Which Trends are Set to Transform the Status of Indian Fintech in 2021?

Fintech ecosystem is equipped with current trends to revolutionise Indian sectors in 2021.

The growth of Fintech wave is being fuelled by large real-time data base and emergence of tech-driven companies across the country. The sudden outbreak of the coronavirus pandemic in 2020 is the top most reason for a drastic shift of consumers and transactional volumes to the digital domain. The companies are in dire need of adopting fintech solutions, through AI machine learning, to stir-up its status in the competitive market. Which current trends are ready to transform the status of Indian fintech ecosystem with minimal effort and maximum output? Let's find out through this article.

1. Emergence of Neo-banks or Digi-only Banks: Neo-banks offer retail banking experiences exclusively in the virtual world through global payments, transfers, trading crypto-currencies and many more. In this fast-pacing world, consumers live a very busy life where visiting a bank or standing in ques with excruciating paperwork is a wastage of time. Due to strict lockdown protocols, consumers are prohibited to visit outside forcing them to use online shopping with online payment facilities. With the use of neo-banks, the tech-savvy users can avail diverse range of banking facilities under a fingertip on just one click anywhere at any time, as per their affordability and convenience.

2. Autonomous Finance: The current trend in the fintech ecosystem is the availability of autonomous finance to redesign the way users interact with money or financial issues involving self-driving funds, mutual funds management, instant financial decision or auto-saving power. Autonomous finance uses AI machine learning algorithms with access to real-time data. Various reaping benefits for companies as well as consumers can be utilised from this autonomous finance trend such as favourable interest rates and fees, diverse range of functionalities, smooth registration process, availability of service 24*7 also compatibility with different smart devices.

3. Voice Technology: Millennials are the primary target group who want to utilise voice recognition and voice assistance in all the sectors of India for rapid and effective use. The integration of AI machine learning algorithms into the Indian fintech has created a current trend of voice technology in some It serves different purposes like providing instant information regarding card balance, personalised questions, recurring payment option and so on. The potential of voice payments can be appreciated by the tech-savvy youth to send money to their friends, families or colleagues.

4. Application of Regtech in Fintech: Integration of regulatory technological facilities is predicted to enhance the fintech ecosystem in India with more technological advancements. It will enable companies to leverage advanced AI machine learning tools to simplify the protocols in the systems like identity management, monitoring transactions, risk and disaster management, consumer security, data security and lots more. This enhances the speed and agility of the companies against high-end competitors by examining the large set of real-time data efficiently.

5. Advanced Biometric Security System: Keeping in mind the public health welfare in the pandemic situation, introduction of AI machine learning algorithms has helped the Indian fintech to utilise advanced biometric security system. In this system, companies can enable contactless verification to identify consumers while defending against cyber-attacks on real-time data. This current trend has raised the demand of advanced bio-metric as well as financial cards without any possibility of physical touch.

These potential current trends have the power to transform the Indian fintech ecosystem in 2021 and beyond. The companies are only required to embrace this major disruption caused by AI machine learning analytics, with grace, to set future milestones by implementing technological advancements.