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A look to the future, from Europe to Brazil

by Paulo Quites, COO da act digital

The financial market has been one of the most effervescent sectors, both in terms of technological innovation and the reformulation of value propositions. If decades ago the image on the part of consumers was of extremely rigid and bureaucratic institutions, today we see the smartphone acting as a hub for instant services that can be performed anywhere in the world. 

The emergence of fintechs, banks and digital wallets not only served to increase competitiveness with cheaper offers. They also brought in new technologies that forced the digital renewal of more traditional banks. 

In this ever-evolving environment, events like Money 20/20 serve to bring together key discussions about what is happening today and what can be implemented for the future. And many of these subjects also relate to the Brazilian market, such as Open Banking, blockchain, cryptocurrencies and the metaverse. I list some of the main topics discussed in the last edition of the event in Amsterdam on technology in the financial market: 

More consolidated Open Banking 

Now called as Open Finance in the country, the sharing of data – previously authorized by users -between financial institutions has advanced a lot. However, it is still based on offering credit with better data analysis. 

In the Old Continent, however, banking services in countries such as the United Kingdom are already seeking to develop solutions that generate greater profitability, such as carrying out transactions with values that are available in other bank accounts. 

Blockchain as an element to increase security 

The rise of cryptocurrencies has contributed to shedding light on currencies like Bitcoin and Ethereum. But blockchain technology still can and should be better utilized by the financial system. It plays a key role in recording secure cryptocurrency transactions allowing its tracking and validation of the process while ensuring data privacy. 

In another measure, when we think of assets far from the crypto world, it can serve as a security element for the sale of material goods (such as cars or real estate) or even in smart contracts. A safer environment generates more agility and reduction of related costs – facilitating the processes of opening accounts, taking out credit and contracting additional services. 

Maturity of cryptoassets 

Previously seen as an element on the fringes of the traditional banking system, the crypto world has gained space and is less seen as a mere speculative element. So much so that even in the midst of the “crypto winter”, there are no signs of a reduction in its adoption by the main financial entities. 

And part of this coming of age transition is working towards basic regulation that does not negatively affect the ongoing development of innovations, but acts as a safety net with central banks around the world. As a consequence, the crypto market becomes more understood by the public and drives the entry of new players. 

There is still room for fintechs and neo-banks 

Another theme that we have witnessed in recent months is the reduction of private investments for startups, in general. However, the feeling is that even in a scenario of reduced investor appetite, there is still a demand for new innovative services. What can be seen as an incentive in the search for audiences not yet attended in a digital and practical way or services with excessive bureaucracy. 


Finally, the hottest topic not only in the financial sector. Practically all areas, from education to entertainment, seek to understand how the metaverse can be used for the benefit of users and companies. But while there are still no concrete answers, the message is “experimentation”. And most importantly, without getting into an unnecessary race to be the most innovative.