The last couple of years has seen the world develop the best expertise in the financial sector and more precisely, in financial technology. It has been improved rapidly due to factors such as availability of funding, technological evolution, support from governments and changes in tastes and preferences of customers. FinTech is defined as the use of technology in providing a wide range of financial services and London-based startups have a key role in shaping its future.
Why embrace FinTech?
In the United Kingdom, the banking sector has been holding a tight grip on almost every aspect of financial services for many years. It was being supported by a complex regulated environment which upholds the importance of trust and reputation. A distrust in banks due to their financial crisis has led to the emergence of a new breed of user; a user who is open to using new technology in his/her financial life. This user embraces technological innovation. People call this type of users’ millennials and small business proprietors. Millennials have enabled new players to come into the market and disrupt the financial sector to ultimately gain a market share from their traditional counterparts. London is among the top cities in the globe experiencing this revolution.
Banking, financing and much more
FinTech innovators have actually diversified across a wide range of services to get more consumers. Some of the financial sectors being reinvented by tech organizations include payments, retail banking, insurance and lending and financing. Payments is the largest FinTech sub-sector in London and the UK as a whole. It is estimated to be worth ten billion pounds. Some organizations in this industry such as WorldRemit and TransferWise provide fast and cheap international payments. Other organizations such as AgentCash help retail enterprises keep track of their cash flow. Others such as Apple, Amazon and PayPal provide smart payment services which allows users to accept payment through a smartphone or tablet.
In the retail banking industry, consumers want a great service and instantaneous feedback. User experience can only be improved when the systems improve. Technological advancement has led to systems improvement. This is why the big banks are being left behind by some new generation banks, such as Revolut, Monzo or Starling. Most of the online platforms enable consumers to set up a portfolio and start enjoying the benefits in less than fifteen minutes. Lending and financing firms are taking off today like never before. Connecting those who want to invest their money and those who need finances has been the key.
The world of gold investments
Bitcoins are making it to the headlines when it comes to new investment options. Alongside the digital money phenomenon, the world of gold investments is also being transformed and Goldex is leading this revolution. Gold is a solid investment to preserve long-term wealth but traditional gold providers are opaque and make use of abusive practices to clients. That is why Goldex wants to disrupt the status quo. The first smart gold trading technology in the world is here to make physical gold purchases and sells fairer, smarter, more accessible and more fun. From London to the world.
London is perceived to be a city that boasts strong financial services. It has the best software expertise in Europe and consumers who are flexible and open to change. FinTech organizations are growing at a rapid rate in the UK. The need to have the right talent is also growing. Technology has improved the way we work and the way services are offered to us. London is a world hotspot. This is the best time to live. We look forward to a brighter future.