Islamic Fintech

Another reason that attracts a lot of attention is the fact that the Fintech industry is able to change the way the entire financial system works. Because of the technology, we are able to move away from traditional methods and go straight to the source of information. It is also important to mention that most of the Fintech companies focus on developing their products with the goal of improving user experience and lowering costs for the final consumer.

3. All types of banking customers can be targeted

Today, there is a large variety of customers who can be reached by FinTech companies. For instance, FinTech startups are focusing on younger generations since they tend to spend less time saving money and more time spending it. However, it does not mean that older people cannot benefit from FinTech. It is true that as you age, you might have less disposable income, but the amount of money spent on savings and investments tends to increase, and you can rely on your retirement fund to provide you with sufficient income. If you find yourself in one of those situations, you can always count on FinTech companies to provide you with the tools you need to save money and achieve your financial goals.

Many FinTech companies target specific groups of customers, offering special features to meet their needs. For example, some FinTech companies specialize in offering loans for small and medium sized businesses (SMEs), while others focus on small entrepreneurs and freelancers who might not qualify for traditional forms of funding. Others try to serve customers who have low incomes and therefore lack access to traditional banking products.

4. Interest free and Shari’ah compliant products has a unique market worldwide

One of the biggest benefits that FinTech offers is the ability to reduce transaction costs. Most of the time, traditional banking institutions charge an enormous fee for processing a single transaction. For example, if you want to open a new savings account, you might expect to pay hundreds of dollars. However, FinTech companies usually don’t charge any fees or very tiny and affordable fee.

Another major advantage that FinTech could easily be converted from traditional and conventional interest based banking to interest free and Shari’ah compliant products and services. Financial institutions should comply with Islamic laws, including prohibitions against usury and interest. These rules are strictly enforced in countries where Islam is dominant. But FinTech companies often operate outside of the country’s borders and thus are able to offer interest-free loans and offer Shari’a compliant financing or investment products across the world.

5. It could be integrated with a marketplace as it’s trending now which also can offer BNPL and EMI services through Shari’ah compliant way like Murabaha , ijarah and Musharakh etc.This must be grat mile stone in Fintech Indusrty.

The rise of Digital currencies and virtual cards are another great step forward for the FinTech industry. Digital currencies are becoming popular among both businesses and individuals, and this trend shows no signs of slowing down. One of the advantages of using digital currency is that it eliminates the need for intermediaries. Instead of dealing with a third party, you can conduct transactions directly between parties. Therefore, it is possible to connect the blockchain technology with various existing payment systems and create something completely new.

Blockchain technology is a decentralized database that is constantly updated and stored securely on computers around the world. It is designed to eliminate fraud and ensure security, reliability, and transparency. For example, it is possible to integrate blockchain into a marketplace, allowing buyers and sellers to transact directly. And these transactions can be carried out with absolute certainty. 

So, as we see, FinTech is the future of online banking, and it is only going to accelerate further. We are seeing an explosion of innovation that is creating entirely new opportunities. Not only can FinTech companies improve how we do business, but they can also bring new products to market. With the right approach, it is highly likely that FinTech will continue to dominate the industry in the next few decades.

If you are interested towards interest free or Shari’ah compliant fintech products and their solutions, you must visit: www.greensfin.com