How much do you know about Fintech and its enabling technologies?
Fintech is rapidly growing and we nee to study fintech intimately. In this article, we are going to talk about Fintech and its enabling technologies. Click here to know about mobile wallet.
What is Fintech?
Fintech = Finance + Technology. With the combination of these two field, we get Fintech.
The enabling technologies of Fintech
Generally, fintech bases its operation on technology; The services provided by these companies are delivered through digital channels such as mobile applications and internet browsers (Mobile App, Web App and Web browser), as well as through the following enabling technologies:
- Internet of Things (IoT)
- Automation and robotization
- Consumption of computing services in cloud architectures (cloud services)
- APIs and information exchange interfaces (openbanking)
- Quantum computing and augmented virtual reality
- Data & Analytics
- Cybersecurity
- Advanced biometrics
Contrary to what happens in the traditional financial sector, where institutions participate in different markets and with multiple services, fintech generally specializes in a single product, which explains the large number of initiatives that exist; They also use data as their main asset, so they design business models where information is the axis.Visit this site to know about mobile wallet.
Fintech have a great scalability because of their business potential. Currently in other countries, there are fintech that displace billions of dollars and maintain alliances with important credit institutions.
The new business models
The Fintech cover a wide spectrum of operations with its products and services, as they have expanded to integrate any technological innovation and automation of the financial sector, including progress in education and investment advice, management of personal assets and business loans, digital payments, transfers and remittances, among others. They can also be involved in the development and use of cryptocurrencies, as well as tokens, although not as a business model in itself, but as an enabler of others.
Business models are constantly changing, as markets respond or technology advances, but always within the framework of the law. They can evolve beyond financial services and develop solutions, payment methods or applications for other industries such as retail, convenience stores, collections, handling and data mining, among others. To favor the creation of new products and services, the Fintech Law defines mechanisms to propose new models and prove their integrity before making them available to the general public.