bankingciooutlook

How IoT Can Transform the Future of Banking?

Banking CIO Outlook | Wednesday, December 23, 2020

Incorporating IoT in financial services can enhance accuracy and accelerate information gathering, as well as broaden the range of available insights. IoT-enabled wealth management solutions would also notify users in case their financial stability is in jeopardy.

FREMONT, CA: The internet has put up so different meanings over the course of its evolution. IoT is one of the many avatars of the internet. It is not anymore a buzzword in the financial industry. The IoT infrastructure that facilitates the transmission of data across financial institutions, consumers, and commercial businesses is now called the Bank of Things.

Let us look at how IoT can transform the future of banking:

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Leveraging data processing algorithms to produce wealth management insights is quite a common practice. Incorporating IoT in financial services can enhance accuracy and accelerate information gathering, as well as broaden the range of available insights. IoT-enabled wealth management solutions would also notify users in case their financial stability is in jeopardy.

Improving Banking Experience

IoT has so much to offer both banks and customers alike. Data from sensors and beacons would enable bank managers to optimize a branch’s capacity management. Managers can precisely estimate the required personnel and the investments required to optimize performance by tracking the number of customers visiting per day. Apart from IoT’s potential to minimize the need for ATMs, it can also empower bank branches to completely manage their functioning through a smartphone as well as allow faster repair in case of damage. The US bank has an IoT initiative in order to encourage customers to stay healthy and fit by granting financial rewards and bonuses for reaching fitness targets.

Mitigating Security Threats

Today’s financial industry is facing several threats regarding data security. Industries are becoming more and more data-driven to provide seamless service. This data-dependency has increased the need to prevent data theft. With once device breached, attackers can easily open another device on the IoT network. Nevertheless, technology is advancing to rise to meet this demand. Now, there are a number of devices that implement encryption and authentication tools to protect sensitive data.

See Also: Top IoT Solution Companies

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