The term ‘fintech’ is heard with greater volume in different areas of the financial industry and its evolution has attracted the attention of investors from all over the world creating a new financial landscape.

The use of technology in finance has increased considerably in recent years, even in banking entities that are already known. According to Singularity University, around 46% exclusively use digital channels for their banking operations.

This represents just a small sample of how technology has revolutionized the financial world. Another sample is the Fintech startups that continue to emerge every day.

Fintech Startups: financial services in the palm of your hand

Providing services to clients is a priority today. For this reason, the use of technology has become attractive in an area that can be quite delicate: finances.

The increase in enterprises related to this topic and its growing portfolio of clients is an example of how the benefits they can offer meet the needs of the public. In addition, the use of existing technologies also opens the way to business models that are only possible on digital platforms. An example of this would be crowdfunding and crowdlending. However, Fintech companies face numerous challenges, one of the biggest being cybersecurity.

 

Challenges of Fintech: cybersecurity

As many services move towards full digitization, they must pay particular attention to cybersecurity when offering their services to the public.

An important point in terms of finances and users are the leaks of personal information of which both individuals and companies can be victims.

To give an idea of ​​the scale of cyberattacks, only during the first half of 2020 a total of 36 billion records were exposed.

It is important to mention that most data breaches are accompanied by human error. Specifically, it is said that 95% of these leaks are caused by human error. These figures intensify the need for staff training and warnings to users on how to protect their information.

That is why having a cybersecurity team that is prepared to counteract or prevent any attack is of vital importance in this type of company.

 

Invest in the financial revolution

As an investor, new technologies can be quite appealing to add to your investment portfolio and proper advice makes the difference between success and failure.

Fintech companies continue to increase their presence in all countries and open financial horizons in numerous areas. A combination of good services, high levels of cyber security, and good management is the key to success for these types of ventures.

If your goal is to be part of this financial revolution, do not hesitate to seek the appropriate advice that allows a successful investment with a good prognosis of results.