Cashless hasbeen legitimised by the rise of the trendy industry of ‘Fintech’ whichradically revolutionized the accessibility of payment channels moving us nearerto the reality of a cashless society. Fintech is huge with companies adaptingand simplifying traditional financial technologies and systems where thefinancial returns and benefits are massive. Projections show that there will be$503 billion mobile payments in store by 2020, with a growth rate of 80%(Rampton2017). The Fintech industry has tackled financial inclusion and has boosted theprevalence of digital transactions through mobile wallets, artificialintelligence, wearable technology and contactless payments across verticalswith varying degrees of success. The newtrend of cash-free payments using your smartphone has been led by Square, aFintech disruptor which was launched in 2010 by Twitter founder Jack Dorsey. Squareis very simple helping many firms advance their payment methods.
Squarehumanizes contact and has eliminated friction for customers as card paymentsare hassle, physical money is cumbersome and buying systems can beovercomplicated. In the US the banking sector is tiring, Square capitalized onrecent amendments by the Federal Deposit Insurance Corporation (FDIC) whichencourages new types of banks and has now applied for banking status and thisstrategic decision is proving how conventional banks are no longer essential(Rampton 2017). Adding their own bank to their portfolio, they don’t have topursue banking firms for partners. With Square offering a new type of bankthrough smartphone technology has enabled Square to achieve the objective ofincreasing society’s participation and stimulating the economy. Creating morestart-ups, addresses problems and creating financial independence for smallfirms to help strengthen global economies.
Apple payhas created fantastic opportunities through Fintech, where payments under £20can be made using a compatible Apple smartphone. In the UK over 70% of thepopulation own a smartphone and Apple pay can tapped into a massive potentialconsumer market. Personally, I use Apple pay for everyday purchases such asbuying a coffee in the University library during a revision session due to itsconvenience and efficiency. It saves me time as I do not have to leave thelibrary to go to the closest ATM machine or have to rummage through my walletfor the correct coins or notes I need for my purchase.