Financial organizations are relying on technology more than ever to improve making transfers, lending, investing, and receiving payments. Digital and mobile banking services increase the level of customer convenience and accessibility. Blockchain assists with transactions, artificial intelligence helps with making smart investments, and multifactor authentication protects sensitive financial data.
PricewaterhouseCoopers’ Global FinTech Report 2017 found that 82% of companies anticipate increasing financial technology (fintech or FinTech) partnerships in the next 3 to 5 years. Of the respondents, 77% expect to adopt blockchain by 2020.
As fintech gains popularity, financial institutions need to harness high-speed networks to ensure data is moving rapidly, reliably, and securely.
Time Is Money
The world of finance moves quickly. Decisions need to be made and acted upon before market conditions change. Financial data must be transmitted rapidly so that transactions can be made based on real-time information. On the stock exchange, a fraction of a second makes the difference between making a lucrative trade and losing out on an opportunity.
High-speed networks ensure that traders and investors have access to current information about the market. Fiber optic connections can send financial information at the speed of light through glass fibers the width of a hair.
Keeping the Bank Open
Gone are the days when customers only did their banking during regular business hours. ATMs ushered in the era of 24/7 banking, but today customers can bank from anywhere at any time using their mobile devices. Researchers at Javelin predicted that 81% of adults in the U.S. will be using mobile banking services by 2020.
The rise of mobile banking services makes availability more crucial than ever before. If you’ve ever gone to an ATM only to see a message that it is temporarily out-of-order, you understand the frustration that downtime creates for mobile customers. A reliable network increases business continuity for financial institutions. An ideal service provider for financial firms is one that that can design a network with diverse pathways, as well as provide Internet connectivity that has regional layers of redundancy.
Guarding the Vault
Security is vital in fintech. Sensitive financial information is vulnerable to being stolen when in transit between customers and banks or between a financial organization’s offices and the cloud.
Stolen financial information can be used to commit fraud and to rob customers of their savings. Controlling access to personally identifiable information and financial data is mandated by strict compliance regulations that govern the finance industry.
Dedicated fiber optic connectivity can offer a layer of security that is superior to that provided by traditional copper cables or a shared Internet connection.
Connectivity Built for Finance
Connectivity is key to fintech, but not every type of network is right for the job. Financial organizations need a high-speed, low-latency, and secure network to meet the challenges of fintech.
A well-designed fiber optic network offers all these advantages. The superior connectivity provided by an enterprise-level fiber optic network improves customer satisfaction, bolsters a financial organization’s reputation, and enables digital transformation through fintech.
FirstLight understands how important connectivity is for the finance industry. We provide a comprehensive set of connectivity and communications solutions for banking and finance.
These solutions are supported by our extensive fiber optic network that spans the New England region. Our advanced network ensures your company maintains seamless business continuity. Furthermore, FirstLight services some of the largest and most prestigious financial institutions in the Northeast, including banks, insurers, investment firms, and mortgage companies.
Learn more about why fiber optic connectivity is ideal for finance by visiting here.