FinTech

In this video, Robert Dittmar, Professor Finance at the University of Michigan delineates between cryptocurrency and FinTech.

The term FinTech refers to all technology and innovation related to financial services and does not necessarily imply newness; checks and paper money are two examples of FinTech that we are very familiar with. Robert lays out four categories: credit tech, invest tech, insurtech, and pay tech – the last of which includes many blockchain technologies.

Discussion: What are some ways that technology could improve your ability to take care of your finances? Do you consider yourself an early adopter or do you take time to get used to changes in technology?

Optional: An innovation of some types of FinTech is less reliance on banking institutions and credit systems, which could empower unbanked and underbanked populations across the globe. Read more about how decentralized finance may improve financial inclusion.