The Rise of AI and ML in Financial Technology: An In-depth Study of Trends and Challenges

Abstract

The aim of this research paper is to investigate the use of artificial intelligence (AI) and machine learning (ML) in financial technology (Fintech). The paper examines the emerging trends in the integration of AI and ML in Fintech, evaluates the associated benefits and challenges, and uses a qualitative research approach involving a review of relevant literature. The study finds that AI and ML are increasingly being integrated into various aspects of Fintech, such as fraud detection, credit scoring, customer service, and investment management. The paper also identifies challenges related to regulatory compliance, data privacy, and ethical considerations. Additionally, the paper suggests potential directions for future research, such as exploring the impact of AI and ML on financial inclusion and developing ethical frameworks to guide their responsible use in Fintech. In summary, this paper provides a comprehensive overview of emerging trends and future directions in AI and ML integration in Fintech.