Top 4 Fintech Trends To Watch Out For In 2020
Fintech or Financial technology is your doorway to better and more technologically advanced business and financial processes. Thanks to automation, AI, Blockchain and other new age technologies, the legacy systems in the financial services have gone through a significant transformation. Fintech has revolutionized the way enterprises run businesses.
2019 saw Fintech taking center stage in business operations across industries. We are almost at the end of the year, and we are advancing towards 2020 with some good prospects and great changes in the way people and businesses spend, manage and access money.
Fintech Trends for 2020
Considering the growing interest among industry players regarding Fintech, here are the top trends to watch out for in the upcoming year.
The banking and insurance sector has been inclining more towards automated processes to improve their respective bottom line. While it is true that automation has lost its novelty, a new faction seems to be gaining attention from all sectors.
Robotic Process Automation or RPA is the new advanced version, which enables developers to arrange the existing automation services to align well and work in sync with the human resource. This according to the experts will increase productivity and minimize the processing time. These automated bots will take up more responsibilities like completion of forms, undertaking data queries, managing digital documents, etc.
Artificial Intelligence in Banking:
AI is the next in our trends list, being one of the most revolutionary innovations of this era. What we would like to focus on is a more interactive or conversational form of banking, one where the machine will take up the role of a bank employee. AI or Artificial Inelegance is already in implementation in many banks in the form of chatbots but at a very primary level. However, with rapid development in this area, AI-based customer support might not be far from reality.
The AI-based chatbot will be able to interact and solve problems of the customer just like a human help desk personnel. The stored data will help the program to become more suggestive through machine learning algorithms. Several global banks are already trying to integrate advanced machine learning into their existing systems. The outcome will be an exciting thing to explore in 2020.
Rise of Crypto:
Once considered as a threat to traditional financial systems, the world is warming up to cryptocurrency. 2019 saw several governments legalizing the use of crypto with some investing in creating a digital currency of their own. There has been a global rise in the number of Crypto ATMs, with over 6000 and counting.
However, there is still the nagging factor that cryptocurrency is volatile. A solution was found to that as well with the emergence of stable coins, the crypto genre that is backed by fiat or other digital asset reserves to keep the value steady. The increasing acceptance of crypto is there to stay, if not grow in the coming year.
Get ready to witness an increase in Fintech mergers and collaborations across industries especially the banking sector in the coming year. It will not be total discontinuation of the existing processes but more of integration to smarten the legacy systems into something much better and advanced.
With so much going on in the technological and financial landscape, it will be quite interesting to see both merge to create seamless systems in 2020.