Financial technology (FinTech) has emerged as an important component of the modern financial ecosystem by enabling technology-based financial services and improving access to finance. Micro, Small and Medium Enterprises (MSMEs) contribute significantly to employment generation, entrepreneurship and regional economic development, but many enterprises continue to experience difficulties in obtaining timely and adequate financial support. In this context, the present study examines the FinTech-driven startup finance ecosystem for sustainable MSMEs in Thoothukudi district. The study aims to assess the awareness and adoption of FinTech services among MSME entrepreneurs, identify the financial challenges associated with digital finance, and examine the contribution of FinTech-enabled financial services to sustainable MSME development. Primary data was collected from 150 MSME entrepreneurs in Thoothukudi district through a structured questionnaire, while secondary information was obtained from relevant RBI publications, Ministry of MSME reports, journals and other published sources. The study uses appropriate statistical techniques to analyse the responses and understand the relationship between FinTech adoption and MSME sustainability. The findings indicate that FinTech awareness is developing among MSME entrepreneurs, although concerns relating to digital literacy, trust, cybersecurity and access to suitable financial services continue to influence adoption. The study suggests strengthening digital financial literacy, awareness programmes, institutional support and user-friendly FinTech services to facilitate sustainable MSME development in Thoothukudi district.