Precisely what is Fintech? – Definition and Meaning

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Fintech is often a mix of two words namely “Finance” and “Technology”. Fully, stage system Financial Technology. It is often attributed to technology innovations from the financial industry. Put differently; it describes the convergence of finance and technology – or methods technologies are improving use of finance, from making payments, currency, peer to peer lending and also wealth management.


The season 2008 was the dawn of a major evolutionary difference in the financial technology industry. This was brought on by the collapse of the unsustainable banking system that took a lot of risks in their search for profits. Lehman Brothers were bankrupted, swiftly then emergency rescue promises to save major high street names like HBOS, Merrill Lynch, AIG, Royal Bank of Scotland and Alliance & Leicester.

This crisis showed the ability to do things differently. Previously financial technology was an in-house enterprise for that banks. The roll-out of bank cards from the 1950’s, ATM’s from the 1960’s and electronic stock trading from the 1970’s were all driven internally by major players from the banking industry.

The failure from the banking system gave rise into a large number of monetary technology upstarts. Innovative new companies which wished to see change and more importantly remove traditional barriers that the banking system had built. This surge in financial technology was quickly labelled as fintech.

Fintech covers an enormous spectrum of innovation. Digital wallets, peer-to-peer lending, crowdfunding, micro-loans, insurance and infrastructure are only a few places that everyone is seeing room for innovation and disruption to fliers and other modes.

This rapid growth has established a booming financial technology industry and a lot of fintech list online. Due to the multitude of companies which fall under the umbrella of fintech it’s hard to put an exact figure on the international value of this industry. Thankfully KPMG develop a modern australia called ‘The Pulse of Fintech’. This allows an international investigation latest investments from the fintech industry. Their latest report claims that global purchase of fintech companies reached an astonishing $24.7 billion in 2016, spread across 1076 deals.

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