What is the purpose of FinTech?

Published : 6 years ago, on 21/08/2018

Read through any industry news source today and you’ll see the ever-present narrative of tech changing the way businesses run and the world operates.

FinTech has had enormous impact over the last five years with firms doing a great job of disrupting the status quo and incumbent providers upping their game to compete.

The net result has been a big improvement in the services offered and a measurable improvement for customers.

However, there is more the industry could be doing. What we have not seen enough of in FinTech is:

A focus on using this wave of technology and investment for the good of society.

A proliferation of solutions to support the financially excluded in our society, or to guide those without financial literacy or numeracy skills to make better decisions for their future.

Applications or businesses designed to support vulnerable customers gaining anywhere near enough traction.

It is challenging, especially for younger businesses which are potentially in a pre-profit phase of existence, to be able to dedicate meaningful amounts of time and money towards a social purpose. This said, without a purpose beyond money, organisations can’t do good in the world. At Redington, our purpose beyond money is clear. It sits at the heart of everything we do – to help make 100 million people financially secure.

I’d encourage every FinTech, big or small, to think about what their purpose beyond money is and challenge themselves with two key questions:

Does this leave the world in a better place than I found it?

Are we, as an organisation, taking meaningful steps towards this purpose in the work we do?

When your purpose is clear, find the change makers and the rebels who are already working towards it. It can be a daunting thing to pursue alone, but there are many allies waiting in the wings. If it’s financial education, call RedSTART. If it’s supporting vulnerable customers, contact TISA and find out about the great work they are doing in the space. If it’s engaging kids in technology, talk to Devoxx4kids. Or if it’s to improve the lives of those closer to home, connect with your local community partnership.

Where others see the code, we see the change. If you want to see the change too, I’d love to chat and see if we can work together in some way.

Adam Jones, CTO, Redington