The rise of technology and seismic demographic shifts may impact the finance technology world
The global fintech industry has grown significantly and now there is potential for this disruption to be turbo-charged.
With estimates suggesting that more than $70 billion in venture capital has been raised to support the industry in the past two years alone.1 This trend is expected to continue with forecasts of growth ranging from eight percent to more than 20 percent per annum by 2025. The pace of technological development, the willingness to fund that development and the rapid adoption of this technology, especially by younger generations, have been key drivers.
It remains to be seen whether the effects of COVID-19 will further accelerate this trend, though early reports suggest that as social distancing has become more universally adopted, there has been strong growth in digital financial services.
In this article, learn about the three fundamental reasons driving this shift:
- Seismic demographic change
- A burgeoning middle class
- Further digitalization of financial services
1 CB Insights 2019 “State of Fintech: Investment & Sector Trends to Watch”