According to a top mobile app development company, fintech or financial technology will drive business model reinvention shaping the competitive model of financial institutions in the next ten years. Innovation led by technology is vital for fintech development.
But do you know the crucial technologies that will shape the competitive landscape of fintech?
If not, then you are at the right place! Today we will talk about the techs that display potential. By developing a better understanding about them, you would be able to assess their impact on your own business and hence make necessary transformation.
So without any further delay, let us get started!
Open-source software, serverless architecture & SaaS
For a new business moving towards financial innovation, speed and scalability are two prerequisites. If you want to beat intense competition under winner-takes-all circumstances then you need to have SaaS, open-source software and serverless architecture for launching new fintech businesses. Serverless architecture reduces cost and eradicates the need for companies to run their own servers. SaaS lets firms use software without the need to maintain them.
Effective use of the cloud can boost efficiency of apps and their maintenance by 38%. The technology can also enhance platform integrity with the help of automated and embedded security controls and processes. There are three major forms of cloud services that financial institutions need to be aware of and they are hybrid cloud, public cloud and private cloud.
Public cloud means that the infrastructure is owned by cloud computing service providers.
Private cloud means that the infrastructure is built for a particular consumer. Hybrid cloud is a combination of two types of cloud.
It allows recording and sharing of information across multiple data sources. Distributed ledger technology can share, synchronise and record data and transactions across a distributed network of people over the same time. DLT will underpin ecosystem financing by enabling storage of multiple transactions at one place. Cross-chain technology will enable blockchain interoperability, letting chains established on different protocols transmit and share value and data across industries including supply chain management and payment processing.
For the global banking industry AI technology is a goldmine. As AI can generate up to $1 trillion of additional value, financial institutions are motivated to adopt an AI-first mindset. It will not only help them to resist encroachment onto their territory but also expand technology firms. Machine-based identification and automated factor discovery are becoming prevalent in financial modelling.
All of the above mentioned technologies are listed by a leading fintech app development company. You now have an understanding about the most appealing techs from the fintech world. If you need to learn more about their functionalities, then make sure to connect with the experts.
These techs are becoming increasingly integrated giving a massive push to the fintech landscape. That is the reason why traditional companies need to incorporate innovation to stay on top of disruption caused by the financial industry.
If you have a digital vision in mind and want to turn it into a reality, then connect with the mobility professionals. They would be able to help you with understanding the best possible way to develop a product.
Make sure to reach out if you have any doubts, but until then, stay tuned to this space for more information. Happy exploring!