Connect with us

Fintech

Trends that will impact FinTech sector in 2021

🔊 Listen to this Article Technological advancements, as we all know, are ever changing and constantly evolving. The FinTech sector follows suit. 2020 has been a consequential year for everyone around the globe. With people being confined to their homes, they solely relied on technology to meet all their needs. The demand for FinTech solutions …

Published

on

Rohit Taneja, FinTech Sector

Technological advancements, as we all know, are ever changing and constantly evolving. The FinTech sector follows suit. 2020 has been a consequential year for everyone around the globe. With people being confined to their homes, they solely relied on technology to meet all their needs. The demand for FinTech solutions continues to increase and the industry is already booming more than ever in 2021.

Digital transformation caught a whole new level attention in 2020 any by the end of the year, businesses, giant corporates, banks and the public had become100% receptive of emerging technologies. With the rise in adoption of technologies in the fintech sector, 2021 will not just be about survival but also about sustainability and convenience.

The technological trends that will impact the FinTech sector are innovative and driven to meet the needs of the consumers.

Embedded Banking and Finance

In simple terms, embedded banking is connecting an entity that has finance & banking at its core to another entity that has a non-financial background.For instance, how Apple & Goldman Sachs joined hands to roll out the Apple Card, introducing finance into a tech-driven ecosystem. Banking as a service is enabling this quantum leap that’s changing the way companies function and interact with consumers.

Embedded Banking

It helps companies recognizevaried innovative services that they can provide to their customers and that can also give them a competitive edge in the market. With the power of API integration, embedded banking can help non-financial companies become a part of the fintech ecosystem. Many fintech companies and other startups are waking up to the benefits of embedded banking and the fundamental role of APIs. The API-led connectivity approach has placed Banking API platforms like Decentro perfectly to partner with banks as a Banking-as-a-service (BaaS) Providerto enable companies to launch the desired banking & financial solutions in just a matter of weeks.

Neo Banking

A hotly discussed topic in the fintech industry, neobank is making waves in terms of how people perceive banking. Neobank is a new-age bank providing financial services to customers but it operates online and has no physical existence anywhere. These services could vary anywhere from payments, money transfers to lending. A neobank has no bank license of its own to operate and relies on already accredited banking partners for licensed services. Neobanks work under considerable constraints in the Indian ecosystem. Globally, Singapore & UAE have started to roll out digital licenses for neobanks to function autonomously. Neobanks require traditional banks by their side to handle customers’ money, and for the banks, it becomes easier to acquire new customers.

Also Read: Global FinTech companies aiming for a post-pandemic India run

E-Commerce

2020 clearly changed online shopping inevitably. The market is transitioning to e-commerce which is clearly indicated through consumer insights during the lockdown and while recovering from it. The tremendous hike in online shopping has provided a new platform to businesses and marketers for harnessing success. Many countries are likely to experience exponential growth in e-commerce in the coming years. What’s more, 40 percent of online shoppers utilised e-commerce solutions precisely because of the limitations imposed by the pandemic, while 45 percent used online shopping even more frequently than they did prior to 2020. In India, we are now seeing a lot of interesting and new models catch up like group commerce, conversational commerce and many more.

Savings and Investment Tech

With the current ongoing scenario, there is an uptake of interest in understanding new channels of investment and ensuring safe and secured savings instruments are part of any investor’s portfolio. People are prioritising their needs over wants. The focus is to build a contingency plan that provides them a monthly income for upto a year. There is also a sharp rise of interest in investing in a wholesome insurance policy that covers all medical and life endangering scenarios.

There is a change in the rent everything mindset of the millennials and preference of home ownership is slowly increasing the investment of younger generation in real estate to add to their security and savings in India.

Cryptocurrency and Blockchain

A global frenzy of digital currency was created in 2020 after almost two years of minimal news coverage. Millennials especially showed keen interest in knowing more digital currencies and the idea of investing in them. Institutional investors are holding bitcoins and other digital currencies as long term investments. Globally, cryptocurrency is constantly being validated and its legitimacy in terms of being an asset is only expected to grow in 2021.

These emerging FinTech trends stemmed in response to customers’ needs worldwide. Advancements in technology are inevitable but 2020 caused a paradigm shift in consumer behaviour and their reliance on FinTech solutions increased manifold. These trends are also subject to change but most likely for the good to maintain financial inclusion and provide a seamless customer experience.

