There is no doubt that fintech is red hot right now. Financial firms are looking to satisfy consumers’ expectations of on-demand finance and fintech is the way to combat the slow pace of traditional financial services. Startups and financial institutions are investing in financial technology to keep up with contemporary industry standards.
The evidence for the rising popularity of fintech is seen in the quadrupled investments in the industry, compared to six years ago. Today, the global fintech market is said to grow to $31.5 billion by 2026, and the investments in the industry in 2021 alone, grew by 144% compared to 2020.
Artificial Intelligence is single-handedly driving up the efficiency of financial technology. AI-first institutions yield greater operational efficiency and replace the need for human input in the decision-making process. Combined with cloud computing and storage, institutions become private and secure like never before.
Edge computing and edge cloud are becoming essential to fintech. With the help of 5G communication, edge technology drives new interactions across industries, adjusting resources to strategically meet the shifts in demands.
Development in financial technology is not a sprint but rather a marathon. There is tremendous room for growth and equal opportunities for downfalls. Thus, it is essential to keep up with all the information and stay disillusioned to enjoy the maximum benefits of financial technology.