Cloud computing has created a revolution in the banking sector and some disruptions in its business operations too. Most trending automation is cloud computing, a new technology for storing data on the internet. Cloud computing has different services like software, networks, databases, and analytics, which are delivered on-demand. The technology offers several benefits which include interoperability and secure storage for 24/7, specifically utilized in the banking and finance sectors.
According to the recent studies conducted by Forbes, it was revealed that cloud computing is expected to grow from $67 billion in 2015 to $162 billion in 2020 and secures CAGR (compound annual growth rate) of 19 percent. Cloud computing in banking facilitates secure connections with their users anywhere and at any time directly. Cloud computing has created its trademark in enabling bankers to focus on customer-centric pattern and digitalizing trading. Data recovery is very transparent and accessible through cloud recovery services. Aggregating cost-effective cloud solutions can increase the turnover of banks.
Banks are slow in adopting cloud computing due to issues like reliability, regulatory, and security risks. FinTech reduces the risk factors concerned to a data center and the infrastructure so that confidential data can be secured. Most common examples of cloud computing are like payment gateways, digital wallets, online fund transfer, and secure online payments. Updating payments are made easier with cloud computing.
Usage of cloud technology will definitely be an added benefit to the banking and finance sectors. Through cloud computing, security threats can be eliminated by authenticating data centers ensuring the prevention of loss of crucial data. Every data stored is safe and secured with hybrid cloud computing technology. Data can be easily accessed at multiple redundant websites seamlessly. As the data saved in hybrid cloud servers is encrypted, it is easy to eliminate all security threats in banks.
FinTech is creating a better customer experience by fixing all business disruptions. FinTech innovations are generating new value streams by being transparent and real-time operative. Blockchain and digital currencies are some of the other fintech innovations that enable businesses in the landscape with improved efficiency and security.