Traditional banks have been badly disrupted by the innovative fintech apps today.
From transferring cash to getting a loan, every routine financial transaction can be done without waiting in the long queue of traditional banks.
With the use of smart financial technology, every banking activity can be seamlessly done by these fintech apps.
You must be wondering what these technologies are or about the features that are used to develop a fintech app?
We have compiled and explained everything in this blog. Keep reading till the end for complete knowledge.
Why is a Fintech App Taking Over Traditional Banking?
The technological development in the finance industry is the most prominent reason that fintech apps are taking over traditional banking. Unlike traditional banking, fintech apps have more to offer to people.
Along with the other banking services, the fintech apps offer an excellent option for users to invest in stocks and crypto, which traditional banking totally avoids offering.
Moreover, technology in the finance industry has brought some excellent and worthy trends, including blockchain and innovative cybersecurity.
With the growing risk in the finance sector, the technology that will protect against bot attacks has become a crucial factor for security reasons.
Thus, due to security reasons and additional benefits offered by fintech apps, it will replace traditional banking in 2025.
What are the Trending Fintech Technologies?
You are now clear about the fact that encouraging people to replace traditional banking with fintech apps.
We will proceed further to tell you about the technologies used in the fintech app that is transforming the finance industry.
You should know about these technologies because the cost to develop a fintech app depends heavily on the technologies used.
Let’s explore the technologies listed below.
► Artificial Intelligence
The modern fintech apps include the power of AI in their functioning, which makes financial things easier for people who enjoy extra benefits.
The AI-powered fintech apps automate their operation, offer a personalized experience, detect fraud & prevent it, and can do many other things.
Moreover, it offers crucial insights to the users, like the whole history of their spending behaviour. It offers users personalised financial advice and also prevents overspending.
► Blockchain
Blockchain is one of the most transformative technologies in the sphere of fintech. At its core, it’s a decentralized digital ledger that records transactions across a network of computers in a way that is secure, transparent, and tamper-proof
It does not have any central authority like traditional banks, and data is distributed all over the peer-to-peer network.
The consensus mechanism of the fintech app helps in encrypting every transaction. The blockchain automatically enforces terms and conditions.
► Biometric Technology
Today, just a password is not enough to protect you from online financial fraud. The fintech apps, by integrating biometric technology, have brought a new standard to financial security.
The biometric technology in fintech is a future-proof method that will strengthen the authentication system.
This technology makes sure that your fintech app is protected by a dual security password plus face or fingerprint scans.
Some biometric authentication includes voice verifications, detects fraud as on behavior, and others.
► Virtual Card Technology
You have cards like debit and credit cards, what if you forget them or lose them? Fintech apps will get you covered with virtual card technology, as you can add the card details in the fintech apps and have full control over your cards with the support of the banks.
This means you don’t need to carry the cards physically, and if you lose them, you can block the cards or take actions right from your fintech apps.
Thus, this technology comes with convenience in the finance sector, simplifying daily transactions and tough investments.
What Are the Top Features of the Fintech Apps?
Most of the fintech apps come with common features, and any fintech app rarely has any additional features.
But those who have additional features are successfully competing in the market.
However, we will talk about the top features of the fintech apps that are disrupting traditional banking in 2025 and beyond. A fintech app development company can integrate these features to create a fintech app that we will mention below.
♦ Effortless Sign-in
Users must be able to seamlessly sign in to a fintech app without any issues and with all the security precautions.
Users must be able to sign in through various ways, including email, social media, and contact number.
Two-step verification is changing the game because it gives double protection to every transaction.
Two-step verification must be complemented with face and fingerprint recognition, that is, biometrics.
♦ Quick Scan Features
The scan and pay feature of the fintech apps is another name of convenience provided to the users of such apps.
While they are paying for any local shop or movie theatre, they will be provided with a QR code that they have to scan from the fintech app on their smartphone.
After scanning the QR code, they can choose their linked bank account in the app and pay directly from the app by entering their dedicated password.
♦ Cashback
Cashback is the most common feature of every fintech app because this will attract more users to download and use the app.
When users make payments through the fintech apps, for every transaction, they can earn scratch cards that come with cashback.
The more you use the app, the amount of cashback can increase. So, if you want better user retention and engagement, then you must add this feature.
♦ AI-Bot and Assistants
Your users will appreciate and love to get instant help from the customer support without much wait.
AI bot and assistance in your fintech app will work great to make work easier for users and give quicker assistance to users.
The support bot will automatically give answers to the queries or complaints of the users and build trust. This way, you can give a better support experience to the customers, and without the stress of human interaction.
♦ Support Third-Party Services
The fintech app must have the capability to connect with third-party app-based services like shopping, eCommerce, or any other ordering apps.
Integration of the fintech apps with the third-party apps is a crucial step. This will make it easier for the customers to make online payments.
If you are ordering food after midnight, you can prepay for the food order, redirecting to the fintech app without worrying about keeping change.
Conclusion
Fintech apps are the future and will gain more priority than traditional banking because they will save time. Building a fintech app is an excellent investment; on the other hand can be a little tough task.
You now know about the tech stack and the features to be integrated while developing a fintech or e-wallet app. However, if you think it is a tough task, you can hire a company that provides eWallet app development services.
So, it’s time to collaborate with the professionals and create something that brightens the future of fintech.
