New generation payments powered by fintech innovation
Just go back and think about a rough estimate on how much money (physical cash) you had in your pocket 3 years back compared to what you’ve right now. There is some serious difference without a doubt, in fact, you might not have any physical cash at all right now.
Why did this happen? Is it because of the comfort provided by credit cards and debit cards? or something really got into your mind which is making you do this without your knowledge. What exactly happened?
Fintech
Fintech happened. Well, to be very precise fintech is nothing new, because the companies like MasterCard or VISA card which you’ve in your wallet is already a fintech company handling over 74B transaction every year (MasterCard alone).
The very fact that these fintech companies are really the primary reason behind making you go cashless is undebatable. It’s a groundbreaking innovation helping consumers and shop owners to pay and collect payments with a tiny machine which works with a swipe or even NFC technology.
MasterCard and VISA have really pushed the limits because of consistent revenue generation and the promising technology. Nowadays, you don’t even have to carry your debit card or credit card, you can always keep them digitally on your phone.
They make the payments easier with interesting benefits. Solutionism to big financial problems and transactions is easily managed by these companies irrespective of the fact that they spend millions of dollars fighting fraud.
Startups
If you’re an avid follower of the startup world, then you would clearly know the boom of fintech startups recently. Venture capitalists and angel investors are really looking forward to investing in fintech startups around the world.
Considering the entry of bitcoin, the fintech world has become one of the hottest space in the startup field to try your hands. One of the major reason behind the boom is pretty simple. There are lots of innovative solutions to solve problems in financial transaction management space.
Starting a company that helps other fintech companies fight fraud for a cheaper cost with technologies like advanced deep learning is one such example. Acquisitions of fintech startups are so active these days because it helps other bigger fintech startups to expand much faster.
Consumer
Essentially, this is exactly the fintech world which you need to know about. Whenever you find a new payment application or a different solution to making payments or even splitting payments, remember that big industry is coming up.
How big? It’s estimated to be 305.7 billion dollars by 2023.
Good thing is that the companies who perform well will stay and the ones who don’t, will fall off. Even though that doesn’t sound good for low performing companies, but the fact that only innovating companies survive is nothing but the truth.
At the end of the battle, the startup field will be left with a handful of good quality fintech startups solving real-world problems with innovation. That’s where we are heading towards, the space with more data security, easier transaction handling and brilliant entrepreneurs helping consumers and the finance industry.
Buckle up for a ride (keep your recession calculator aside).
