As the world economy continues to recover from the recent financial crisis, fintech will continue to become increasingly important as the main driver of growth in the financial services industry.
FinTech has always been about innovation and disruption. With the advent of the internet, the number of financial services professionals has exploded. This is why you’ll find so many FinTech startups coming up with ideas that are designed to be innovative and disrupt the traditional banking system.
However, FinTech is not about just disrupting the current financial services system. It’s about disrupting the entire financial services industry. The most impactful FinTech companies have created completely new markets and industries by combining traditional finance with technology. Today, we’re looking at four trends that are going to continue shaping the future of financial services.
1. Mobile Payments
The growth of mobile payment systems has been dramatic in recent years, especially as we move further into the digital age. According to a report from Juniper Research, global mobile payments will grow fourfold between 2016 and 2021, reaching $800 billion by 2021. In 2017, global mobile payments were worth about $400 billion.
Mobile payment systems, which were invented more than a hundred years ago, have changed and evolved greatly in recent years. They have become very popular, especially because of the widespread use of smartphones, smartwatches, and other mobile devices. With these devices, people can pay for things such as coffee, food, drinks, gas, toll roads, parking tickets, and so on using their phones.
Mobile payment systems are going to play an important role in the future of online commerce. Mobile payment systems are making it easier for people to buy things online. In fact, the report states that nearly 40% of all online purchases are made using mobile payment methods. These include smartphones, tablets, and laptops. However, mobile payments aren’t just popular with the general population. More and more businesses are starting to use mobile payment systems to boost their sales and profits.
2. Social Trading
One of the newest trends in financial services is social trading. Social trading allows clients to share insights on market movements, exchange views on the markets, and compare performance over time. The platform leverages social networking sites like Facebook, LinkedIn, and Twitter to allow investors to interact with and learn from one another. In this new world, knowledge is power. As such, social trading platforms act as a vehicle to collect knowledge and distribute information.
Social trading is an area of financial services that deals with using social media platforms for making money. It is similar to crowdfunding, but instead of taking money from the general public, you can raise funds from your existing social network.
There are two main types of social trading: direct and indirect. Direct social trading uses a platform, like Facebook, that allows people to directly connect to each other for transactions and exchanges of various goods. Indirect social trading is a platform where people who share interests and values can interact, and where traders can be matched with each other and exchange goods.
