Walmart is using Blockchain, especially digital ledger technology, to simplify the data tracking and management process. Furthermore, Walmart is testing Blockchain with IBM to track the meat and poultry products sold in its outlets. Blockchain is one of the latest FinTech trends that the company is using in its day-to-day operations.
With Blockchain integration, the company can track the product back to where it came from. It can track the product from the farmer to the broker, distributor, and finally, the retailer.
The Libra cryptocurrency project is an implementation of Blockchain by Facebook. The platform will include government-backed currencies as well in the project. In reality, this platform can become the first-ever platform to introduce the digital dollar.
With Blockchain technology, the company is taking a huge step toward managing troves of data that currently has billions of users.
Latest finTech Trends Drive Global Industry Growth
The RegTech market will reach $55 billion by 2025 at an expected CAGR of 52.8%. Regulatory processes and compliance are crucial for proper FinTech accessibility. Therefore, the market will see tremendous growth in the coming years.
Banking-related chatbot interactions will see a 3150% increase by 2023 as compared to 2018. Customers are now inclined toward getting quick responses to their banking queries. They avoid visiting a branch for small and common questions that arise. It is one of the top FinTech trends that is witnessing massive growth.
The global AI in the FinTech market will reach $27 billion by 2026, with a CAGR of 23.17% from 2021 to 2026. Artificial Intelligence is one of the most significant trends in FinTech. It is changing how banks, financial institutions, and customers interact with each other.
Top FinTech Trends: Present and Future
Modern times call for modern technologies that can simplify services. FinTech is going through a dramatic change as new technologies come into the picture. Let us look at the top FinTech trends that are defining the industry.
In banking and finance, Blockchain provides complete transparency. It provides an automatic record of data – a digital ledger of how the money came, where it came from, and where it was spent.
Blockchain is leading to the decentralization of finance. It helps in identifying unusual transactions and fraudsters by tracking all the transactions. Blockchain also helps in faster international transactions through minimum commission.
- Artificial Intelligence
Artificial Intelligence or AI is a boon for banks and financial institutions. As one of the biggest trends in FinTech, it offers a variety of use cases. Most importantly – AI is enabling banks to tackle frauds and cybercrimes.
By studying the patterns and unusual behavior of data, AI & ML algorithms can easily identify if somebody is trying to hack into the system.
Along with this, AI chatbots are quickly gaining momentum. Customers now prefer to chat with a bot that can answer their queries much faster than a human.
The Regulatory Technology or RegTech market is growing rapidly. In accounting, taxation, legal finance, and more – regulations and compliance play a significant role. RegTech platforms enable banks and financial institutions to simplify compliance management and work within the regulatory frameworks.
RegTech platforms monitor data security as well. It eliminates any chances of fraud. RegTech helps with the proper implementation of security, compliance, and regulatory measures that govern the FinTech industry.
While the above 3 are the top FinTech trends that are growing, other trends like Open Banking, Digital Wallets, Virtual Cards, RPA, Voice Payments, etc., are proliferating. These emerging trends in FinTech are on the trajectory to change the FinTech industry for a long time.
Today, digital banking is the new norm. People are paying through mobile wallets. The FinTech industry is going through a period of transformation. As users become more reliant on technology, investments in product engineering services for FinTech will multiply.
The implementation of FinTech requires expertise that can create exceptional products. A global software product engineering company offers the domain expertise, developer experience, and technical skills to create next-gen FinTech products. Hiring professionals is a great way to begin your FinTech journey.
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