FinTech companies can leverage cutting-edge online technologies to deliver financial services in a more efficient, innovative, and improved manner via cloud computing and big data. FinTech companies have since expanded into the fields of insurance, credit, and investments, having initially emerged as online payment services (Apple Pay, PayPal, Alipay). It is indisputable that FinTech will disrupt the financial services industry and that banks, other providers of financial services, and regulators will have to react accordingly. This is why FinTech is the future.
Blockchain’s Potential Benefits Are Growing
Transferring assets can be done without a central intermediary through blockchain technology. Transactions are also faster with blockchain. An intermediary typically processes payments by authenticating and authorizing the recipient, transferring transaction details, and settling the transaction. In most cases, settlements take two or more days to complete. Blockchain simplifies the process into one step that can be completed in a few seconds or minutes.
FinTech Is Attracting the Attention of Regulators
Chinese, Australian, and British regulators are actively developing sandboxes to test scenarios and identify how technology can be used for good.
Credibility Issues Can Be Solved by FinTech
Peer-to-peer lending (P2P) has proven to be difficult, despite its lucrative potential. Using big data and cloud computing, FinTech can reduce transaction costs and reduce risk by solving the credibility problem.
People living in remote areas cannot access the bank’s conventional branches due to cost constraints. Through FinTech, banks can provide financial services at a lower cost to people who lack access to them. As a result of FinTech, transactions are becoming faster, more secure, and more transparent, and sustainable financial products are being developed that can be tailored to meet the needs of people with low, fluctuating incomes.
The face of finance is rapidly changing, and FinTech jobs are becoming more available. We can help job seekers or FinTech companies find potential employees. Get in touch with Black Pen Recruitment today to learn more.