The innovation potential is huge in the industry technology in the financial sector. There are countless ways in which technology can be used to finance activities. Through innovative business models, financial services are able to offer services at much lower costs. The figures show that the “financial technology” is gaining ground over traditional areas of trust. Users are increasingly aware that these innovative technological solutions are indispensable tool for improving the performance of the traditional financial system.
The new technologies of the financial sector in France
In France, the new laws that will govern the area of crowdlending and crowfunding will certainly upset the Working outilis traditional banks. These new laws will encourage the emergence and growth of new companies operating in the new technologies of financial sectors. Several studies have already shown that payment by credit card is becoming more and more competition from other more appropriate alternatives to certain practices. For example, the payment system by PayPAL process is considered by French users as a safe and simple way. This sector is still less developed in France compared to the US financial market and its Anglo-Saxon counterpart. Moreover, observers are confident that the financial environment should be influenced in turn by these new technologies.
Traditional institutions and new technologies
It is clear that the traditional sector is indispensable for all financial activities. The new financial technologies are only a useful and effective complementary to secure and facilitate further transactions. Besides large financial institutions have played a significant role in the growth of the FinTech industry. However, traditional banks want to introduce more suitable processes to join the revolution in financial technology through innovative projects. The growing demand for innovative solutions has also helped to strengthen the links between traditional banks and startups. Thus, over 17% of innovative companies in the financial sector have become suppliers of financial institutions like Bank of America, Barclays, Capital One, Citi, Credit Suisse, Deutsche Bank, Goldman Sachs, JPMorgan Chase, Morgan Stanley and UBS