27 Sep 4 Reasons Why you Should Invest in Fintech Software Development?
Though a bit late to the party, fintech software development is surely becoming a business essential. It is also proving to be quite beneficial when it comes to making purchases online, sending/receiving money online, and banking, etc. Simply put, digital transactions are the go-to choice for many people. Especially, since the COVID-19 outbreak.
Also, through integrations like blockchain, fintech is generating new revenue streams, making processes more efficient & seamless, delivering an exceptional user experience, and making business risk-free. Businesses and consumers alike are reaping the benefits of fintech innovations.
Global finance leaders are promoting the idea of investing in fintech software development because they believe it can revolutionize the industry.
Fintech companies are gaining momentum because of the more affluent and tech-savvy generation. Financial technologies are also gaining traction because it allows small business owners, women, minorities, and immigrants, access to raise funds. Which was rather difficult to do before the advent of such technological innovations.
Let’s take a look at 4 reasons why you should invest in fintech solutions.
4 Benefits of Fintech Software Development
Conventional banks and other financial institutions find protecting user and business data quite challenging. Many organizations are making huge investments in fintech software development to eliminate the vulnerabilities and financial losses caused by cyber-attacks.
Besides securing valuable data, it also delivers convenient transactions, which paves the way for smooth business operations & cash flows. A good cybersecurity strategy should comprise robust encryption and proactive/preventive security measures, instead of waiting for cyber-attacks to occur. Companies of the future must make use of fintech for deeper understanding, traffic monitoring, & eliminating potential threats.
Fintech applications drastically reduce servicing costs, while delivering better results. For starters, it automates financial processes and relies less on human intervention.
Fintech companies also don’t have to make hefty investments in archaic business operations like call centers to cater to customer needs. That’s because these companies already have access to insightful customer data through fintech software and whenever a problem arises, it is highly likely that they are familiar with them beforehand and already working to resolve them, which also leads to seamless services and enhanced user experience.
Tech-driven financial companies are implementing the latest tools to ease their daily state of affairs and as a result, spending zero to no regulation fee, compared to conventional banks and financial services.
According to World Economic Forum, Blockchain was worth $20 billion in 2015 and is estimated to be equivalent to 10% of the global GDP in the next 5 – 6 years. Moreover, a majority of American & European banks are allocating huge resources in fintech software development to maximize security and smoothen financial operations.
The fintech market is largely made up of cryptocurrencies and a lot of startups are establishing their businesses around one of the most promising blockchain-powered cryptocurrencies, Bitcoin. The adoption of blockchain, however, became prominent due to decentralization. Customers today, demand complete control over their finances.
A few years ago, decentralized systems that provide flawless functionality, charge no fee, and minimal government involvement was a dream. Thanks to blockchain, however, all of this is fast becoming a norm.
4. Mobile Apps
One of the most prominent features of fintech is digital payments. Its value is estimated to reach a whopping $8,266,917 million by 2024 and the mobile payment market, in particular, is expected to rake in over $8,724 billion by 2027.
Some of the reasons behind these promising statistics are efficient & convenient transactions. This translates into enhanced user experience, maximum transparency, and access to information. Something that was not possible before the advent of fintech.
Some examples of fintech apps are PayPal, Google Pay, Square, and Robinhood, etc.
The benefits of financial technologies have already convinced many companies to join hands with fintech companies in the near future. An Ernst & Young study estimates that around 25% of the world’s small and medium-sized businesses have opted for fintech to cater to their financial needs and it would be rather unwise to place your bets somewhere else.
The promising future and consistent technological advancements make fintech the right choice for you to gain maximum return on investment and deliver the best user experience.
Looking for the best software development company for your fintech startup or existing software enhancement? Get in touch with Intagleo Systems.