Embedded finance is rapidly changing the way consumers and businesses alike interact with financial services. As traditional banking processes are replaced by more integrated financial solutions, companies across industries are embedding payment processing, lending, insurance, and investment services directly into their platforms.
The rise of embedded finance represents a dramatic shift away from standalone banking applications, to a world where financial solutions are integrated into everyday apps and services.
From food delivery apps offering instant driver payouts, to all of the buy now, pay later (BNPL) services integrated into online checkouts across the internet, it’s clear to see that the embedded finance revolution is already well underway.
While it’s clear to see why these changes are taking place – increasing consumer demand for convenience and businesses looking for ways to differentiate themselves in crowded markets – questions remain over whether traditional banks can adequately adapt to this change, and whether their efforts are enough to keep pace with more agile fintech firms.
Throughout April, The Fintech Times will delve into the impact embedded finance is having on the industry, asking industry experts whether standalone banking apps are set to become obsolete as the industry changes, as well as whether neobanks can thrive in this landscape and take over their incumbent counterparts.
We’ll also be looking at the regulations influencing the growth of embedded finance, as well as the potential risks and challenges, including market saturation and security concerns, that arise alongside embedded finance solutions.
Stay on the lookout during the coming weeks, as we release regular new articles delving into these embedded finance topics and more. We’ll be collecting insights from industry experts as we explore how embedded finance is reshaping the fintech industry.
