Juniper has released the Top 10 Disruptive Technologies in Fintech. The research assesses the emerging technologies that, individually and collectively, are taking digital commerce in fresh and exciting new directions. The new research also investigates these disruptive technologies and ranks them according to the scale of their anticipated impact.
It examines how these digital commerce technologies will affect the consumer and B2B (Business to Business) experience, alongside an in-depth analysis of critical barriers and ecosystem readiness.
In addition, the research includes an Impact Assessment Heat Map and Scoring Matrix, and also an analysis of the long term implications of, and strategic recommendations for, each financial technology.
The top 3 disruptive technologies:
1. PSD2 & Open APIs
The introduction of the revised European legislation ‘PSD2’ will redefine the payments sector as incumbents face new and increased competition. On the flip side, merchants and consumers will benefit from reduced fees and charges.
The Top 10 Disruptive Technologies in Fintech: 2017, found that PSD2 will effectively lead to the creation of numerous third party start-ups which could undercut established players. However, an opportunity exists for co-operation between banks and start-ups; institutions may leverage their established brands in partnership with agile technology start-ups, to press first-mover advantage.
Juniper believes Regtech is on the cusp of seeing significant adoption with cost savings and time efficiencies ultimately benefiting consumers too.
For players in the finance and insurance industries facing constant regulatory changes, Regtech will provide enhanced security. It will redefine how stakeholders approach the ever-more complex compliance, regulation and reporting aspects of business, vastly reducing time constraints and improving accuracy.
Chatbots, or automated (script or AI-based) programs, aim to converse with consumers in the same manner as traditional human to human interaction. These will provide significant cost savings, with Juniper forecasting that banking players will save around US $4.4 billion annually by 2022.
Research author Lauren Foye explained: “Chatbots currently have low barriers to entry, and are seeing increased adoption across platforms including web-browsers and messaging applications. FIs and eCommerce players will benefit increasingly over the next few years as chatbots help consumer engagement.”
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