Fintech is one of the most active and exciting industries in the world, bringing together financial institutions, innovators, and entrepreneurs. That’s why we have the Fintech revolution.
The Fintech revolution has manifested itself in many ways. From mobile banking to digital currencies like Bitcoin, the industry continues to grow at an unprecedented rate.
The main pillars of fintech are innovation, technology, security, efficiency, accessibility, and utility. These are all areas that have seen substantial growth over the past few years with many new players entering.
Impart Of FinTech On Banking
FinTech is rapidly changing the banking sector’s view that many banks are now moving towards digitization and paperless and cashless processes.
For the uninitiated, FinTech is a term used to describe emerging digital technologies aimed at improving and automating the delivery and use of financial services.
What is FinTech Revolution?
The word FinnTech itself is a combination of ‘financial technology’.
Today, however, FinTech encompasses more sectors and industries, including education, retail banking, fundraising for nonprofits, and investment management.
Through specialized software and algorithms, FinTech helps companies, entrepreneurs and consumers manage their financial activities and processes. FinTech has also continued to develop and use cryptocurrencies such as Bitcoin in modern times.
While several FinTech sectors continue to gain momentum today, much of FinTech still focus on the traditional global banking sector. And India is leading the way in this FinTech revolution.
FinTech Revolution in India
With one of the fastest-growing economies in the world, India has undoubtedly emerged in recent years as one of the fastest-growing fintech growth areas. cardless loan, mobile banking, secure payment gateways, mobile wallets, and other concepts are already being adopted in India.
Over the past two years, India has seen massive adoption of digital payment systems, making it much more convenient to work with basic financial services.
The Future And Growth Of FinTech In India
This growth and expansion of the FinTech ecosystem in India have been aided by several factors such as the increasing availability of smartphones, greater internet access, and high-speed connectivity.
In fact, according to a report by Boston Consulting Group and FICCI, India is well-positioned to reach a FinTech sector valuation of $150-160 billion by 2025, implying an incremental value creation potential of $100 billion. To achieve this goal, the Indian FinTech sector will need investments of $20-25 billion in the coming years, according to the report ‘India FinTech: A $100 Billion Opportunity.
In recent years, India’s payment infrastructure has improved significantly, especially with the introduction of new payment mechanisms and interfaces such as Immediate Payment Service (IMPS), Unified Payment Interface (UPI), Bharat Interface for Money (OHIM), and others. The government’s “Make in India” and “Digital India” projects have also played an important role in accelerating the adoption of Fintech.
It is commendable that in recent years the Reserve Bank of India (RBI) has also encouraged the increasing use of electronic payments to bring about a truly cashless society.
Fintech is still in the early stages of development, but there are many exciting possibilities for this emerging industry. While it’s hard to know what the fintech revolution will look like in 10 years, it’s clear that more and more people are turning to their computers for financial advice than ever before.