Fintech - old wine in a new bottle

Will fintech revolutionise banking services or is it more hype than substance?

In the last few months, fintech has been attracting a lot of attention; the valuations of some of the companies seem astronomically high. (Recently, a UK company attracted valuation in excess of $10 billion, well in excess of its gross earnings, and when there is no profit!) Will fintech revolutionise banking services or is there more hype than substance? In a recent paper, the European Banking Authority (EBA) defined fintech as “technologically-enabled financial innovation that could result in new business models, applications, processes or products”. EBA also classified fintech services under four clusters:

* Credit, deposit and capital raising services

* Payments,