Fintech and Digital Finance
Fintech uses technology to improve financial services, disrupting traditional banking, payments, lending, and insurance.
Digital Banking
Neobanks operate entirely online. Traditional banks digitalising. Open banking via APIs enables third-party services.
Digital Payments
Mobile wallets: eSewa, Khalti, IME Pay (Nepal); PayPal, Apple Pay (global). UPI (India), QR code payments, contactless NFC. Cash displacement accelerating.
Blockchain and Cryptocurrency
Bitcoin (2009), Ethereum (smart contracts), stablecoins (USDT, USDC), CBDCs (government digital currencies under development).
Digital Lending
P2P lending, digital microfinance (alternative data for credit scoring), BNPL (Buy Now Pay Later). ML-based credit scoring improves access.
InsurTech
Online policies, AI claims processing, usage-based insurance (telematics), parametric insurance, micro-insurance for emerging markets.
Financial Inclusion
Mobile money reaches unbanked population. Digital identity, agent banking, simplified KYC enable access. Nepal: eSewa, cooperative networks improving inclusion.
Summary
Fintech transforms financial services through digital banking, mobile payments, blockchain, and lending. Financial inclusion expands economic opportunity.