A mobile wallet, a virtual credit card, an app that organizes receipts, these financial services innovations and others that keep you from doing things "the old way" are collectively known as fintech. As a small business owner, you can use fintech to make your financial life easier. And if you have an awesome fintech idea you’d like to bring to life, you might find yourself working side-by-side with fintech industry giants in Toronto, the country’s fintech hub, aka the New Silicon Valley.
So what are the leading tech innovations in the financial services industry? Cryptocurrency stands on the frontier of the fintech industry as the only currency not tied to a central bank. Bitcoin is the most well-known cryptocurrency, but there are others, including Ethereum, LiteCoin, and Dash. Then there’s blockchain, a type of record-keeping technology, that keeps secure and permanent records of cryptocurrency transactions. But fintech isn’t limited to complex digital currency innovations. Inventions such as online bill payment, stock trading platforms, and invoicing software all fall under the fintech umbrella.
Shopify leads Canada’s fintech pack. Based in Ottawa, the versatile e-commerce platform helps store owners worldwide capture sales on multiple channels including their web store and social media pages. Tesla is one of Shopify’s biggest customers. Another fintech company, Vancouver-based Mogo Finance Technology, helps millennial Canadians build credit and manage debt responsibly with competitively priced loans.
Fintech offers benefits large and small to businesses, so it’s beneficial to know what the industry is all about and how it can help take your business to the next level.