The Future of Fintech
If you’re interested in the field of Fintech, then it’s important to understand the future developments and trends in the industry. Fintech, or financial technology, has been rapidly evolving over the past decade and is set to continue growing in the coming years. Fintech companies are developing new and innovative ways to make mobile banking more convenient and secure. Fintech is expected to grow in the future in the field of mobile banking as with the increasing popularity of smartphones, more and more people are using them for financial transactions.
One trend we are seeing is the increasing use of Artificial Intelligence and Machine Learning in Fintech. This includes the implementation of chatbots for customer success services and using predictive algorithms for risk management. These technologies have the potential to greatly streamline financial processes and improve efficiency.
Language-based AI models are among those innovative ways, such as ChatGPT which is a state-of-the-art language model developed by OpenAI, capable of generating human-like text and being used as a Chatbot in the Financial Industry for tasks such as automating customer service, improving risk management and fraud detection, and providing personalized financial advice. Assisting customers with tasks such as account management, bill payments, and money transfers.
Financial transactions with ChatGPT pose a significant risk due to the potential for cyber fraud. As more and more people are using chatbots for financial transactions. It becomes increasingly important to have robust cyber surveillance systems to detect and prevent fraudulent activity.
Overall, the use of ChatGPT in financial transactions is making it easier for customers to access and manage their financial information and transactions and is helping to improve the efficiency and accuracy of financial services. But, businesses should educate their customers on the risks of using chatbots for financial transactions and the steps they can take to protect themselves. The need for increased cyber surveillance is essential to ensure the safety and security of customers’ information and transactions.
While the future of Fintech is bright and full of potential, digital currencies are still relatively new and controversial, they have the potential to greatly disrupt traditional financial systems. It’s important to understand the implications of these digital currencies and how they may impact the future of finance.
“The Fintech industry is expected to generate $1 trillion by 2025” ––Accenture.
Traditional banks are losing customers to Neobanks, which are growing in numbers and revenue. To stay competitive, big banks will likely shift towards offering Business as a Service (BaaS) and focusing on commercial or small business customers. They may also partner with vertical SaaS companies to enter the Fintech market, which is seen as the future of finance.
The new entry-level credit card offering BNPL (Buy Now, Pay Later) services are temporarily suspended by RBI (Reserve Bank of India), due to concerns about the potential financial risks and regulatory challenges posed by these services. The RBI cited issues such as high levels of customer debt, lack of proper oversight and regulation, and potential for fraud and financial crimes as reasons for the suspension. But, they will be a norm again as the banks will understand their need and the future of credit card growth and BNPL will make a comeback.
As one of the pioneer business schools in India which offers PGDM Fintech, we at Delhi School of Business are constantly keeping an eye on the future developments in the field. Fintech has been rapidly evolving over the past decade and is set to continue growing in the coming years as do we.
The future of Fintech holds exciting possibilities. As a student, you have to stay informed about the developments and consider how they might impact your future career in the industry. Whether you’re interested in working in banking, investment, or any other aspect of the financial sector, keeping up with the latest trends in Fintech will be key to your success.