Future of FinTech and Banking in 2020
The future of FinTech and Banking in 2020 is something that most of us in this field think about, every single day. In fact, Fintech is nowadays seriously competing with banking and some of the FinTech are small ones and have nimble footprints.
What is FinTech?
Fintech, also called Financial Technology, is essentially a way to describe a company that uses the internet to perform financial services.
Some of the most famous FinTech companies are PayPal, Venmo, or even Stripe.
What does the future hold for FinTech, for banking, and Bitcoin? Anywhere you look, it has now become obvious that technology has improved and will keep on changing the finance world for both the business and the private worlds.
The Future of FinTech
The future of FinTech is exciting with lots of updates constantly coming up and that people love. For example, we have gained access to more information using our analytics, artificial intelligence, and even cloud computing.
In addition to this, the ability to pay with our smartphone, our smartwatch or even splitting a bill using apps like Venmo which is definitely a big advanced step.
However, the system behind its usage and its impact on customers is much more complex and might take years to get to the levels of well-established financial institutions.
Just like mentioned above, Artificial Intelligence, IoT and cloud computing are making a big difference compared to normal financial institutions and that is something that should be improved in the future of FinTech to make it even more smooth than what we have now.
Online Banks
Online banks such as Revolut, Transferwise or Monzo are now very advanced, reputable and have gained a lot of value in the past years that make them reach the levels of normal banks easily and that are reliable.
More and more people have decided not to keep a traditional or financial institution’s bank account open and rather, opt for online banks for being free to use.
Also, it is a much better and easier way to borrow money. In fact, in banks or physical financial institutions, the only way to borrow money is by asking for a loan that will be refunded month by month. However, when using online banks, the game changes a lot.
When using online banks, you can use methods like crowdfunding or peer-to-peer lending which is an inventive and very advanced way to prove that technology has changed the banking world a lot.
Last but not least, online banks also offer travel insurance to keep you covered wherever you go on holidays, and this is definitely something to take into consideration for the future.
Bitcoin
Of course, when talking about FinTech, we can only mention Bitcoin and the way that has and will continue to revolutionize traditional banking transactions.
Bitcoin has now existed for more than 10 years and they’re definitely the number 1 cryptocurrency on the market.
The peak of Bitcoin was back in 2017 where 1 single unit was valued at a whopping $19,650. Of course, as we all know, it has crashed since then. However, in 2020, the value of 1 Bitcoin is the equivalent of $5,369 which is still extremely impressive and the reason why people didn’t completely give up on it even after the crash.
Although the future of Bitcoin is still to be determined, we had proof in the past years that the value of it can be extremely high in the future of FinTech.
Ashley Wong Tsui is the CEO and Co-Founder of Gemnote, a startup that creates unforgettable experiences through sending quality corporate gifts and customized swag to your clients and employees. Their customer list includes many top technology and Fortune 500 companies like Airbnb, Facebook, Google, Netflix, Slack and more. Their headquarters are in Berkeley, CA.