“The major winners will be financial service companies that embrace technology.”
FINTECH can be defined as an amalgamation of the Finance with Technology in the real sense. It is also defined as an “economic industry composed of companies that use technology to make financial systems more efficient”.
FINTECH can be seen as one stop innovative technological solutions for all the financial issues coming up in the processes carried out through the technological advancements in the companies, banks, etc.
Financial technology, also known as FinTech, is an industry composed of companies that use new technology and innovation with the available resources in order to compete in the marketplace of traditional financial institutions and intermediaries in the delivery of financial services. Financial technology companies consist of both startups and established financial and technology companies, trying to replace or enhance the usage of financial services of incumbent companies.
FINTECH has transformed the way the business and banking used to operate earlier. . The processes today done are faster, which are much convenient for the employees, accurate, the chances of manual errors have reduced to a greater extent due to which a lot of cost reduction is done, that is proving to be beneficial for the companies and the banking sectors.
|1950||Brought us credit cards to ease the burden of carrying cash.|
|1960||Brought ATMs to replace tellers and branches.|
|1970||Electronic stock trading began on exchange trading floors.|
|1980||Saw the rise of bank mainframe computers and more sophisticated data and record-keeping systems.|
|1990||The Internet and e-commerce business models flourished.|
|2008-2016||Global investment in Fintech rose.|
Areas where Fintech is being used widely:-
FINTECH – creating Revolution in the Business World:
- FinTech gives distinctive advantages to its different clients, regardless of whether it is a purchaser or businessman.
- For organizations, by using considerably quicker, dependable Internet associations, huge information figuring, and portable availability, they are presently ready to venture into complexity, including rich money related programming suites and oversaw administrations that 10 years back would have been much costly and time consuming.
- More intelligent showcases of data with continuous updates and the bits of knowledge of huge information have given business pioneers unparalleled business advantages, permitting clever organizations to refresh their advertising to exploit ideal conditions.
- Major changes have been made in the following areas:-
- Digital Wallets
- Lower costs
- The Rise of Millennials
FinTech has a bright future. With many new technologies and startup companies expected to reach maturity by 2020, it iss certainly going to be an interesting industry to watch over the next several years.
The future: ‘Things are barely beginning here!’