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Technological advances are changing our daily lives and businesses are no exception. Be it E-commerce, education, banking sector, or the travel industry, custom fintech software development is making headlines and every business wants a piece of this revolutionary new tech. Let’s try and understand what it is, what are the benefits, and also look at some real-world Fintech applications.
“The Global Fintech Market is expected to reach a value of $305 Billion by 2025” – PR Newswire
What is Custom Fintech Software Development?
The term Fintech encapsulates all the technologies used in B2C financial services sector & it helps companies provide seamless, fast, and secure online payment solutions to their customers. If you have ever been involved in sending and receiving money via online payment services like PayPal, you are part of the fintech world too. This new technology has completely revolutionized how people make transactions and has business owners spending big bucks on custom fintech software development.
“The major winners will be financial services companies that embrace technology.” – Alexander Peh, PayPal & Braintree
What is Fintech Made of?
In the beginning, fintech was the backbone of banks and other financial services only. Today, it has grown to a much larger scale and a plethora of online services (B2C in particular), are benefiting from this latest technology in software development.
The most interesting aspect, however, is that anyone can now buy & sell online, trade stocks, or manage personal finances. All it requires is a smartphone, an internet connection, and reliable online payment services like PayPal or Google Pay & Voila! You’re good to go.
But why are companies spending fortunes on fintech software development? What is all this hype about? Well, it comes down to the state-of-the-art and sophisticated science that makes fintech possible. Here are some technologies that contribute to it.
Artificial Intelligence(AI) & Machine Learning(ML)
From Deepfake to Robotics, AI & ML are making these technologies near perfect and unsurprisingly, the financial sector is benefiting from these innovations as well. Companies can now perform credit scoring, detect a fraud attempt before it happens, and manage wealth faster & more efficiently.
“Artificial intelligence would be the ultimate version of Google. The ultimate search engine would understand everything on the web. It would understand exactly what you want, and it would give you the right thing. We’re nowhere near doing that now. However, we can get incrementally closer to that, and that is basically what we work on.” — Larry Page
Big Data & Analytics
They say data is king, and rightly so… These days, a person’s online information is the most valuable asset for a company. With thousands of terabytes of data generated every day, it becomes rather challenging to process the information without the help of some technological intervention.
With the help of data analysis software and mathematical algorithms, companies gather large amounts of user data to make effective strategies. This allows the bosses to save time & money, make informed decisions, and literally predict what the next customer is looking for.
Robotic Process Automation (RPA)
RPA helps in assigning manual and time-consuming tasks to software and robots. The most common fintech applications of Robotic Process Automation are e-mail marketing, transaction management, and communication via ChatBots.
Another important ingredient of Fintech applications development is the use of Blockchain technology. With it, large amounts of online transactions can be made securely and with ease. End-to-end encryption in Blockchain reduces the risk of cyber attacks exponentially. It is also the foundation of cryptocurrencies like Bitcoin.
It is safe to say that the Millennials, knowingly or unknowingly, have played a vital role in shaping the Fintech industry. They live and breathe technology and demand the best experience in everything they do. This ever-increasing interest in such innovations is paving way for financial technology to grow rapidly and make people’s lives easier while doing so.
Looks like sky is the limit for fintech.
If you’re looking for a team of professional eyes & ears to help you make informed financial decisions, InvoZone can help you. It is one of the most credible custom software development companies and has catapulted the growth of many new businesses around the globe. InvoZone specializes in state-of-the-art AI technology and has helped companies grow their digital presence. Get in touch with us & let’s do this together.