Technology has disrupted industries around us and the finance and banking industry is one of the most rapidly evolving ones.It is growing at a never-seen-before rate and has given rise to a completely new sub-field called the fintech industry.As 2024 is around the corner, businesses must reevaluate their processes and financial position to ensure that they have a competitive advantage.But, how do you do that? Well, if you are in the finance and banking industry and looking for a list of the top trends that will shape its future, you are at the right place! The following article lists the top finance and banking trends that are sure to change the way the finance and banking industry is operating.So, jump right into the article and prepare to get closer to the future of fintech and banking.Top Fintech Trends Shaping the Finance and Banking Industry Fintech refers to any software, mobile application, or technology that assists businesses like yours and financial institutions in streamlining and automating the conventional methods of making payments for goods and services.Digital wallets, crypto currency exchanges, and electronic fund transfers are a few instances of cutting edge consumer transaction technologies.We have listed some of the pivotal technologies that are sure to affect the financial industry in 2024.
This section touches on topics like AI, Blockchain, mobile payments, and [cyber security](https://www.cisco.com/c/en_in/products/security/what-is-cybersecurity.html#~how-cybersecurity-works), which find implementation in the fintech industry and will surely come to the limelight.1.Blockchain and Crypto currencies Popular blockchain technology and cryptocurrencies like Bitcoin and Ethereum have already made a mark in the [finance and banking industry](https://www.cmarix.com/finance-and-banking.html).The popularity of these concepts is sure to keep rising even in 2024.
Since most businesses and individuals engage in online banking and payments, we can expect broader adoption of cryptocurrencies.Moreover, blockchain allows the development of financial applications that are undoubtedly more secure and transparent.So, we can expect the emergence of new financial products and services that utilize blockchain technology.Since Blockchain ensures the creation and maintenance of a transparent digital ledger that is immutable and decentralized, all recorded transactions are tamper-proof.
On the other hand, cryptocurrencies are an alternative to traditional money and currencies and enable peer-to-peer transactions without the need for any intermediaries.One of the prime finance and banking fields where blockchain technology is sure to have a huge impact is supply chain finance.Since [blockchain](/blockchain-statistics/) allows the creation of a transparent and secure digital ledger, it is a great way to reduce fraud and boost the efficiency of a business’s global supply chain.Ultimately, this will help in lowering costs and will help take the business to the next level without much effort.
2.AI and Machine Learning Artificial Intelligence and Machine Learning have already automated numerous financial processes like fraud detection and credit scoring.This technology has single-handedly contributed to the huge popularity of FinTech or [financial technology](https://bootcamp.cvn.columbia.edu/blog/what-is-fintech/), a field that is in the limelight.In the upcoming year, we can expect the rise of even more advanced applications and the automation of numerous banking processes with the help of AI and ML.
AI and ML can also be a great accessory to analyzing large amounts of data to find patterns and aid businesses in making quicker, better, and well-informed decisions.
Some other areas where these data processing skills can be utilized include the identification of potential market risks or opportunities and the prediction of consumer behavior and spending habits.We can also expect AI and ML to be applied in fields like customer service (by leveraging natural language processing) to ensure customers have access to help 24/7.3.Open Banking Customers should undoubtedly have greater control over their financial data and must be able to share it with third-party providers of their choice.This can be realized through open banking, an idea that is gaining popularity worldwide.So, in 2024, we can expect a widespread adoption of open banking services, which can lead to the development of better and more customer-centric financial products and services.With the implementation of open banking, customers will be able to share their financial data with third-party service providers for better and more personalized financial advice.
It will also help them access better rates on loans and credit cards and can cause the rise of new players offering innovative solutions.Since open banking is expected to provide customers with greater access to financial services, we can expect greater financial inclusion.4.Mobile Payments With the launch of [UPI and mobile payments](/best-mobile-payment-software/), our payment habits have transformed and this change will continue in 2024.
We can expect to witness an increased adoption of mobile payments and new mobile payment technologies like contactless payments and biometric authentication.This will help make mobile payments all the more secure and ensure that customers have better control over their financial decisions.Mobile payments are sure to gain popularity among the younger generations who are more likely to use smartphones for everyday tasks including making payments and other financial activities.So, we can expect the trend of mobile banking to continue taking the finance and banking industry by storm in 2024.5.Cybersecurity As more and more businesses and individuals are relying on technology in finance and banking, cybersecurity is gaining importance.
Another factor contributing to the rising popularity of [cybersecurity](https://www.cisco.com/c/en_in/products/security/what-is-cybersecurity.html) is that cyber-attacks are becoming more sophisticated and frequent.This is why we can expect an increased focus on cybersecurity within the finance and banking industry in 2024.Banks and other financial institutions must invest in cybersecurity measures to protect their systems and data from cyber threats.
Some common cybersecurity measures that are utilized to ensure greater safety and security of financial data include – biometric authentication and the implementation of ML to detect and prevent cyber-attacks.6 .Welltech and Investment Assistance Welltech refers to a field that is a fusion of the wellness and technology sectors.As the [FinTech](/what-is-fintech/) ecosystem keeps expanding, we are witnessing the emergence and increased adoption of Welltech.
In the Welltech industry, businesses focus on leveraging technology to boost an individual’s lifestyle quality (especially in the financial sector).
Some common applications of Welltech include – holistic financial wellness assessments, curation of personalized investment strategies, and analysis of financial habits for better achievement of goals.This is a promising field that is sure to take the FinTech industry by storm and is already being implemented by numerous banks and financial applications.Conclusion With the increased adoption of FinTech technologies and services, the finance and banking industry is rapidly evolving.The trends discussed in the above article will surely help businesses and consumers grab better opportunities and gain competitive advantage in the dynamic finance and banking world.As we approach 2024, we can surely say that the future of finance and banking looks promising and will be marked by growth and innovation.
Do you have an idea for an application that can disrupt the finance and banking industry? Or, do you want to implement these technologies in your existing banking application to better cater to customer needs? We recommend getting in touch with a company excelling in [custom Android app development for finance](https://www.cmarix.com/android-app-development.html) and banking to take the burden off your shoulders!.
