Fintech in Asia
FinTech has seen a huge growth in 2017 and that is not expected to slow down anytime soon. Especially Fintech in Asia where innovation is strong and countries like China are leading the way in FinTech. Banks in Asia will need to find ways to reduce costs more effectively as new forms of money transfers start to come up. Banks are in danger of losing customers to new forms of payment transfers.
Companies like Tencent and WeChat in China and even Kakao in Korea are already active in financial services space. This shows how much farther advanced Asia is compared to America. Whats App and even a big company like Facebook have not gotten into financial services. Once the west sees how well big corporations and unicorns in Asia are doing with FinTech they will also get in on it as well.
There are a lot of verticals in regards to FinTech. This will allow for many few jobs to open up in the financial sector. P2P payments, the blockchain, and others will allow for even more innovation into FinTech. With the launch of the India Stack, India is going to be a leader in regards to FinTech. The financial services industry will forever be changed in India which has the second highest population in the world. The India Stack already has digital entities already issued to over 1 billion people which allows for a single interface for all of the countries bank accounts and wallets. In 2018 look for other countries to copy India’s model.
Customer service for online banking will all be dominated by Chatbots. Even insurance claim processing will be done by AI, which will allow for banks to cut overhead costs. Banks will therefore not have many bankers as they once use to have which could mean less funding offered from banks to FinTech Startups in Asia. FinTech startups will have to look for investments through crowdfunding or Angels in 2018 more than ever before. Also look for many western FinTech startups to test their service in Asia. The best places to start would be Hong Kong or Singapore.
It is going to be great to see the new innovations and technologies related to FinTech in 2018.