Views expressed in the article are the personal opinion of Rohit Taneja, Founder & CEO of Decentro- API Banking Platform.

mouse

The Banking & Finance Post is an initiative of Elets Technomedia Pvt Ltd, existing since 2003.
Now, Elets’ YouTube channel, a treasure of premier innovation-oriented knowledge-conferences and awards, is also active. To Subscribe Free, Click Here.

Get a chance to meet the Who’s who of the NBFCs and Insurance industry. Join Us for Upcoming Events and explore business opportunities. Like us on Facebook, connect with us on LinkedIn and follow us on Twitter, Instagram & Pinterest.

Source: https://otcpm24.com/2021/05/15/trends-that-will-impact-fintech-sector-in-2021/

Fintech

Global FinTech Markets, 2016-2020 & 2021-2026: API, AI, Blockchain, Distributed Computing, Payment, Fund Transfer, Personal Finance, Loans, & Insurance

The “Global FinTech Market, By Technology, By Service, By Application, By Region, Competition Forecast & Opportunities, 2026” report has been added to ResearchAndMarkets.com’s offering.

Published

on

DUBLIN, Oct. 13, 2021 /PRNewswire/ — The “Global FinTech Market, By Technology, By Service, By Application, By Region, Competition Forecast & Opportunities, 2026” report has been added to ResearchAndMarkets.com’s offering.

Research_and_Markets_Logo

Research_and_Markets_Logo

The Global FinTech Market was valued at USD7301.78 billion in 2020 and is projected to grow at a CAGR of 26.87% during the forecast period.

Rising popularity for digital payments, increased investments in technology-based solutions, supportive government regulations, increased adoption of IOT devices are expected to positively influence the Global FinTech Market in the coming years.

Rising innovations like mobile wallets, digitized money, paperless lending, etc., and adoption of e-commerce platforms across the economies, coupled with rising smartphone penetration have paved the way for increasing FinTech transactions. However, concerns related to data security, lack of mobile and technology expertise may hamper the FinTech market during the forecast period.

The Global FinTech Market can be segmented into technology, service, application, and region. Based on technology, the market can be segmented into API, AI, blockchain, distributed computing and others, including big data, robotic process automation, etc. The AI segment is expected to witness the highest growth rate through 2026.

AI has become a critical element of the FinTech industry in terms of collecting data, analyzing information, and creating customer-centric products. The banking firms across the globe, in order to prevent the loss of sensitive customer information, are implementing advanced risk analytics and fraud detection capabilities that are powered by AI. Increased implementation of advanced risk analytics and fraud detection is contributing to the growing share of the segment.

Based on service, the market can be segmented into payment, fund transfers, personal finance, loans, insurance, and others including equity, wealth management, etc. The payment segment is expected to dominate the market in the year 2020, however the insurance segment is expected to grow at the fastest growth rate in the forecast period.

Based on end-use industry, the market is sub-segmented into banking, insurance, securities, and others including ecommerce, ITR, etc. The banking segment captures the highest market share in the year 2020 and is expected to dominate the market in the forecast period as well. Banks and start-ups in this space are developing e-wallets and payment interfaces to maintain services & deliver a better and faster user experience.

Regionally, the FinTech market has been segmented into various regions including Asia-Pacific, Europe, North America, South America, and Middle East & Africa. Among these regions, Asia-Pacific region is expected to exhibit the highest growth in the forecast period primarily on the account of expanding customer base, largest population share of Gen Z and millennials, and willingness to accept new technology and huge market opportunity to convert from cash to digital payments.

Leading companies are developing advanced technologies and launching new products to stay competitive in the market. Other competitive strategies include mergers and acquisitions and new service developments.

The major players operating in the Global FinTech Market are

  • Ant Group Co. Ltd.

  • Paypal Holdings, Inc.

  • Tencent Holdings Ltd.

  • Robinhood Markets, Inc.

  • Google Payment Corp.

  • One97 Communications Ltd.

  • Adyen NV.

  • Qudian Inc.

