What do Fintech solutions consist of?

Technology is transforming every field, it is redefining our daily lives and our way of relating to each other and to our environment, as well as the way we make things. Among the areas that are being modified is finance; which has caused a revolution and the emergence of multiple Fintech solutions in the sector.

This does not mean that finances as we know them have been transformed, but rather that new financial services are also appearing, offering greater accessibility and innovative functions. In today's article, we delve into Fintech solutions.

What are Fintech solutions?

A fintech company combines technology and financial services to offer innovative solutions in the finance sector, hence its name, which is the sum of the words "finance" and "technology." In other words, they make use of technological advancements to improve and simplify multiple financial processes, providing more accessible and efficient services.

The potential of these solutions has led to the emergence of numerous startups and SMEs that focus on this area, demonstrating the constant evolution of the sector. But what kind of Fintech solutions can we find?

• Payment Solutions. These are applications that facilitate payments and transfers; they allow transactions to be made more quickly and easily, improving security. These tools change the way we interact with digital money, examples of which are PayPal or Bizum.
• Loans. On the other hand, there are platforms with alternative loan options to the traditional ones, including P2P (Peer-to-peer) loans, microloans, and crowdfunding, which democratize access to capital.
• Blockchain. Many innovations in the fintech sector take advantage of the rise of blockchain technology and crypto-assets. This has led to solutions such as the use of cryptocurrencies as a means of payment or platforms that improve security and traceability in financial transactions.
• Digital Banking. Fintech solutions have given rise to digital banks and neobanks, which are financial institutions that provide online services rather than through traditional physical branches. An example is Revolut, which gained great popularity in a short time.
• Financial Management. Many applications and tools have also emerged for individuals to correctly manage their personal finances and track their savings and investments, such as Fintonic. Or platforms for managing business finances, invoicing and accounting.
• Currency exchange platform. Another type of solution emerging in this sector are those that facilitate the efficient exchange of currencies with better rates than traditional methods.

Fintech solutions are democratizing and facilitating access to financial services, making them more efficient for all users.

In La Lonja de la Innovación ecosystem, for example, we have Cashbank, a company that developed an intelligent self-checkout machine that performs several services such as acting as a safe or intelligently managing cash. A clear example of how technology has been used to innovate and improve an existing financial process. And you, do you have any solutions that fit this sector?