9 Fintech Trend 2024: Looking To The Future Of The Financial System And Banking Of The Digital Era

Tren fintech 2024 (Freepik)

YOGYAKARTA - Financial technology (Fintech) is increasingly popular and continues to be developed today. The banking and financial industry is taking advantage of technological advances to keep up with people's habits in the digital era. Since the last few years, many fintech platforms have emerged, so what is the trend of fintech 2024?

Fintech growth has occurred massively in line with the development of the digital economy in recent years. The digital economy has brought many changes in people's behavior, ranging from shopping activities, financial management, investment, and so on.

To meet the needs of the community in the digital era, companies engaged in finance and banking are also competing to present fintech. Fintech has become common and close among users of digital technology, such as mobile banking, online investment, e-commerce, and so on. Entering the turn of the year, it is important to see the trend of fintech in 2024 and its benefits.

The presence of financial technology provides many benefits or positive impacts for banking companies or financial service providers and consumers. By implementing fintech, companies can provide a variety of financial services to facilitate and pamper consumers.

Over time, the future of fintech in the financial and banking industry is expected to accelerate. The 2024 fintech trend will be a promising innovation and new opportunity in line with digital technology literate communities.

Here are some predictions of fintech developments in 2024 that are important to watch:

The use of artificial intelligence (AI) technology has become increasingly massive in the past year. AI technology is an important component needed in the fintech world, so it is predicted that the financial technology 2024 trend will be implemented by many artificial intelligence systems.

Apart from AI, machine learning (ML) also plays an important role in fintech development. Now fintech companies are taking advantage of AI and ML to seize new opportunities and compete with competitive markets.

The application of this technology is very useful in the banking and financial industry to improve the performance of companies and user services. For example in payment services, risk management, data analysis, investment, and others.

The 'buy now, pay later' (BNPL) transaction system is familiar with people who often buy and sell online. This transaction method is increasingly popular and popular with consumers because it allows the purchase of products or services with more flexible financing.

In 2024, it is predicted that more fintech will implement a 'buy now, pay later' payment system. Many fintech platforms have implemented BNPL systems, such as e-commerce, mobile banking, e-wallet, ticketing platforms, and others.

The BNPL transaction method is not only useful for consumers, but also benefits business owners. It is proven that the BNPL system is able to increase sales and affect consumers' desire to make purchases. Moreover, this payment system is very attractive to millennial generation and gen Z.

The 2024 fintech trend will undergo a transformation because it is driven by software as a service (Saas) growth. There have been many fintechs that have experienced the tremendous impact of SaaS's implementation to improve the security and comfort of the company and its users.

The use of Saas in fintech is projected to grow exponentially by 18% by 2024. Saas offers a number of advantages for the fintech industry for finance and banking, ranging from the convenience of cloud-based applications, eliminating complexity for users, and improving system security.

Another innovation that will become a trend of fintech in 2024 is the integration of open banking API. API open banking is driven by several factors, such as potential growth, transformation, and collaboration between developers and financial institutions.

With open collaboration between fintech and banks, open banking AI offers a number of advantages in financial needs. This banking system allows companies and users to share data without a hitch, increase efficiency, and speed up financial services.

The 2024 fintech trend will also be enlivened by contactless transactions and cross-border payments. The implementation of the non-contactless transaction system is getting closer to the current community. In addition, many fintech industries and financial institutions have established cross-border payment cooperation.

Contactless transaction brings comfort and security in financial needs. In online shopping activities, this system is useful for accelerating the payment process and avoiding fraud. Meanwhile, cross-border payments will increase in line with the implementation of the digital economy globally.

Mobile payment is also a fintech innovation that is familiar and widely used by the public. With users continuing to increase, mobile payment will also become a fintech trend in 2024. The mobile payment system is increasingly popular with users getting used to shopping online and e-commerce appears.

The trend of using mobile payments is driven by the convenience and security offered through this payment system. It is predicted that online buying and selling activities to total retail will reach 8.7% by 2026. In addition, e-wallet or digital wallets will also be widely selected payments method next year.

Regulatory Technology (RegTech) has recently been present as a pillar of digital transformation in the banking industry and financial services. RegTech is a technology that helps monitor regulatory processes in fintech.

Business in the RegTech sector usually deals with reporting, tracking and regulatory process compliance issues. Although this term first appeared in 2008, the RegTech market is predicted to experience growth and become a trend of the fintech industry in 2024.

Voice integration technology is also predicted to color the trend of fintech in 2024. It is evident that currently the use of voice integration is currently popular on Google. Many people are getting used to conducting voice searches instead of typing queries or keywords in search engines.

The voice integration system is widely popular because it offers more personal speed and convenience. With users increasing, voice integration has also begun to be used by several fintech companies such as PayPal, Citibank, and others. In the fintech industry, this system is useful for voice payments, financial guidance, user verification, and others.

Property technology (proptech) is also expected to experience a revival in the fintech trend in 2024. Protech offers a number of solutions for companies and users, such as increasing transactions, management, and property investments.

Proptech provides convenience in the property business by utilizing technological advances such as AI, blockchain, IoT, and data analysis. For example, the application of blockcahin is useful for automating manual processes, ensuring transparency, and improving security. With the growth of the real estate industry, proptech is also predicted to develop in the coming year.

That's a review of the interesting 2024 fintech trend to watch. The development of the fintech industry cannot be separated from the application of increasingly sophisticated technology and changes in consumer behavior in the digital era. Also read the news of fintech being the driver of the Indonesian economy.

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