Upcoming FinTech: Artificial Intelligence, Machine Learning and Blockchain will be the Hottest Technologies- Use Cases

Upcoming FinTech: Artificial Intelligence, Machine Learning and Blockchain will be the Hottest Technologies- Use Cases

AI-Fintech

In India, widespread adoption of these technologies has not yet come to fruition. However, in the past year, we have seen collaborations between several large financial service companies and FinTechs in conducting POCs and implementing some of these emergent technologies into their operations. The most notable use cases have been:
• POCs using Blockchain technology (DLT) for cross-border remittances, trade finance, and vendor financing.
• The use of AI and ML to automate and streamline workflows in big financial institutions and chatbots to facilitate conversational analytics and more efficient customer service.
These technologies certainly have the potential to revolutionize the BFSI sector, greatly improving the customer experience and improving the efficiency of the internal processes at incumbent companies. However, this is entirely dependent on successful collaboration between FinTechs and incumbents.
Artificial Intelligence (AI) and machine
AI and ML are two terms that are often, incorrectly, used interchangeably. AI simply refers to smart algorithms that have, in various degrees, the ability to vary their output based on a wide range of input variables. Machine Learning, on the other hand, refers to a ‘live’ algorithm which can actively observe certain criteria and alter its own behavior based on the required outcomes. Put another way, AI is a broader concept referring to machines conducting activities that we would consider to be ‘smart’, while machine learning is one particular application of AI which ‘learns’ from large amounts of data to make predictions/inferences that are useful to the user.
AI Investment
Artificial Intelligence is viewed as one of the most exciting and profitable ventures in the FinTech space in India. The applications of AI and ML in data analytics and customer service create the opportunity for exponentially more personalised and faster customer experiences; significantly better insights, and, automation of back-end workflows. Over 36% of large financial institutions are already investing in these technologies, and almost 70% report that they are planning to in the near future. With increased investment, we are likely to see many more applications of AI and ML being used in the BFSI sector. We foresee the following applications of AI to be most prevalent in the financial services sector in India: focused on data analytics and healthcare have received over $2 million in funding. There will certainly be major progress in the development and adoption of AI in the years to come, and Google and Apple’s recent inroads into offering high levels of support for.