China Surpasses US in Fintech, Now Dominates Global Financial Technology Patents

China is further cementing its dominance in global financial technology (fintech) innovation. Over the past decade, the country has become a world leader, not only in the number of patent applications but also in the quality of the innovations produced. The findings were revealed in a survey released by Nikkei on Tuesday. The survey, compiled with Tokyo-based research firm Patent Result, analysed fintech patent applications in 118 countries and regions from 2016 to 2025. Results showed that global fintech patent applications reached approximately 120,000 over the ten-year period, nearly triple the number from the previous decade, reflecting the rapid development of innovation in the digital finance sector. China was the largest contributor, accounting for more than 38 percent of all fintech patent applications worldwide, the highest share globally. Patent filings from Chinese companies surged roughly tenfold compared to the previous decade. The United States ranked second with a share of about 17 percent, followed by South Korea with 9 percent and Japan with 8 percent. China’s dominance is also evident at the corporate level. Eight of the top ten companies with the most fintech patent applications are Chinese. Industrial and Commercial Bank of China (ICBC) ranked first globally, followed by Bank of China, China Construction Bank, and technology giant Tencent, all of which placed in the top ten. The survey also indicated that China’s lead is not solely based on quantity. According to an assessment of patent value and competitiveness, China also ranked first in fintech patent quality. The United States and Japan placed second and third, respectively. These findings underscore China’s strengthening position in the global fintech innovation race and confirm a shift in the centre of development from Western countries to Asia, particularly China. China is difficult to catch in the fintech industry not merely because of its number of technology companies, but due to an innovation ecosystem that integrates government, the banking sector, digital firms, and research institutions. For more than a decade, Beijing has made digital transformation a part of its national strategy to enhance economic competitiveness, leading to simultaneous investment in artificial intelligence (AI), cloud computing, blockchain, and digital payment systems. Another advantage lies in the sheer size of the domestic market. With over one billion internet users and hundreds of millions of digital payment service users, Chinese companies have access to transaction data on a massive scale. This environment allows for faster technological development, as innovations can be tested and refined through millions of daily transactions. National banking also plays a crucial role. Unlike in many countries where fintech innovation is dominated by startups, in China, large state-owned banks are the primary drivers of technological development. This is reflected in the dominance of ICBC, Bank of China, and China Construction Bank in the list of top fintech patent holders worldwide. Collaboration between conventional financial institutions and technology companies accelerates the creation of innovations that can be directly applied to financial services.