Would you consider yourself one of those guys who think differently about money? If yes, then this article is for you.
The Fintech industry has always intrigued me and I’ve always wanted to understand it from the ground up. Reading several books on money and fintech (Psychology of Money ~ “By MORGAN HOUSEL”, Bank 4.0: Banking Everywhere, Never at a Bank ~ “By BRETT KING”) and many others, is an interesting thing to learn about.
Understanding FinTech
In the fintech industry, any business that innovates, enhances, or automates financial services is considered a fintech company. Some examples include mobile banking, and peer-to-peer payment services (e.g., Phonepe, Paytm). It can also apply to the development and trading of cryptocurrencies (e.g., Bitcoin, Dogecoin, Ether).
By simplifying financial transactions, FinTech makes them more accessible to consumers and businesses. Moreover, it can also be applied to companies and services that use artificial intelligence, big data, and encrypted blockchain technology to facilitate highly secure transactions within their network.
It is a big figure when we talk about Fintech companies’ contribution to India’s GDP. Indian fintech market has received $29 billion in funding across 2,084 deals to date (January 2017-July 2022), gaining 14 per cent share of the global funding and No 2 spot on the deal volume, a new report has said.
The India fintech ecosystem has 23 unicorns (out of 106 in total) and has reached a scale to establish a strong position in the global financial services market and be benchmarked for its speed of innovation, customer inclusion, and growth, the report noted.
India will be one of the leading economies in Asia in this area over the next twenty years thanks to its fast-growing financial services sector. Two important factors fueling the trend are rising income levels and a greater focus on inclusive growth by governments.
In terms of economics, fintech is expected to boost India’s GDP by $950bn USD by 2025, reducing poverty and enhancing financial inclusion. As a result of digital banking, India is expected to create around 21 million jobs while boosting its GDP by 2 percent.
My upcoming article will discuss more Digital Banks, Neo Banks, and Fintech apps like FiMoney, Jupiter, Slice, Uni cards, and OneCard Credit Cards.
Thanks for your time. 🙂