  • Afterpay, Limited

  • Nexi SpA

  • Klarna Bank AB

  • Social Finance, Inc

  • Avant, LLC

Report Scope:

Years considered for this report:

  • Historical Years: 2016-2019

  • Base Year: 2020

  • Estimated Year: 2021

  • Forecast Period: 2022-2026

Global FinTech Market, By Technology:

  • API

  • AI

  • Blockchain

  • Distributed Computing

  • Others

Global FinTech Market, By Service:

  • Payment

  • Fund Transfer

  • Personal Finance

  • Loans

  • Insurance

  • Others

Global FinTech Market, By Application:

  • Banking

  • Insurance

  • Securities

  • Others

Global FinTech Market, By Region:

  • Asia-Pacific

  • China

  • Japan

  • South Korea

  • India

  • Australia

  • North America

  • United States

  • Canada

  • Mexico

  • Europe

  • United Kingdom

  • Germany

  • France

  • Spain

  • Italy

  • Middle East & Africa

  • UAE

  • Saudi Arabia

  • Nigeria

  • South America

  • Brazil

  • Argentina

  • Colombia

For more information about this report visit https://www.researchandmarkets.com/r/vxaxin

Media Contact:
Research and Markets
Laura Wood, Senior Manager
press@researchandmarkets.com

For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900

U.S. Fax: 646-607-1904
Fax (outside U.S.): +353-1-481-1716

Cision

Cision

View original content:https://www.prnewswire.com/news-releases/global-fintech-markets-2016-2020–2021-2026-api-ai-blockchain-distributed-computing-payment-fund-transfer-personal-finance-loans–insurance-301399554.html

SOURCE Research and Markets

The Global FinTech Market was valued at USD7301.78 billion in 2020 and is projected to grow at a CAGR of 26.87% during the forecast period.

Source: https://finance.yahoo.com/news/global-fintech-markets-2016-2020-170000318.html

Continue Reading

Fintech

RBI’s auto debit rule may trigger tax woes for fintech startups – NewsEverything Expertise

Mumbai: The Reserve Financial institution of India’s (RBI) auto debit rule may convey tax problems for fintech corporations which have arrange platfor

Published

on

Mumbai: The Reserve Financial institution of India’s (RBI)
auto debit rule may convey tax problems for fintech corporations which have arrange platforms for banks to combine with a standard e-mandate platform to make sure compliance.
Fintech corporations run the danger of attracting a 2% equalisation levy in addition to extra items and providers tax (GST) at 18% on a part of the cash they make by such an association, particularly in transactions the place an Indian citizen has subscribed providers of a overseas OTT participant or he/she buys items and providers from an organization not primarily based in India.

Cost aggregators Razorpay, BillDesk and PayU have arrange platforms—MandateHQ, SiHub and Zion, respectively—that may present a “bridge” for banks to finish the transactions.

With the introduction of a brand new middleman—other than financial institution—between the client and the abroad service provider institution (Netflix, Apple retailer, and so forth.), tax implications have cropped up. The fintech platform offers extra issue authentication, notifications to prospects and dashboard for subscription administration to banks for a charge.

RBI-Auto-Debit

How equalisation levy—2% cost on any transaction involving a overseas firm over the web—and GST shall be charged will rely on the construction of fintech participant’s entities and the way the transaction is routed, say tax consultants. They are saying there might be various methods the place the federal government’s new equalisation levy may come into play.

ALSO READ TECH NEWSLETTER OF THE DAY

ET Startup Awards 2021, Oyo files for $1.2B IPO, and more

From the ET Startup Awards 2021 to 28th Indian startup unicorn of 2021 and Oyo’s long-awaited IPO submitting, it’s been an action-packed few days at ETtech.
Learn Now

“The danger of the platforms attracting a 2% equalisation levy on the charge that platforms will cost to retailers exists,” stated Girish Vanvari, founder, tax advisory agency Transaction Sq.. “The two% equalisation levy — because the definition suggests — is relevant on any abroad transaction and it might be levied even the place the service provider or the businesses which are charged will not be primarily based in India.”
First, if the financial institution from which the cash is being deducted isn’t primarily based in India or would not have a tax presence in India — the charge or any cash charged by the fintech platform will face 2% tax.

The second chance will rely on how the transaction is structured. If the charge acquired even from an Indian financial institution would not straight come to an Indian entity — this too may appeal to a 2% tax.

