Technology has touched many parts of human lives with the most important being making it easier for us to do things quicker and more comfortably. In managing our finances, there have been so many strides by the fintech technology company in that direction. Today, people can go shopping without cash but yet they have access to their money, people can pay for so services without having to move around with cash.
The technology that makes this possible is where fintech companies come in. Fintech simply stands for Financial Technology and it means the way technology is been put to use to improve the financial industry. The companies that have gone through in developing a system through the use of technology in the financial sector are called fintech Companies.
These companies make use of AI, blockchain (cryptocurrency), data science and many more to develop a reliable system that takes care of important roles in our financial lives. In February 2019, Statista reports that there were 5,779 financial technology companies in the United States, which makes them the region with the most financial technology startups worldwide. In Europe, a total of 3,583 fintech companies were in existence in this period. This shows a global trend in embracing financial technology in making financial operations easy.
Some of the services rendered by fintech companies are
- Giving out loans to the public.
- Creating payment platforms.
- Stock trading and many more.
Examples of Fintech Companies
There are thousands of financial technology companies worldwide and trend predicts a lot more to come in the very near future
Piggyvest Saving App: Piggyvest is a Fintech app that’s meant to help people have control with their spending. Started in Nigeria in 2016, Piggyvest allows Nigerians to save their money with different feature and access it on certain periods. You can go through this Piggyvest saving app review to learn more about the platform.
PayPal: Yes! The popular payment platform PayPal is another fintech company. PayPal was founded by 2 brothers John and Patrick Collison and has since expanded to 25 countries. It is a wonderful platform which allows business and individuals to receive payment worldwide.
Paystack: Another payment online platform bringing seamless transaction between business, individuals and buyers financial sphere. Statista also reports that “In the fourth quarter of 2019, there were 305 million active PayPal users account worldwide”. Now that’s a lot of transaction there highlighting how many people have come to use the fintech technology.
Other financial technology companies include Skrill (payment app), Cowrywise (saving app), Zedvance (payday loan app), Cowriepay (payment app), Quickteller (payment platform) and the list continues.
Now, how secure are these fintech companies?
It is not hard to understand our concern in security with anything that has to do with finance. Financial technology companies have always put high security first even before commencing operation.
Fintech companies have found the solution to this by using third-parties security software like WhiteCryption Application Shield and also introducing measures during the application development which makes it extremely difficult for hackers to gain access to important data.
With that said, all fintech companies have to register with the right authority to operate and follow guidelines. So, are the financial technology companies safe? The answer is YES. At least so far everything has been just as planned and it doesn’t seem that there will ever be a problem.
If you’re feeling sceptical of using this not-so-new technology well, you shouldn’t as the easiness it brings to our daily lives is significant. Whether it is a bank app for making transaction, loan app for payday loans or payment platform you should feel comfortable using them.
That’s it with fintech companies, what has your experience been using fintech mobile app to a transaction like pay for a meal or pay when you go shopping?