What to Expect from Fintech and Black Banx

With the continued development of digital processes, the financial services industry has grown more competitive during the last third of a decade.

As a result of a pandemic-induced push for digital adoption, 5G-enabled handheld devices, faster internet connection, and an overall move towards a more digitized economy, consumers and businesses almost everywhere have adopted digital banking and fintech platforms.

With that, the fintech space is now expected to be valued at nearly $700 billion by 2030, increasing by as much as sevenfold from 2020.

As traditional banks and newer fintech companies jockey for position in the growing industry, London-based leader Black Banx aims to keep to its mission of unlocking a borderless financial system for everyone where money can flow freely whilst being mindful of and  adjusting to customers’ evolving needs and preferences along the way.

Traditional to digital (to global) continues

The first half of 2023 has seen brick-and-mortar or traditional financial institutions further transitioning from legacy systems to digital-first operations as it has become evident that digital-first banking will be the primary way people prefer to make transactions.

Emerging technologies continue to make way for virtual banking experiences that don’t require users to go to a physical branch, although these locations also remain to serve the 28% of customers who, according to McKinsey and Company, still prefer to visit banks in person.

As more consumers continue to lean toward digital, Black Banx expects the global economy to grow along with it.

Be it professionals with a preference to do remote work, the business from other countries that employ them and/or have international markets, or travelers eager to get moving again, just about anyone stands to benefit from being able to make cross border transactions across 180 countries in real-time and with minimal fees.

In addition to expanding its operation to reach more markets, Black Banx is aiming to include more to its existing 28 FIAT (government-issued) currencies and two cryptocurrencies for further transactional flexibility.

Industry leaders will emerge

The increasing preference for digital banking notwithstanding, the fintech industry has borne the brunt of the global economy’s present downturn, evident in global fintech funding sliding by as much as 46% to $75.2 billion in 2022 from 2021.

The silver lining, however, is that funding was still up 52% compared to 2020 and made up 18% of all funding globally, making it evident that the fintech industry still maintains a healthy overall future.

While the pace of investment is expected to return to what is deemed “normal”, the challenging market conditions that presently continue to persist can also be counted on to bring leaders of the industry to the forefront.

Solely funded by CEO and founder, German billionaire Michael Gastauer, Black Banx does not depend on external investment from venture capitalists and as such can continue its growth goals despite aforementioned current market conditions.

This level of independence enables the company to not only maintain its operations, but be present in a market with rapidly evolving transactional needs. With this freedom to adapt almost real-time, Black Banx aims to continue meeting the changing requirements and preferences of customers from a breadth of geographic markets, and eventually grow the over 20 million customers it already serves.

Cyber security and fraud prevention needs will increase

As financial institutions and consumers become more reliant on technology, cybersecurity and fraud prevention is expected to become more critical than ever. This year, digital banks and fintech companies are projected to invest extensively in cybersecurity measures to better protect their customers’ finances and data, as well as their overall reputations.

Constantly developing and maintaining strong relationships with the leading banks in the world, Black Banx is able to better ensure the safety of the funds of its customers by never holding the funds in an individual bank or country.

Segregating accounts across multiple locations, the highest level of protection is provided as Black Banx’s customers’ funds are globally diversified and enjoy the security of multiple jurisdictions.

As of 2023, Black Banx continues to maintain a full PCI DSS 3.2 certification. Complying with the highest Data Security Standards, it employs a team of security experts solely for the comprehensive protection of customer data, and its payment software uses fully encrypted and secured ISO 20022 certified messaging schemes for payment execution and data transfers.

Change is indeed a constant, especially in the fintech space. As consumers’ needs evolve along with the digital economy, Black Banx remains ready to fill those changing requirements with borderless banking solutions that are user friendly.