Money in the age of bits and bytes: Technology in reshaping finance

Abstract

In contemporary times, there has been a growing convergence between the finance and technology sectors. The emergence of FinTech has revolutionized the delivery of financial services and created new opportunities for innovation in the financial sector. The use of artificial intelligence, blockchain, and mobile banking are examples of how technology is reshaping the financial industry. This case explores the emergence of the Indian banking sector’s adoption of technology, starting with computerization in the late 1980’s and its growth through to the present day. Financial services have benefited from technology in the form of streamlined processes, lower costs, happier customers, and easier access to relevant data. In addition, by using technology, risk can be evaluated, superior investments can be made, and customer habits may be comprehended. Conversely, technology presents a set of difficulties such as cybersecurity risks, financial misconduct, prejudiced algorithms, and the marginalization of specific demographics from digital financial amenities. This case brings out the perspective that the future of financial services is expected to be shaped in large part by the effects of technological progress.