The term ‘fintech’ is being thrown around for quite some time now thanks to the evolution of mobile banking and digital wallets at breakneck speed.
Your Banking Revolutionised
In order to create a more flexible and quicker consumer experience in the financial industry, Fintech, a portmanteau of ‘financial technology’, refers to the use of groundbreaking technology progression that ranges from different software products and payment platform services to help elevate the process to a much bigger scale for the money market.
What Are Some Examples of Fintech Uses?
For someone completely new to this concept may find it hard to comprehend at first because unlike physical money, cryptocurrencies are digital cash exchanged in a digital setting and are run under a decentralised system. You will not find a central bank but network participants called ‘nodes’ that connect other participants so they can exchange and share information. It allows the value of transfer around the globe and is available 356 days a year. Although cryptocurrencies may not fit well into the fintech realm, both do have a chance to execute progressive financial transactions.
Unlike a traditional fundraising scenario such as applying for loans and seeking investors, online crowdfunding platforms have helped many early-stage entrepreneurs to set up a quick business story and the purpose behind their fundraising from the right community by being highly visible and convenient all at the same time. Using mobile apps and other crowdsourcing tools on the internet, it has the power to generate validation in both ways – receive and send money.
- Mobile Banking
With the birth of the fintech industry, came mobile banking which is considered to be increasingly high in demand by consumers who find neo-banks easier to access through a few taps on their mobile device than having to visit a physical bank. A personalised mobile bank system helps you perform basic financial requirements and checking of account information which secured under tight protection at your own convenience.
With every aspect of life being digitised, here we witness the takeover of machine learning being able to predict or spot financial markets and trends through a user-friendly robo-advisor.
With little to no human interaction, robo advisors are specifically built for digital platforms where they utilise large amounts of data algorithms to tailor unique and relevant financial decisions by simplifying the investment process for those who seek financial advice.
- Budgeting Applications
One of the quickest adopters of online time clock and scheduling software technology is budgeting apps. It seems that consumers are changing their minds about money management with smart digital habits – how much really goes when spending and saving. Using such an app can lend a hand with easy budgeting methods in real-time. Most apps can track, monitor and plan for purchases – whether it is grocery shopping or an expensive dinner date.
While fintech has intensified its usage with greater access in the vicinity of mobile connectivity, there is less risk in losing your most personal financial information to outsiders and criminals.