Digital Transformation and Fintech Solutions
Chapter from the book:
Özer,
G.
&
Yücel,
R.
&
Er,
H.
(eds.)
2023.
Digital Transformation in the Finance Sector.
Synopsis
Digitalization, whose effects we see in almost every aspect of life, also significantly affects the activities of the business world. One of the sectors where the impact of digitalization is felt intensely is the financial sector. Innovative products and services are offered in the sector with the effect of new initiatives in fields of activity such as banking, investment consultancy and insurance, and the dynamics of the market are changing radically. With the effect of technological developments such as the Internet of Things, Blockchain, API, and artificial intelligence, a new industry called financial technologies (fintech) has emerged. Innovative solutions in many financial services areas such as payments, money transfers, financial consultancy, loans, borrowing and insurance are gaining ground in the market with initiatives in the Fintech field. In this study, digital transformation and the developments in fintech are examined, the concept of fintech and its ecosystem, the categories of fintech startups and fintech solutions in our country are emphasized and current developments in this ecosystem are presented. The study categorizes fintech solutions under four main headings: payments, asset management, financing, and other fintech solutions. It is possible to say that the market most affected by digital transformation in the financial sector in Turkey is the payments field. It seems that mobile payment solutions and cryptocurrencies are the sub-sections with the most solutions in the field of payments. Fintech solutions in the field of financing include solutions in the borrowing/credit and crowdfunding subcategories. Wealth management, on the other hand, offers robo consultancy and personal finance management solutions, also known as çevrimiçi consultancy. Apart from this system, solutions related to insurance, technology, infrastructure, informatics, risk management, operations, and other Fintech solutions are classified. It seems that crowdfunding, money transfers, personal finance management, and asset management techniques are areas where Fintech initiatives are relatively rare.