Finance professionals and firms are in the midst of a massive transformation. Technological advances — like robo-advisors, blockchain and digital banking — are changing how people save and spend their money. The implications of these advancements are profound, and a career in financial technology requires an understanding of how they work.
While many fintech innovations are being developed behind the scenes at banks, they also touch other sectors including retail, insurance and fundraising. Some of the most popular fintech tools are mobile-based apps that let users manage their accounts online, or neobanks (digital-only banks) that don’t have any physical branches.
The evolution of fintech started in the mid-twentieth century, with the introduction of NASDAQ and SWIFT (the system that allows banks to communicate). These technologies allowed for global means to share information about investments and financial transactions, which were previously done locally or via mail.
The second era of fintech began with the advent of personal computers and the internet. It has led to the creation of new, agile ways to trade stocks and currencies, as well as to more efficient ways to transfer money internationally. It has also transformed the way that consumers interact with their financial institutions, lowering fees and allowing for more options. Today’s fintech revolution has expanded into a broad field that encompasses everything from cryptocurrency to automated investment advice. As this sector continues to grow, it’s important that financial educators understand how to prepare students for a career in fintech. https://greyjournal.net/hustle/work-tech/navigating-the-new-challenges-for-fintech-startups-in-a-changing-economic-landscape/