The last few years have come with extensive changes among various industries, but the financial market seems to be the one that has gone through the most extreme improvements and shifts. Making a payment back in the day used to look completely different from what it does today, and all thanks to the technology advancements that have occurred with the passing years. FinTech has become one of the most popular subjects in terms of money and finances, being adopted by a wide range of corporations, banks and businesses.
What Are the Fields Where FinTech Had the Biggest Impact
The ease and convenience that come with FinTech, financial alternatives make it understandable while so many have directed their attention towards this specific trend. But what exactly are the fields where it has had a noticeable impact? Among the wide variety of things that have changed since fintech has conquered the market, the following remain the most important ones.
1) Mobile Payments – They’re Everywhere
The convenience of just taking your phone out of your pocket and making an important payment in just a few moments is truly one of the best things about 21 century financial upgrades. Mobile payments are certainly embraced by consumers when it comes to the FinTech movement.
It has been said and shown through statistics that by the end of the year 2021, that mobile payments could easily reach more than 280 billion dollars.
Now that’s impressive.
With the careful improvement of FinTech payment solutions…
- consumers have it easier than ever to handle their financial responsibilities, and
- businesses are also dealing with simplified processes, having their entire payment processes simplified considerably.
Businesses collaborating with the major financial institutions on the market now have the possibility of opting for fintech solutions. This contributes to the ease of their in-house processes, but also make their organization more appealing in front of the new generation of consumers, who are known for seeking the most tech-savvy and convenient transaction opportunities. Various fields, including biometrics, have implemented mobile payment tools for efficient remote collaborations with financial institutions.
2) Insurance – New Technologies Available
Those who work or own a business in the insurance field have also acknowledged the great impact of financial technologies in 2018. Many have resorted to FinTech solutions in various areas of professional practice.
One powerful example in this situation is the fintech solution that allows you to track your regular car mileage for insurance purposes.
This is a great thing for:
- insurance buyers with specific needs, and
- for insurance companies that wish to provide their clients with the most affordable policy (one that covers their exact needs and requirements).
In the future, it’s being discussed that many other forms of insurances will benefit from financial technology development.
3) Traditional Banking – A Step Into the Future with FinTech
What’s impressive about the latest changes in financial transactions is that people were very open towards them and started to use them quite quickly. Even banks with longevity in the industry are beginning to accept the FinTech approach.
The collaboration between banks and Fintech companies is great because…
Banks everywhere have begun to use financial technology to provide their clients with a wider variety of transaction possibilities. And, not only that, but they’ve also used it as a boost in payment convenience. They also allowed their clients to access the most appealing trends of the moment. Experts at Contis carefully explain this concept.
Blockchain is taking a stand – exceeding Bitcoin
Bitcoin is the main reason why people love Blockchain, right? Well, not anymore.
Nowadays, with FinTech innovations emerging on the regular, it seems like Blockchain (the actual tech behind Bitcoin) has taken the higher stand. Many altcoin opportunities have become more and more appealing to new investors and traders.
And this is how Fintech benefits:
- Cryptocurrency has brought many appealing FinTech solutions to the table. It simplified various financial transactions and making them far more secure.
- Fintech start-ups have had quite the gain since even the big banks have started to use blockchain technology and adopt the trend in various business areas.
- Financial technologies might continue to surprise start-ups in the future. FinTech is a trend that will definitely enjoy constant expansion.
Last but not least, you couldn’t talk about the role of financial technology without thinking about biometrics. This fintech field is not only global, but also growing at a fast pace.
Why Do Biometrics Matter?
- It is implemented by banks and other types of organizations that wish to engage in payments and transactions with effective user authentication methods.
- Biometric identifiers make it easier for organizations to keep their data relevant, and their processes in-check.
- Biometrics allow all consumers to have access to whatever type of financial service they are interested in. This is regardless of how complex they are, without actually visiting a physical banking institution. Everything has been moved into the online, and safety is not a concern thanks to biometric and fintech.
FinTech – In Summary
It is fascinating to notice how much FinTech has actually changed our perspective on money and payments and how this trend has revolutionized so many fields. Fintech is beneficial for different types of businesses and organizations. When it comes to the fields where FinTech has had the most influential role, the examples mentioned above are the ones that come to the attention first. But, experts say that they’re not the only ones. As it continues to grow, it will impact more fields and soon, it could become even bigger than banking.
What do you think about FinTech? What the future of electronic payments?
My name is Derek, and I have my Bachelors Degree in Finance from Grand Valley State University. After graduation, I was not able to find a job that fully utilized my degree, but I still had a passion for Finance! So, I decided to focus my passion in the stock market. I studied Cash Flows, Balance Sheets, and Income Statements, put some money into the market and saw a good return on my investment. As satisfying as this was, I still felt that something was missing. I have a passion for Finance, but I also have a passion for people. If you have a willingness to learn, I will continue to teach.