The financial sector is in constant search for tools that continue to provide trust and security, and FinTechs have taken a leading role in this process, guiding the entire technological revolution in the sector. Next, let's get to know which security tools we currently have and how they can be implemented.
Trust, the foundation of business
Trust has always been a fundamental aspect in any commercial transaction, if it weren't for it, that paper we call ballot, and which is used less and less over time, would not have the value that we all agree on. This trust is also vital in the transactions we do online.
For example, in digital transactions, you may see trust reflected in the use of digital signatures, voice, facial, or iris recognition to perform different types of consents or permissions. All of these tools provide trust for both customers and merchants.
Fintechs, companies that use technology to improve or automate financial services and processes, have become a fundamental part of providing security and trust in this sector, promoting progress and development.
The Fourth Industrial Revolution
The main and most famous example of what Fintechs are doing are cryptocurrencies, which run on a distributed database called Blockchain, one of the four foundational technologies of the Fourth Industrial Revolution.
Also known as Industry 4.0, this revolution is marked by the emergence of new technologies that affect different industries, at different levels and in different areas. They generate more efficient interactions, using real-time data that help to optimize processes and, thus, offer a better experience for customers and employees. Learn about the Fourth Industrial Revolution
Blockchain, optimizing security
Blockchain is a technology that stores information in a decentralized manner in which different types of data can be added, such as: transactions, processes, agreements, personal data, among others. To ensure protection, this data is encrypted under complex mathematical operations, which increase security to levels that mankind has never seen before.
This is due to Blockchain, a database that can be shared by several people or users, generating information to be stored in an immutable and orderly way. In the case of some cryptocurrencies, the information added to the blockchain is public and can be consulted at any time by any user on the network.
Due to decentralization, everyone involved will have faster and safer transactions against possible fraud and manipulation, as the network uses encryption and encoding. With Blockchain technology, companies can offer a global payment alternative to customers without jeopardizing the security of both parties.
This is how Blockchain became a robust system against manipulation, in addition to being transparent, which led it to become a key factor of trust and security. The application possibilities of these technologies are endless, with many sectors interested and benefiting from being able to have distributed and immutable databases of information.
Solutions such as Blockchain, and FinTechs in general, respond to various needs that companies have in relation to online transactions, considering that they are new business models that are emerging with the digital economy.
Likewise, the privacy of all information and its availability is an issue to be highlighted. This technology arouses increasing interest in different economic sectors, with confidentiality, availability and integrity being fundamental factors.
Having access to this technology offers benefits, and above all, security in data protection. Some of the many advantages are:
- Saving money from unnecessary expenses;
- Increase on competitiveness with startups offering faster, easier-to-use international payment services;
- Create new business models;
- Build trust between strangers;
- Asset security & tracking and exchanged values.
What about LATAM?
So far we've seen how trust and security are a key factor for FinTechs and how these characteristics are the base of the entire creation of this sector in technology; beyond that, we have Blockchain technology as the key to the fourth industrial revolution. However, these issues often seem distant, but here we will list the advantages of this tech specifically for the Latin American sector.
- With the development of Fintech ecosystems, which go hand in hand with the creative industries, technology-based ventures are boosted thanks to Blockchain tokenization.
- In societies as corrupt as ours, Blockchain empowers citizens and provides tools for fiscal control;
- Blockchain is a technological resource that enables more control on the access to health, education or subsidies, therefore, being more efficient;
- It raises trust levels, generates efficiency in production processes and conquers markets that demand this type of reliability to do business.
Thus, in the Latin American context, the implementation of this type of technology seems vital and necessary. In societies that desperately need security and trust, Fintechs come to fill that void and improve social processes.
MetaMap, hand in hand with security and trust
At MetaMap we believe that it is very difficult to develop a real relationship with a person, brand or customer if there is no trust involved. That's why we work to make sure that trust and security are the key to everything in every digital relationship.
With just a few clicks, in minutes and without the need for a team of developers, MetaMap provides tools for biometric identification, digital signature, government list verification, IP and GPS verification, phone number verification and much more.
Our trusted merits expand in more than 40 countries and we continue to add new allies every day. Our team provides the reliable infrastructure needed to grow in the borderless economy, regardless of the size of your business or company.