proptech, medtech, edtech, etc-tech, fintech – dare we say, the godfather of them all – represents tech’s most dominant recent overhaul of an industry.

Fintech’s successful journey is not a story of revolutionary startup versus traditional bank, but of coevolution and partnership.

The swift integration of tech into the financial world happened for many reasons: shared motivations between both parties (faster, better, cheaper client services) and complementary added values (fast-moving fintechs contributed advanced solutions while banks brought the clients).

Across the industry, banking behemoths, such as Deutsche Bank, acquire fintechs to rapidly achieve innovative new offerings. Luxembourg’s own digital payment startup PayCash was acquired by Daimler Financial Services, becoming Mercedes pay.

Fintech might not be shiny and new anymore, but its growth potential is far from tapped. While its digital solutions have changed how financial institutions serve clients, it continues taking seamless payments to the next level.

Facebook’s integrated payments or Venmo and Uber’s new fare-splitting collaboration exhibit the creative permutations ahead for fintech-driven solutions.

As a global leader in financial services and fund management, Luxembourg’s transition into a financial technology hub made sense. Thanks to open innovation incentives, funding channels and a tradition of financial expertise, the country’s fintech activities continue multiplying.

Learning from its experience building Luxembourg’s startup ecosystem, Digital Luxembourg grasped the importance of establishing a physical space to unite the fintech movement. The government therefore established the Luxembourg House of Financial Technology (LHoFT) dedicated to bringing FinTech startups together.

In addition to operating as an innovation hub, incubator and co-working space, the LHoFT organizes events and facilitates matchmaking to bolster young companies in areas like RegTech, Fundtech, Blockchain, data analytics, AI, Financial Inclusion, portfolio management and security.

Luxembourg also benefits from a dedicated PayPal – FNR PEARL Chair – introduced jointly by PayPal, the national research fund (FNR) and the University of Luxembourg – which seeks to forge connections between regulators, industries and users. By demystifying digital technologies and enabling public-private partnerships, the Chair and its corresponding team will fortify the future of fintech in Luxembourg.

Financial technologies are only valuable if they can be leveraged in the real world. To further advance their adoption, Digital Luxembourg set out to create a practical blockchain solution that adheres to the regulatory constraints of private businesses. The result, Infrachain, combines the transparency of public chains with the flexibility and third-party distribution of private chains.

The country’s approach to fintech, a reflection of Digital Luxembourg’s general strategy, is multidisciplinary and result-driven, relying on collaboration to reinforce the movement from every direction.  

Luxembourg’s fintech players are making big moves. Blink and you might miss the next big breakthrough.


A client-centric robo-advisor that provides financial institutions with an automated investment solution to bring customers the perfect blend of savings and real returns.

Budget Insight

A financial data-aggregation startup that helps finance and banking clients improve the experience of their customers through intelligent API tools.


Analyzing textual data to help clients make informed investment decisions based on a previously untapped wealth of market behavior predictors.


A securitization platform that offers flexible solutions for both investors looking for opportunities and originators looking to scale up by seamlessly pairing supply and demand.


The Luxembourg House of Financial Technology Foundation is a public – private sector initiative that drives technology innovation for Luxembourg’s financial services industry, connecting the domestic and international FinTech community to develop solutions that shape the world of tomorrow.

one movement, many minds