New Generation of FinTech
Blockchain technology acquires its maturity as more and more prototypes make their way towards pilot projects and are leveraged as full-scale solutions. And absolute majority of them are situated in the realm of Financial Services, mostly with rebellious Fintech start-ups. Though their number in 2018 has dropped to 46% against 82% in 2017 , it is still the mainstream of blockchain technology application.
Appealing and unique properties of a blockchain which make it so desirable a companion to Fintech are transparency, reliability, immutability and elimination of both data tampering and middlemen. The latter have been a significant part of the whole Financial industry for so long a time, that until recently there were no doubt of their position. And now disruption has come in the form of automated immutable ledger, or the blockchain.
Financial incumbents are concerned about the situation, as reports show  many of them ( up to 80% ) are considered running blockchain projects in different stages. As the pace of technology evolution keep growing, the later one had participated the less are the chances to catch up on one’s own. One can see it in action as more and more ideas of Fintech startups are adopted or purchased, and then implemented with all the might of financial institutions. Numerous examples have demonstrated readiness with which powerful market players are participating into innovation.
Nethertheless, as any novation, blockchain is yet to conquer its true place in the world and in Financial Services in particular. Lots of issues are under development regarding general acceptance and regulatory compliance. But these obstacles are losing their ground with each new successful implementation, with each new breakthrough brought to the world by inventive teams.
Currently, the potential of the blockchain which inspires entrepreneurs is crystallized into
- Automation of the trading process in its financial parts,
- Security of Transactions, and
- Ability to store financial records permanently.
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