Fintech is Making India a Digitally Empowered Nation, in a Real Sense
The ‘Digital Economy’ flourishing in India. Despite the ill regulations of cryptocurrency in India, there are innovations constantly coming up which are uplifting the scope of Fintech in India. It’s a time when both the public and private sectors actively want to invest in Artificial Intelligence to resolve the financial crisis and make further investments. India is a nation of a huge population with varying levels of familiarity among people with technology. Nonetheless, the upcoming Fintech start-ups are pushing their boundaries to transform the financial institutions and their medium of transactions. They have enhanced their roles, responsibilities, services, and products which have opened opportunities for both the sellers and buyers.
Online payment schemes have seen a massive boost in recent years due to the demonetization of high-value rupee currency in India. The Government of India is also coming up with progressive rules to enhance the ease of these new start-ups which have a better scope of popularity among the masses due to the extra level of security along with hassle-free work. According to surveys, India and China have covered the top ten Fintech deals in the market. Therefore, maximum investments towards this sector are boosting the future prospects of Fintech in India.
One can accept that it’s a rather a new entrant in the professional and economic arena of the market but because some bright start-ups including the blockchain start-ups, the chances of development are high.
India has taken a big leap in digital transactions by heading towards the open digital economy through APIs. Open banking as a scheme has been regularised in several developed nations, and for India, it is a very progressive step. Indian start-ups are actively engaging in Artificial Intelligence (AI) to come up with Fintech solutions like automating operational tasks. A rather large amount has been given by the government for the Digital India program which shall have its primary focus on the research, and skill development in AI, robotics, big data, and quantum communication. Blockchain has been recognized as a great technological tool to develop algorithms to exchange money online in a secure manner. Mastery in the skill of blockchain can bring wonders in the Fintech scenario. However, obstacles need to be overcome like the ban of ICOs and cryptocurrency in India. One must note that the technology of cryptocurrency and blockchain are considered to be the primary keywords of Fintech. Online transactions rely on a secure chain and blockchains are the best tool for such security which shall be free of hacker threats. Blockchains thus have ample usage in various fields including the banking sector, financial institutes as well as insurance organizations.
Blockchain training courses are still upcoming, though are yet to be widely popularised through the masses. Open source materials are being made available through which maximum people can learn about these courses. With the wide reach of the internet along with subsidized rates of data, digital money is the easiest form of currency easily surpassing cash. The annual spend on blockchain is in crores which is still increasing. Blockchain converged with Artificial Intelligence is the next best step to adopt its optimum usage. India does see a perspective of looking forward to its cryptocurrency which will be a great advancement for Fintech in India. Ever since Bitcoin was introduced in the market past five years, it has gained a substantial ground amongst the tech-savvy population with many putting forth their investments in the digital form because of their volatility. Ethereum has also become a popular coin for trading. While the value of these coins may get a hike in future, the Indian audience will need to get used to these forms of technology.
Institutions need to respond according to the customer response. The first obstacle in India is to remove illiteracy and then to move ahead with the digital technologies. Educational courses need to be developed such that they are based on the methods of blockchain such that opportunities for innovation will be widespread. Moreover, the organizations need to be open to risks and challenges. India has already seen banks and Fintech joining hands for the cohesive development of both the trades. Thus, this partnership will only be flourishing ahead with a transparent communication amongst these interconnected parties. Blockchains are an indispensable tool which should be keenly developed by associations and industries. It could be a possible boon to the future of Fintech in India and must be actively pushed forward along with teaching masses.
Fintech is making India a Digitally Empowered Nation, in a Real Sense was originally published in Data Driven Investor on Medium, where people are continuing the conversation by highlighting and responding to this story.