Cryptocurrency is cheaper than accepting traditional credit cards, because it cuts out the middle man, money is moved from buyer to seller - no friction, in the US businesses paid $78 billion in processing fees in 2014. Cryptocurrencies are safer too, think of all of the credit card companies that have been hacked, compromising your information and identity.
With cryptocurrencies there is no fear of hackers because there is no information to hack and the security protocols behind these currencies are so good that banks are beginning to adopt them.
In the past when you had a new idea for a business you had several routes to funding it, traditional banks,
Angel investors or Venture Capital, friends and family or eating lots of ramen noodles while bootstrapping and hoping for the best. Never before have there been more options for finding financing for your new business idea - think of crowdfunding sites like Kickstarter who gave birth to the Coolest Cooler and Pebble wearables.
Previously crowdfunding sites like Indiegogo and Kickstarter didn’t technically offer and “investment”, instead it was called backing.
Indiegogo is officially moving into the coveted Equity crowdfunding space, and this is important because on May 16th, the Jobs Act was enacted which means that anyone can now invest in any startup. Previously, investors had to be qualified and accredited, carefully vetted and meeting a number of criteria including, an annual income of $200k for an individual or $300k for a couple or have a net worth of $1 million minus the value of the primary residence.
This is another game changer, and it is all made possible through Fintech platforms.
There are many more sectors that are being disrupted by Fintech, including healthcare and insurance. Fintech will continue to grow as investment in Fintech is expected to reach 17 $billion this year.
About the author
Maria Botta is the founder of FWD-Action, a digital strategy consultancy, working with small to mid sized businesses, helping to lead clients in the convergence of technology, creativity, entertainment. FWD ACTION allows Botta to continue to do what brings her the most professional and personal satisfaction, “Doing great work that truly matters, with integrity, for those clients who are striving to do good works for the world". Botta is the daughter of Cuban exiles, she was born in the US, and raised in Europe and the Caribbean, she holds an MBA in Global Management from Thunderbird's prestigious European program in Geneva, Switzerland and an Art History degree from Mt. Holyoke College.Twitter