FINSERV
automating the reconciliation of the receivable on the supplier side ," said Vijay Ramnathan , President of MineralTree .
Additional examples of machine-based ecosystems included ; the internet of things ( IoT ), artificial intelligence ( AI ), machine learning ( ML ), robotics , or the combination of any of these .
Other advantages and disadvantages The following are some of the advantages of fintech ecosystems ; strategic partnerships , increased access to capital , enhanced support , and more . There are also other strengths not mentioned above , such as the ability to develop new products and services more quickly , among others .
" It takes the creation of ecosystems around different sectors within fintech in order to effect transformational change within the overall financial technology industry ," stated Nelson Chu , Founder and CEO of Percent . " It is rare for a single company to cause the incumbents to make a move but when enough of a groundswell of companies emerge around a specific sector or purpose , you see banks and traditional financial technology companies react ."
Nevertheless , there could also be disadvantages and risks associated with fintech ecosystems , such as the risk of market saturation . Additionally , ecosystems could also lead to monopolies and complacency . Understanding and abiding by laws and regulations are critical before entering or creating an ecosystem to mitigate potential risks .
Different hubs are appearing worldwide , all with their own focus . Such ecosystems are helping develop a strong sense of community and help businesses grow . London is an excellent example of a city with a thriving fintech ecosystem , thanks to its
“ Fintechs have played an important role in expanding the technology choices available to advisors and wealth management firms ”
NITIN SETH CEO AT INCEDO INC
well-established financial sector and strong startup culture .
According to Pat Larkin , Director at Mass Fintech Hub , another example is the state of Massachusetts , which " identified fintech as a priority sector in statewide economic development plans , placing it alongside cybersecurity , robotics , and AI as verticals where our state can be a global leader ." He continued , " Through the Mass Fintech Hub partnership , we are able to engage and energise a broad cross-section of stakeholders to address critical issues that will help promote growth within our state , unifying partners from the private sector , academia , and government ."
It ' s time for a collaboration reboot Fintech ecosystems are changing the financial landscape . They offer a collaborative environment
64 March 2022