Fintech is all about applying evolving technological advances to improve financial services - either reinventing or simplifying a process, increasing its functionality and making it more engaging for users. The ‘tech’ in Fintech is the emergence of brand new technologies, such as AI, blockchain, analytics and big data.
There has been a recent decline in Fintech adoption – with investment hard to come by, and because deploying these new technologies has not resulted in immediate benefits - there has been slow momentum. This period of slow Fintech adoption will likely be short lived. Deployments will accelerate as adjustments to the technology e.g. blockchain or to risk management e.g. AI, are made. Just a few years ago, cloud was seen as an impossible solution for financial services, but is now transforming the industry. As with cloud, the cost benefits of adopting Fintech will be realised eventually.