Fintech is an industry that is very much on the rise year on year, which leads us to the obvious question: what are the trends to look out for in 2020? In this article, Matthew Ledvina takes a look at three key areas where you can expect to see continued growth and innovation moving forward. We’ll touch upon what the general consensus is amongst industry experts, and what the trends mean for end users.
Mobile and Digital Banking
According to Matthew Ledvina, mobile and digital banking will continue to become more and more a part of everyday life, with experts estimating that by 2022 transactions will have increased by 121% from where they are today.
It’s predicted that more than 88% of all transactions will become mobile which is itself an interesting trend for the industry. To stand out and attract new customers traditional bricks and mortar banks will have to continue to invest in their apps and mobile payment platforms. Integration with handheld devices, like Apple Pay, will continue to be the norm and will set the standard for smooth and easy transactions when on the move. We can also expect to see a continued rise in the number of new digital banks attempting to disrupt the market.
Blockchain is quickly gaining a reputation as a hotbed for innovation and new developments, with industries as diverse as manufacturing, healthcare, and even government agencies all are exploring its many advantages. This will lead to new advances in payment security and transactions, not to mention a whole host of new shifts in settled industries that have not been disrupted for a decade or more.
In addition, we can expect to see the diversification of cryptocurrencies continue at pace. Whilst the jury is still out on their longterm viability and stability, it will certainly be interesting to see how the efforts to integrate them into daily life take shape around us.
Implementation of AI Technologies
AI has long been touted as the next paradigm shift in communication, but at present we’re still seeing an industry that’s very much in its infancy. It’s predicted that a large number of current roles which are carried out by humans will one day be replaced by AI, which in turn will open up new paradigms when it comes to the way in which we all approach the world of work. Whilst this is an interesting and intriguing future to look at over the horizon, there are a number of more pressing fundamentals which need to be addressed first.
Most notably is the need for transparent operation and fit-for-purpose regulation. This will ensure that users understand how their data is being used, who they are really interacting with, and why. By making it clear to end users how they will be treated and what will be done with their data, AI developers can lay transparent foundations for their industry. It will also make it far easier to get a clear picture about how the industry is evolving and integrating with our lives.