- As incumbent banks and insurance companies struggle to compete using legacy IT systems and infrastructure, disruptive new banking and financial services platforms are taking market share.
- Global fintech investment in 2017 remains historically strong, matching the $31B invested in 2016.
- European regulators are creating fintech regulatory sandboxes, where innovative new technologies can quickly be deployed and tested.
- Billions, who were previously excluded are joining the global economy via innovative banking, finance, payment and identification technologies.
- While blockchain and AI are exciting new technologies, investors should be wary of marketing buzzwords and look instead for how these technologies are being applied.
- Part of Our Coverage on Decentralization in Banking and Finance
In the last three years alone, global fintech investments have grown to a total of $122B, led by the U.S., China, and the European Union. Decentralization is being driven by millennials who are seeking responsive, cost-effective, and transparent banking and finance platforms. Incumbent banks are both under competitive threat from and reliant on fintech startups to bring innovation from the outside.