Fintech and the future of financial services: innovations in the financial sector

Abstract

Introduction. Fintech is an important way to adapt the financial sector in today's conditions of rapid development of innovations in the global financial market and increasing user requirements for convenient access to financial services. The paper explored the theoretical aspects of fintech, in particular, the essence, the main market players, positive and negative consequences, as well as classification according to several criteria. The purpose of the paper is to assess the state and prospects of the fintech ecosystem of Ukraine based on its comparison with the global fintech ecosystem and analysis of its key performance indicators. Results. The triggers for the rapid development of fintech are characterized, which include the global financial crisis of 2008, the acceleration of the processes of digitalization and Internet development, user requirements for convenience, the activation of innovations, etc. Global trends in the development of fintech, promising technologies are revealed, companies preferred by investors are determined, and the volume of financing in the industry is also noted. The compliance of the development trends of the Ukrainian fintech ecosystem with the identified trends was investigated. The main statistical indicators of Ukrainian fintech (number of companies, sources of financing, location of companies, etc.) and the sectors in which Ukrainian fintech companies operate are revealed. Key technologies used by these companies are identified. A SWOT analysis of Ukrainian fintech was conducted, which allowed us to summarize the key positive and negative aspects of the development of the ecosystem. The strategic directions and goals of the development of the fintech ecosystem approved in the "Strategy for the development of fintech in Ukraine until 2025" were revealed. Conclusions. As a result of the study, recommendations were made to stimulate the development of the fintech industry in Ukraine. Among other things, it was found that the further effective development of the industry depends on the balance of state regulation, success in increasing the digital and financial literacy of the population, the availability of highly qualified specialists, activity and effectiveness in the introduction of the latest technologies, as well as the availability of funding sources.