According to Startups Magazine, as with the evolution of any industry (think about the development of the internet), NFTs are the result of next-gen technologies’ influence in the digital world of things and this will most likely keep on impacting the digital consumer experience. NFT technology can serve as both the infrastructure for a modern business model as well as providing valuable assets and utility for consumers and investors.
With over 30 years of fintech and investments experience, Brad Wilson, CEO of PRISM, has over 30 years of experience in the fintech and investments industry. With extensive experience growing portfolios of several well known companies, he is now at the helm of NuPay Technologies to pave the way in the NFT industry.
What has been the traditional company response to financial technology innovations nationally?
Innovation within the financial technology scope has always been welcomed, especially with the financial sector largely crossing over into the digitalised world. Traditional financial institutions may have created the foundation for newer fintech models, however, it’s the young and up-coming fintechs who are making a difference in how traditional financial institutions themselves operate – to keep up with the times. Every day we see more traditional businesses adopting new practices and embracing the change – the NFT industry reflects these new changes towards a more digital world.
Digital currencies, or cryptocurrencies, are a unique type of fintech that has started to transform many verticals of the financial sector. This type of innovation has created new opportunities from trading and investments, to payments and loans. Traditional financial companies have also had the opportunity to optimise their operational systems with Blockchain technology – in most cases, inspired by fintechs making use of updated IT systems. Blockchain technology holds the ability to transform dated financial processes into entirely transparent procedures (to serve the client with a user friendly and informed process) built on secure and efficient transactions.
Innovation from fintechs are revolutionising the finance sector completely.
How has this changed over the past few years?
In recent years there has been a much more liberal shift in how traditional companies look at financial technology, and many are open to exploring the space. For example, NuPay Technologies was born from the merchant services industry where we saw many issues that could be solved with blockchain and cryptocurrencies. Instead of letting the banks control what they do, many companies are open to developing their own solutions.
Thinking further back, traditional institutions were quick to say digital currencies won’t catch on. There has been a reluctance to change how traditional systems operate in the financial world, as it’s ‘safe’ and ‘stable’. Yet with new generations entering the workforce and technology having the upper-hand, insights from fintechs on how to modernise the way we bank have been embraced.
Is there anything that has created a culture of change inside the company?:
Embarking on a new business journey has ignited a new passion and excitement within the company. Transitioning from traditional finance to a more de-fi-centric approach opened many doors to learn, challenge previous thoughts, and try new things. The ever-changing blockchain industry presents new opportunities and challenges every day. We strive to create an NFT platform which is inclusive and celebrates artistry of all types. For us, working in an area that’s so innovative allows us to develop alongside the industry.
What fintech ideas have been implemented?:
Larger application of the use of blockchain within financial processing systems, e.g. when it comes to making payments, trade or currency exchanges. Should blockchain integrate further with fintech operations, we could see a whole new rewiring of global payment networks.
What benefits have these brought?
Technological innovations are making room for a new type of financial management system. The main benefit being fostered is greater transparency when it comes to banking. This offers end-users greater control over how they choose to bank and manage their personal finances.
In terms of internal process enhancements, tech innovations inspired by fintechs could result in totally updated business models for greater effectiveness, easy-to-use employee applications, even processes or products with an associated material effect on financial markets and institutions. Blockchain technology can further aid financial institutions in the prevention of fraudulent activity, as well as lead to problem-solving that could reduce risk.
Do you see any other industry challenges on the horizon?
In many cases, regulatory compliance is a continuous challenge – especially in disruptive markets where rapid changes happen as new products and services are introduced. Regulations in the coming years will have a direct impact on the adoption rate of new financial technologies.
Security breaches and mismanagement of data storage increases the risk of cyber attacks on financial institutions. With services that are dependent on the operational efficiency of technology-lead systems, the challenge is to stay proactive in predicting the next move to make to ensure systems are up to date and prepared for the next market demand.
Can these challenges be aided by fintech?
Not only do fintechs help to drive financial inclusion, they are inspiring democratising finance in both advanced and developing economies. Providing well managed, secure use cases will go a long way in building regulatory framework
Final thoughts…
While we wouldn’t be considered a ‘traditional’ fintech, the NFT and cryptocurrency industry is one that is ever-changing and rapidly growing. We believe that it marks the future of financial technologies. With PRISM, along with our future projects, we hope to change the way we traditionally associate with fintech. Cryptocurrency and digital assets offer us new solutions and we’re excited to be a part of the future of fintech.
