Meaning:
FinTech is a blend word of 'Financial technology'. Refers to apps, software or any technology aimed at allowing individuals or businesses to digitally access /manage their finances and engage in financial transactions.
Technically defined by Bank for International Settlements (BIS) as: technologically enabled financial innovations, that could result in new business models, Applications, processes, or products with an associated material effect ON financial markets and institutions and provision of financial services.
Source: RBI publication report Nov 2017
Categories:
India's Fintech services can be categorized into
- Payment and Remittances (QR based mobile payment systems, mobile Wallet systems, account aggregation services etc)
- Digi banking environment (Digital banking and banking software providers)
- Financing (credit decisioning models, digi-lending platform etc)
- Insurance Tech platforms (claims management, smart contract formulation etc)
- wealth management services (trading platform, AI based Bot advisory)
- Cryptocurrency
- Crowdfunding