Fast, secure, convenient: finance 2.0 launches the challenge to banks and insurance companies.

FinTech is one of the most used terms today in the new economy sector. But not everyone knows the meaning, the economic scope and the reasons for success.

Let’s start from the beginning .

FinTech is the abbreviation of Financial Technology, a term that indicates the new segment of the financial market that is gaining ever more room for maneuver than traditional players in the banking and insurance world. An advance at a gallop that suggests the overcoming of the use of cash in financial transactions. Gianluca Dettori , president of DPixel, a seed-stage venture capital company with headquarters in Milan, is convinced of this and mainly deals with the technical and financial support of the start-ups of the sector. To give him reason is the ” The future of fintech and banking ” Accenture report that brings us back numbers dizzying. Investments in start-ups operating in the sector, between 2013 and 2014, have tripled: from 4 billion to 12.2 billion dollars, with a growth of 201% globally in 2014. And the Europe stood out as the area with the most sustained growth, with a growth of 215% (1.48 billion) led by the United Kingdom and Ireland (42% of total investments).

But who are the new players of innovative finance?

Essentially the main players in this market are online platforms that deal with financial transactions. New companies, with a very streamlined structure, born from Ceo’s ideas that have succeeded in interpreting the needs of consumers, savers and investors in an innovative way. Indeed, if you are curious to know who are the minds that have (and are) changing finance, we refer to the article by Gabriele Malada , published on Smart Money.

The X factor.

As often happens when something is successful, the game lies in finding its secret. In the case of Fintech, the key is the human factor . These companies certainly need economics and finance experts, but also, and increasingly, young computer and digital minds. Because although the web seems impersonal, behind it there are people, mainly young people and, above all, ideas. The areas of application of the financial technology are diverse and numerous: crowdfunding, peer-to-peer lending, e-payment, asset management and investment portfolio management and all the financial activities that until a few years ago were the sole responsibility of banks and credit institutions. These operators come to make space not only for their disruption, but also because they are clearly and objectively cost-effective, managing to better respond to customer needs: fast and secure response to technical and financial problems, creating a relationship of trust between company and user of the service offered, analysis and projection of financial transactions, portability and ease of access through smart devices, speed, etc.

They are also able to continuously innovate their business, investing in new internal divisions (often linked to the digital world) that integrate the traditional services offered. Some disruptive examples, the result of the merger between tech and finance, bring the names of ICT giants like Google, Alibaba, Amazon. Or the Google Wallet online payment service, the Amazon loan service, or the Alibaba subsidiary Ant Financial Services Group, which also specializes in online payments.

A market that pleases and convinces, with a constantly growing trend, and which the Community feels part of!