The rise in popularity and adoption of blockchain technology has been a hallmark of modern society over the last few years.
There are still many people who believe crypto will fail. They have believed it since its inception. But the result is the exact opposite, and more people join the networks each day.
It has penetrated every industry. It has penetrated every industry so deeply that even Nascar Betting can now use crypto to place bets. We will explain how fintech and crypto connect below. Keep reading to find out more!
Despite the fact that crypto mistrust is still quite evident in certain parts of the globe, it is clear that digital currency investing is on the rise. Although countries with stable currencies may not be keen to invest in crypto, we anticipate huge changes in the future. Crypto is ready to fill new markets in fintech.
We have seen significant growth in fintech over the last few years. It is predicted that the industry will reach $160 million by 2023 according to statistics. A large part of this growth can be attributed to the introduction of cryptocurrencies.
When crypto is fully implemented, people without bank accounts and who use smartphones will also be able to access fintech services. Every day, new users are discovering a huge market for fintech services powered by crypto.
In addition to fintech services, services are emerging on the market that intend to displace the classic uberized service platforms where performers find customers and provide remote and personal services.
The world's first cryptocurrency-based service was the Quasa Connect blockchain service.
By connecting your crypto-wallet, a freelancer or customer instantly settles among themselves using the Quasacoin (QUA) cryptocurrency.
The new crypto-settlement tools in QUASA democratize access to services traditionally tied to fiat money and banks, and open up opportunities for hundreds of millions of people. You are not tied to the currency of any country, and you can easily hire any specialist from anywhere in the world and calmly pay for his work.
There is no need for conversion and complexities with banking operations. No need to know the laws of different countries.
Few people realize that the remote work market is a huge industry, comparable in size to the world's largest industries.
And despite its size, it remains a highly fragmented and inefficient industry filled with intermediaries and opaque business arrangements. This definition applies to a greater or lesser extent to the markets of both developing and developed countries.
Money Transfer Efficiency
Transaction approvals can be slow for traditional financial institutions. This is something we all know. The transaction must go through several levels of bureaucracy before it can be approved. Even more frustrating is when you need to transfer funds between organizations and internationally.
Cryptocurrency is unique in that it’s not subject to the same delays and inefficiencies as traditional money. It’s possible to move money quickly, and you don’t have to use a middleman. This dramatically lowers transaction costs. Because cryptocurrency is based on transparency, speed, and convenience, it really has amazing matching capabilities.
The fintech industry is facing real problems, including money laundering, fraud, and identity theft, although they are not considered market disruptors. These issues can prove to be extremely time-consuming and difficult for industry workers. A decentralized ledger makes verifying transactions much easier.
The blockchain makes fraud almost impossible because documents cannot be removed or modified.
This is why traditional banking products and services have become more open to fintech solutions.
This is where fintech and crypto go hand-in-hand, as each hide has its own good points. Regulating is one of the most difficult things in crypto, but pro-fintech solutions have been shown to work.
When service administrations are powered with Blockchain, there is a significant positive impact on data management systems.
However, traditional data management can still be costly. Fintech companies outsource their data management services to blockchain partners.
They can use it to provide IT infrastructure, maintenance, installations, and purchases.
Crypto is expected to play an important role in the creation of products and services by fintech companies. This could lead to unmatched efficiency and potentially open doors to new markets.
What are the Risks?
Like all things, crypto has its risks. The solution to most of these issues is simple and straightforward, as you only have to deal with minor inconveniences.
Lack of governance can lead to operational inefficiency, which can cause problems for users. Hacking is also a risk because everything is online. Crypto users in the fintech sector are also concerned about stablecoin emergence, and asset utilization.