With the rapid development of China's economy, many long-standing basic problems need to be solved urgently. This article examines how advanced financial technology can assist domestic businesses in overcoming funding difficulties. Due to the large number of small and medium-sized enterprises (SMEs), the market frictions and search costs of traditional financing are particularly significant in the domestic market. As a platform, financial technology has the potential to enhance the creditworthiness of enterprises, bolster their transparency, and ultimately lead to a reduction in financing costs. This paper achieves some results in terms of how to solve the difficulties of financing for SMEs and release market potential. Based on the listing details of A-share companies in China, this paper utilizes the fixed-effect model to demonstrate the beneficial effect of financial technology development on financing constraints, thereby contributing significant theoretical insights and practical foundations for addressing financing issues faced by domestic SMEs.