Financial technology (fintech) businesses are upping the ante for service delivery in the finance industry, at least according to Opus Technologies CEO Praveen TM. He says that the success they enjoy as a company and industry can be attributed to the industry’s quick adoption and implementation of the latest technologies.
Praveen is optimistic that the industry and Opus will continue evolving and unveiling new trends rapidly for everyone’s benefit. He argues that Fintechs are showing the customer what’s possible with technology, making it difficult for customers to settle for anything less and forcing traditional banks to follow suit.
And even for the best of the best in the Fintech space, Praveen stresses that innovation remains the most direct ticket to survival in this competitive market—and many other experts agree with him.
But before we look at what other experts in the industry say concerning Fintech success and its future, Praveen had some insights to share on why his fintech company succeeds and will continue succeeding:
“AI Adoption Is Giving Us an Edge”
One reason Opus Technologies believes it will be here for a long time is its adoption and optimal use of AI’s strengths. They launched an open innovation platform, FinGeniusAI Solutions, focusing on stronghold acquisition to strengthen Opus’s performance.
“Since the launch of the platform in January, the FinGeniusAI team has been actively working with multiple credit unions and banks to build proof of concepts (POCs),” says Praveen when we asked him about some of the AI use cases his team is working on right now.
He believes that by incorporating niche-specific AI use cases, such as AI-enabled payment enrichment with automatic repair, intelligent payment routing, and ATM cash forecasting, his company will offer cutting-edge solutions to boost its competitive edge.
Through AI, Opus aims to integrate contextual search for information libraries and document analysis into banking for a more streamlined data management approach.
“Real-Time Payments (RTP) Are Also a Pillar for Success”
While AI remains the most exciting trend for any industry, Praveen believes other trends are already changing and will continue to shape the banking and payment landscape soon. One of these trends, he says, is real-time payments, which he argues has been a pillar of success so far. Add FedNow to RTP, and you’ll see why Praveen feels so good about it. In fact, he says that since complementing RTP with FedNow, they’ve experienced higher adoption rates than before.
“ISO 20022 is a Game-Changer”
“Although it’s among the industry’s small shifts, ISO 20022 is going to make big waves in the industry,” says Praveen.
He foresees the mandatory shift to ISO 20022 as a good intervention to the finance industry’s data exchange problems. “This shift will improve data exchange between entities and make cross-border and domestic transactions more convenient and faster,” added Praveen.
But how is Opus seamlessly adopting ISO 20022 and other trends into its operations?
Praveen says it’s all about deeply understanding the industry and the challenges financial institutions and banks face. He believes the launch of the Paysemble platform, a suite of accelerators aiming to simplify technology adoption, migration, and integration, helped them stay ahead of challenges.
With the platform, Opus aims to offer simplified data models, workflows, and user interfaces that will expedite development and deployment. To achieve this simplified set of workflows, Playsemble incorporates three performance layers: interface module, message translator, and workflow orchestrator.
Praveen assures that these layers are configurable and can support a multitude of use cases, including ISO 20022 migration, real-time payment integration, cross-border transactions, and retail payments.
When configured, the preset workflows ensure seamless data exchange, security, and compliance for a specific use case. Playsemble’s ability to easily plug into existing IT infrastructure has helped Opus seamlessly integrate a multitude of use cases, like ISO 20022, for faster solution delivery.
Bryan Zhang Agrees With Praveen Concerning Innovation
Earlier, we mentioned that Praveen believes innovation is the most direct ticket to survival in a competitive fintech market. Bryan Zhang, the Co-Founder and Executive Director at the Cambridge Center for Alternative Finance, agrees with him.
In an interview with the World Economic Forum, Zhang said fintech creates alternative channels, instruments, and systems for accessing credit, making payments, getting a loan, and acquiring insurance products. If anything Zhang says can be interpreted simply, it’s that success in the fintech industry hangs on the industry’s continued innovation.
Zhang is saying that the current traditional banking system cannot reach all the populations that need fast, efficient, and secure financial transactions. There’s a need for innovative solutions, and fintech is effectively filling that gap.
Zhang asserts that fintech companies will continue succeeding because they offer beneficial solutions that businesses and customers have long craved in the finance industry.
Some of the fintech benefits he spoke about include:
Fintech Is Opening Opportunities for Female Entrepreneurs
“There’s clear evidence that fintechs have expanded their customer base in many parts of the world to cater to women entrepreneurs’ needs,” says Zhang.
He adds that women can now easily access capital, manage their finances, and engage in crowdfunding through various digital platforms. Zhang calls this the democratization of financial services, which he says has leveled the playing field for female-led businesses that are now increasingly emerging and flourishing.
Zhang’s narrative shows that more women in remote areas can now access the necessary financial tools for success, thanks to fintech’s emphasis on financial literacy and networking.
People In Remote Communities Can Access Banking Services Through Fintech
Internet connection, a smartphone, and financial literacy are all one needs to access banking services, even in the most remote locations of the world today. The major enabler of this magnificent change remains fintech in large percentages.
Zhang says that fintech offers financial solutions to lower-income people in rural and remote areas, making it a more inclusive financial solution for global businesses. Businesses in remote areas haven’t enjoyed this for a long time now, but everything is changing for the better.
If Praveen and Zhang had to summarize all they think about the future of fintech, here’s what they’d say:
Praveen: The financial industry is changing at a rapid pace—if you were to remain relevant in the fintech space, you must be innovative. Embrace AI and other industry trends like ISO 20022 and real-time payment to give your clients cutting-edge solutions.
Zhang: Fintech is growing fast, and that’s good for small businesses in remote areas and marginalized groups of society, including women. Everyone can now manage their business’s finances easily without over-relying on the traditional brick-and-mortar banks.