Digitization in the banking sector is not an option, but it is inevitable because every industry is digitized and the banking industry is no exception. Digitalization was an important step in overcoming cash disadvantages and providing a more transparent experience. Digitization offers convenience to consumers and also saves time by reducing human error and thus creating loyalty of consumers.
The breakthrough in bitcoin has led to an extremely new format for blockchain to be defined as a distributed ledger. By taking advantage of these benefits, industries have come up with numerous ideas to use blockchain technology on their platform.
Commercial currencies are both expensive and slow in their current form, with a large number of intermediaries involved. These intermediaries can be eliminated through the distributed booklets from transactions with higher efficiency and lower costs. At the same time, Goldman’s blockchain-based Forex trading patent demonstrates how blockchain is still a risk factor. A genuine trend in post-trade is seen, with even the largest market participants seeking to standardize, outsource, and reciprocate their costs of post-trade processing.
The future of secure digital payment lies in contactless methods of payment. This includes mainly sound waves, QR, RFID, and NFC. Whether it’s retail or tariff payments, contactless payments are much easier and quicker. The combined experience of the bank and third-party services enable new business models, such as the opening of their internal infrastructure to third-party developers, to develop their software and to provide their customers with new cases of use to stay ahead in the competition.
Blockchain or cryptocurrency payments sound like another complexity in the saturated mobile wallet marketplace, the evolving card technology, and the endless POS system providers. However, considering the number of players involved in modern card payments, crypto could actually make it easier with the increasing number of challenges, the risk of cash and card payments, and the explosion of crypto adoption; it can be the perfect way to change the way payments are made.