If the cash goes by a subsidiary of the fintech firm, say established in Singapore or the UAE earlier than it makes it to the overseas service provider, even these may appeal to the levy. And there’s a GST implication too, say tax consultants. If the cash deducted from an Indian’s debit or bank card goes by way of the fintech’s books earlier than it is remitted within the overseas retailers’ account, GST can come into play, say tax consultants.

“Providers supplied by the fintech corporations for validating transactions may appeal to GST on each the arrange charges and transaction charges charged by them,” stated MS Mani, associate, DeloitteIndia.

BillDesk and PayU didn’t reply to ET’s queries. “Our resolution doesn’t work together straight with on-line retailers once they arrange mandates for cardholders transacting with them,” stated Amitabh Tewary, chief innovation officer, Razorpay. “Razorpay doesn’t cost any charges to on-line retailers for this service.”

RBI’s new guidelines that come into drive from October 1 mandate that banks can solely course of auto-debit transactions in the event that they ship a pre-debit notification to prospects not less than 24 hours earlier than the cost.

Most banks neither have expertise nor do they want to spend money on it for enterprise such transactions and have as a substitute turned to fintech corporations to supply transaction platforms.

Comply with News Everything for News At the moment, Breaking News, Newest News, World News, Breaking News Headlines, Nationwide News, At the moment’s News

#RBIs #auto #debit #rule #tax #woes #fintech #startups

Source

The second chance will rely on how the transaction is structured. If the charge acquired even from an Indian financial institution would not straight come to an Indian entity — this too may appeal to a 2% tax.

Source: https://newseverything.in/rbis-auto-debit-rule-may-trigger-tax-woes-for-fintech-startups-newseverything-expertise/

Continue Reading

Fintech

Daily Fintech Series Roundup: Top Fintech News, Analytics and Insights

The updates will feature state-of-the-art capabilities in Fintech insights, Trending fintech news, Crypto, Fintech SaaS, Fintech Cloud, Analytics and AI ML.

Published

on

September 14, 2021September 14, 202100

FTS Daily Roundup starts today! We are covering the top updates from around the world. The updates will feature state-of-the-art capabilities in Fintech insights, Trending fintech news, Crypto, Fintech SaaS, Fintech Cloud, Analytics and AI ML. We will cover the role of FTS Daily Roundup and its application in various industries and daily.

MonetaGo Provides First-Ever Global Solution to Duplicate Financing Fraud in Trade Finance

MonetaGo, a financial technology solutions provider, announced a new platform to combat financing fraud in trade finance on a global level. The world of trade finance has repeatedly been the victim of duplicate financing fraud. In such cases, firms may secure financing in the country of origin, the destination country and a financial center – all on the same trade.

bunq Partners With Paysafe to Enable Cash Deposits for Digital Banking

bunq, the app-based Dutch challenger bank, has partnered with leading specialised payments platform, Paysafe, to provide customers with access to cash services. Customers who prefer to use cash in their daily lives can now use Paysafecash, one of Paysafe’s eCash solutions, to conveniently add cash into their bunq accounts.

Influ2 to Present at Gartner Marketing Symposium/Xpo

Influ2, a Person-Based Marketing platform that allows B2B marketers to reach key decision-makers within their target accounts, announced that the Head of ABM, Daria Ivanova, and VP of Marketing, Nirosha Methananda, will speak at this year’s Gartner Marketing Symposium/Xpo.

Avex Market Launches State of the Art Crypto Trading Platform

Speculations regarding the possible adoption of cryptocurrencies as legal tender all over the world have enhanced the crypto market’s volatility. For that reason, newly launched trading brand Avex Market has announced that it is implementing a trading platform with unprecedented technology.

Bitlocus Exchange Announces the Private Sales Round for Its Native Token

We’re delighted to announce that registration for the Bitlocus token private sales, a fast-developing DeFi investment platform for fiat-based investors, has opened. Considering DeFi as a fast-paced industry with constant innovation and an expanding ecosystem, many investors and businesses find it difficult to grasp or integrate this into their operations, preventing them from accessing the many benefits and potentials of the fast-growing industry.

Source: https://globalfintechseries.com/fintech/daily-fintech-series-roundup-top-fintech-news-analytics-and-insights-14-sept/

Continue Reading

Trending