The 5G Tsunami will transform FinTech, are we ready?
The FinTech sector has revolutionized financial services and the way they are delivered. It’s broadened access to credit while creating innovative, customizable products targeted to specific customer needs.
But with the possibility of 5G accelerating the quality and speed of services, FinTech is poised for further transformation. And this will be built on faster internet speeds, greater bandwidth, and connectivity to billions of devices.
The predicted growth in acceptance locations for the consumer will give merchants the flexibility to reimagine how and where customer payments and interactions take place. They could be embedded into almost any device and across contexts. The rise of autonomous Machine-to-Machine interactions driven by sensors could mean the complete removal of human involvement from financial transactions.
Personalization at scale
However, any concerns around reduced personalization are unfounded. The data generated from across touchpoints - video, voice, or even location - promises to be a treasure trove for alternative data underwriting that will allow 1.7 billion people to access a bank for the first time.
Read about how New-age lending calls for a new approach to underwriting
What’s important to remember though is that 5G will only build on existing developments in FinTech and banking. Payments via smartphones are not new - but what the advent of 5G gives us is the opportunity to take a renewed look at financial products and customer interactions.
Context is as important as the offering
It’s time to think about making payments truly ubiquitous in an individual’s life - combining AR, VR, and biometrics to take financial services across devices and sensors. It’s not a stretch to say that carrying wallets will soon be an obsolete notion - so innovating to make finances accessible anywhere and at any time must remain a topmost priority.
The rising popularity of Embedded Finance already has us well on our way to this cashless and wallet-free future. Payment integrations and credit are being embedded across businesses and platforms, making it easier than ever for customers to take loans, pay for their cab rides, apply for insurance, and invest. With 5G around the corner, their expectations around seamless experiences are only set to rise.
Read about how Embedded Finance and the new era of customer experience
Learn more in our E-book
For those curious about the possibilities of Embedded Finance and the ways in which it ties into the future of FinTech, we have just launched an exclusive E-book discussing the Embedded Finance story - its impact, benefits, and use cases.
When it comes to FinTech, the next wave of transformation is never too far - and a forward-thinking approach is the only way to not be swept away.
Learn more about how FinBox is revolutionizing Embedded Finance: https://www.finbox.in/
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Have a good week!
Rajat