A lot happened in 2018 – everything from Facebook’s Cambridge Analytica scandal and the net neutrality debate to cryptocurrency’s volatility and Brexit negotiations. Many of these events will impact FinTech in 2019, especially in the following areas:
- Going cashless – 2018 saw more and more cashless options being delivered to an increasing number of people, including the unbanked and underbanked; however, cash is still necessary for many. Mobile payments, card swiping and contactless transactions are expected to continue reducing the need for cash this year. In fact, 2019 could place Sweden and Australia one step closer to becoming completely cashless within the next 2-3 years.
- Immigration – many FinTechs have a longstanding reputation of wanting to help those who are unbanked, especially those emigrating from developing countries and into developed countries. Biometric technology could be useful here as it gives immigrants a foothold in financial systems. It will be interesting to see how this plays out in 2019.
- Brexit – many financial institutions and FinTechs have already taken steps to set up in various European cities, fearing that the uncertainty around Brexit could leave London as the former leading financial center. This time of uncertainty is especially difficult for smaller businesses and those wanting to enter United Kingdom (UK) markets. FinTechs still have an opportunity here though. By providing consumers with transparency and information not being given to them by traditional financial institutions and governments, they can provide stability and reassurance to those living in uncertain times.