The Impact of the Fintech Phenomenon – Radical Change Occurs in the Financial Sector?

Abstract

As a result of technological progress, the spread of the Internet and digitalisation, several sectors of the economy have undergone a major transformation. This study focuses on the changes in the financial sector. It presents the new players that emerge, i.e. the increasing prominence of the so-called fintech solutions, which is supported by the demand from consumers and the supply side as well, and it also describes the new solutions and introduce some successful examples of fintech services in payment and lending. Although the new players and solutions have introduced several innovations to the market, often making the use of financial products and services easier, more efficient or providing a more widespread access to them, they entail many potential dangers. We believe that fintech firms are not yet likely to trigger radical changes in financial intermediation.