What is Fintech, and how can I earn money?
What is FinTech?
FinTech is a combination of Finance and Technology.
The fastest growing industry when you look at startups.
There are a lot of fields new companies can specialise in:
- Money transfers
- Credit Management
- Data analysing
- Compliance and Legal
- Risk Management
- Accounting and Administration
- Finance and Investments
In this picture you see a landscape of the Dutch FinTech market with all the companies beating the regular banks in their own game.
The automation of most of the traditional banks is their weakest point. In particular they can’t keep track on the speed and costs of new technologies.
Many, usually small, companies jump in this market to develope on a niche in this market. A few financial experts together with a few technical experts develop a product in which they are leading.
With this product they can conquer a piece of the market. If a few of these small companies work together, they can become a serious threat for traditional banks.
Why do traditional banks still exist?
As fast as the technologies go, as slow is the confidence of the consumer. For example the Bitcoin: How many people believed in the new coin? We still meet people every day who think that it’s all a hype and the traditional banks always will survive.
Banks exist because of these people (Luckily for them, there are still millions of them). For the future banks can’t sit back. They have to connect to all these new technologies.
Behind the scenes, banks are already seeking cooperation with the FinTech industry.
Of what use is FinTech for the consumer?
All kinds of small companies are operating in a niche of the financial world. Their power in comparison to banks is higher speed and lower costs.
Questra (and his investment company Atlantic Global Asset Management) is working in this field, and most obvious example in our portfolio is Grinta invest.
They developed a technology to turn to account of the slowless of the traditional banksystems that regulate rates of curencies. When the volume on certain currencies increases, there can be a moment (some seconds) where the update of the rates are slightly behind realtime. In this situation Grinta buys the currency automatically and sells them a few seconds later.
Every time they make a small profit,
You can take advantage of that!
How? You can read that here.
Is everyting in FinTech interesting?
Like in all businesses not all companies are succesful. Because the FinTech world has so many branches, we focus on companies we know from our network.
Developments are going so fast, but we are trying to follow everything closely.
Do you want to experience Fintech and make some profit? Start with Grinta invest: