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7 key points to understand the Fintechs

On several occasions we have exposed about some innovative companies, even considered as disruptive, which are part of the phenomenon of the 4th Industrial Revolution. We refer to the popular Fintechs, who have been part of our history in CryptoTendence. For this reason, we have decided to build a guide of 7 key points to solve the greatest amount of doubts.

What are they?

Starting with the basics we must know what they are, even if it is at first glance, many people do not see it. The word Fintech is the combination of the English words Financial Technology, which means Financial Technology.

Now we must define what is meant by this, simplifying it in the most natural way, being that “fintech is a new financial industry that applies technology to improve financial activities”, according to Patrick Schueffel in “Taming the Beast: A Scientific Definition of Fintech”, after reading 900 works that mentioned Fintech.


We can see this issue in most of the news we write on the subject, given that basically its focus is to revolutionize financial activities in the world. This phenomenon is observed particularly in payment method technologies, such as cryptocurrencies or new types of points of sale; It can also be reflected in new digital investment platforms, such as those we cover continuously.


If you are a constant reader you can get an idea of what the complications of Fintech can be. This time we will include 3 obstacles that this type of companies suffer:

Legal problems: we must remember that there are particular laws for each country, which add bureaucratic processes when wanting to apply a new technology in financial activities. For example, payment methods, being mandatory to comply with certain guidelines that may hinder. Acceptance problems: this means that you can have the best existing technology, which could make companies and banks more efficient, but if you are the only one that uses it, it loses its efficiency. It can be explained again with payment methods and cryptocurrencies, as long as companies and banks do not use them, their use is complicated. Confidence problems: Similar to the previous point, these Fintech must demonstrate their value to obtain the trust of the users, so you can have an idea of 1 million dollars, but if nobody trusts you, it is worth 0.


Good news is that these projects are gradually being accepted and applied in society. An example are the famous applications of automatic payments with cell phones developed by Google and Apple for their respective operating systems, where you only have to place your phone on top of a detector and discount your account. However, as you suspect, this still does not compare to paying with a card in terms of application.


When observing the projects during the history and its application, we can observe that there is a tendency of medium – long term impact, considering a range 5-10 years for a project to occur, assuming that it managed to obtain the initial capital and the legal permits, so that after it has influence between 1-3 years. Therefore, we can assume that the Fintech must overcome the complications if they want to decrease these ranges.

Top Fintechs

If you want to know about the 12 best Fintechs currently according to popularity, we invite you to read the list of Forbes, where they expose about the Fintechs that reached the top, their history and the reason for their success. We should highlight with pride that in this list a series of companies associated with cryptocurrencies appear:







We could not miss our dear digital coins, which are playing a crucial role in the new Fintechs. We must remember that thanks to the crypto not only evolved the payment methods, brought with it technology and innovative applications for everyone, remembering that it was with this that Blockchain technology appeared, giving rise to intelligent contracts and ICO.

Published inFintech
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