FinTech Adoption Slower Than Expected | Hacked: Hacking Finance
user

Articles

FinTech Adoption Slower Than Expected

Posted on .

FinTech Adoption Slower Than Expected

Introduction

This article was posted on Friday, 07:31, UTC.

The chief executive of Holocentric has said that while there is no shortage of innovation in the FinTech industry, adoption is taking place at a much slower pace due to integration issues.

// -- Discuss and ask questions in our community on Workplace. Don't have an account? Send Jonas Borchgrevink an email -- //

In a report from FinTech Business, Bruce Nixon said:

“With any new technology, there is hype and prototyping and testing and a lot of start-ups involved, but it takes a while for that to be melded into something that is robust and can be mutually accepted by a certain market.”

He adds, though, that an increase in the number of FinTech startups and changing customer needs means that startups are revolutionizing the market leaving other organizations struggling to keep up.

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

He adds:

“The whole fintech space is breaking down the old barriers to the way things are done, but we’re not going to see it adopted as quickly as we’d like.”

Banks Weary of FinTech

Across the globe different countries are embracing the FinTech industry as more industries realize the benefits that the blockchain can provide.

Yet, while banks are beginning to see the benefits too they are doing so at a much slower pace. Not only that, but limited trust in the sector is showing that banks have a long way to go before they embrace the technology completely.

Many, however, may see this approach as the best way forward. After all, you only have to look at the result of the DAO hack to see that concrete measures need to be in place to ensure the safety of a decentralized system from hackers.

Of course, banks are working at implementing the blockchain into its services even if they are doing so at a cautious pace.

The UBS wealth chief announced last month that banks are now focusing on working with FinTech companies instead of regarding them as competition.

This news comes in light of the fact that many European FinTech firms believe that banks are lobbying against the EU PSD2 regulation that would force banks to open up access to payment account information to third parties such as financial technology firms.

This would essentially help customers put more trust in FinTech companies, but many of the firms believe they are not keen to share the information.

As a consequence, the adoption pace is much slower than many would like to see, but the fact that it’s happening at all is a positive as the benefits and the collaboration are slowly realized.

Featured image from Shutterstock.

Important: Never invest money you can't afford to lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here.



Feedback or Requests?

Edward Talliot

Edward Talliot

Multiple journalists and analysts are behind the name Edward Talliot.

There are no comments.

View Comments (0) ...
Navigation
The team:
Dmitriy Lavrov
Analyst
Dmitriy Lavrov is a professional trader, technical analyst and money manager with 10 years of trading experience. He covers Forex, Commodities and Cryptocurrencies. He is among the top 10 most Read More
Jonas Borchgrevink
Founder
Jonas Borchgrevink is the founder of Hacked.com and CryptoCoinsNews.com. He is a serial entrepreneur, trader and investor. He shares his own personal journey on Hacked.com. // -- Discuss and ask Read More
Mate Csar
Analyst
Trader and financial analyst, with 10 years of experience in the field. An expert in technical analysis and risk management, but also an avid practitioner of value investment and passive Read More
Mati Greenspan
Analyst
Senior Market Analyst at Etoro.com. // -- Discuss and ask questions in our community on Workplace. Don't have an account? Send Jonas Borchgrevink an email -- // Important: Never invest Read More
Rakesh Upadhyay
Analyst
Rakesh Upadhyay is a Technical Analyst and Portfolio Consultant for The Summit Group. He has more than a decade of experience as a private trader. His philosophy is to use Read More
Pamela Meropiali
Account Manager
Pamela Meropiali is responsible for users on Hacked.com. // -- Discuss and ask questions in our community on Workplace. Don't have an account? Send Jonas Borchgrevink an email -- // Read More
Joseph Young
Journalist
Joseph Young is a finance and tech journalist & analyst based in Hong Kong. He has worked with leading media and news agencies in the technology and finance industries, offering Read More
Have you ever thought people are going to find out…