A lot of international locations are investing in the growth and invention of fintech; continue reading to discover much more
In the year of 2024, just about everywhere we look there are brand new innovative fintech companies that are improving the way in which people interact with the financial services sector. One of the most common fintech examples in real life is mobile payment. Mobile payments have transformed a whole industry by allowing users to spend money using their mobile devices. Basically all they have to do is link their contactless bank account onto their phone’s ‘wallet’, suggesting that they can spend a specific quantity of money without having to physically withdraw any physical notes from an ATM. This makes life considerably simpler for people, particularly if they end up in the unlucky situation where they are only are a couple of notes short, or they have gone to do some shopping and have completely forgotten to pick up their bag. Not just this, but mobile-payment technologies have considerably improved safety measures by allowing customers to make payments without revealing their personal details. Moreover, another perk of mobile payments is that they have streamlined the transport sector. People do not have to line up at the box office to get their train tickets if they do not really want to; alternatively, they can ‘tap on’ and ‘tap off’ using the mobile payment on their smartphone. For these reasons, it is easy to comprehend why there has been a lot of investing in UK fintech providers.
Before delving into the ins and outs of the fintech industry, it is critical to know what it honestly means. Fundamentally, ‘fintech’ is a combination of the words 'technology' and 'finance', which refers to almost any modern day innovation that has digitalised a component of the financial services industry. The fintech growth statistics are shocking; every single calendar year we are seeing more and more fintech start-up businesses appear from all over the planet. Generally speaking, the sector that has changed the most thanks to fintech is the banking industry. There are lots of fintech examples in banking, however, one of the most pronounced and widely-used examples is mobile banking. Mobile banking offers numerous features, like account management, payment of bills and transfer of balances, all via a mobile application that can be utilized wherever and whenever users want, provided that they have connectivity to the internet. The best thing about mobile banking is that it has made it significantly simpler for users to manage their financial situation on a day-to-day basis. It has also made banking drastically more effortless; users do not need to go to the bank or stand in a lengthy queue every single time they need to transfer a bit of money. This is why investing in Malta, along with many other countries, has been centered around the inclusion of fintech into the banking and finance industry.
In recent years, several of the top fintech companies are embarking into the insurance arena, which has coined the term ‘insurtech’. So, what does this necessarily mean? In simple terms, Insurtech comprises of leveraging technology to make the insurance industry much more customer-friendly and efficient. It uses the most recent technological advancements, like artificial intelligence and machine learning, to allow firms to make more accurate assessments of risk, which results in lower rates and improved customer service. Today, firms and customers can rapidly distinguish and evaluate the most appropriate policies by utilizing advanced analytics. Going forward, we can imagine that investing in Sweden will be focused on refining insurtech, along with many other countries as well.