The global market of financial technology, with an estimated value of US$ 194.57 billion this year, is anticipated to reach around USD 501.9 billion by 2032, recording a CAGR of roughly 18.9% between 2023 and 2032. It continues to be driven by the exponential growth of e-commerce and the increasing popularity of digital payments and mobile banking apps, as well as the exponential growth of e-commerce.
With that, fintech is undoubtedly among the most attractive industries to be in. Unfortunately, this not only applies to businesses and investors, but also cybercriminals.
Fintechs deal with highly sensitive personal and business information. Of course, they, like traditional banks, also handle massive sums of customers’ money. Regrettably, as the continued evolution of tech has made fintech possible, there are also corresponding technologies that can be used to put funds at risk.
Fintech enterprises deal with vast amounts of valuable data, including their customers’ personal and financial information. This data, if compromised, can lead to severe consequences such as identity theft, financial fraud, and reputational damage.
Payment frauds such as multiple phishing, malware, fake UPI links and OTP linked frauds are a constant concern both providers and consumers face, and the overall rise in cybercrime is a menace to the global economy, leading to pernicious effects on businesses and communities.
Disruptions in the processing of payment flows is also an additional threat to the payment systems. By investing in robust cyber security measures, fintech companies can safeguard their customers’ information, build trust, and differentiate themselves from competitors.
As they continue with digital transformation, it continues to be essential that each is able to create and maintain a robust and scalable payment infrastructure with security measures that can not only keep up with, but also be a step ahead of, existing and emerging security risks.
Digital banking institutions are expectedly an easy choice for online thieves and fraudsters due to both the high monetary values they maintain and the exceptionally sensitive nature of the information they collect, process, and store.
Not surprisingly, the highest-earning companies and/or those with the most significant number of customers top the list and are often the ones that have to deal with the most substantial security risks. Such is the case with Toronto-based global digital banking company, Black Banx.
Founded in 2014 by German billionaire and CEO Michael Gastauer and officially launched to the public in 2015, Black Banx gained 200,000 new customers in its first year. By the end of 2018, the company had reached a valuation of US$9.8 billion, making it one of Europe’s most valuable fintech companies. Fast forward to 2023, and it has welcomed over 11 million new clients in the first three quarters of the year alone, which has brought its overall customer base to over 33 million and counting.
Trusted to safekeep the money and data of that ever-growing customer base, Black Banx understands the need to continue taking urgent action and maintain a secure online environment that will strengthen consumer trust in its systems. Among its key strategies has been the continued development and maintenance of strong relationships with the leading banks in the world as a means to ensure the safety of the funds of its customers.
In short, the money of Black Banx customers is never held in one singular bank or country. By segregating accounts across multiple locations, the highest level of protection is provided as the said funds are globally diversified and enjoy the security of multiple jurisdictions.
With regard to fulfilling Data Protection requirements, Black Banx maintains a full PCI DSS 3.2 certification. Complying with the highest Data Security Standards, the company employs its own team of security experts solely for the comprehensive protection of customer data. The payment software Black Banx uses is also fully encrypted and secured ISO 20022 certified messaging schemes for payment execution and data transfers. Complying with the highest of standards in the banking industry, Black Banx’s servers are situated only in ISO certified data centers.
It indeed continues to be evident that the fintech industry’s rapid growth and increasing reliance on technology has made client security a top priority. As a result, fintechs like Black Banx continue to employ a multifaceted approach to secure customers’ funding and their sensitive financial data by leveraging encryption, multi-factor authentication, tokenization, blockchain, AI, and cloud security, among other technologies.
By maintaining such comprehensive security strategies and making updates as needed, Black Banx and other fintechs are able to ensure that customers can trust fintech platforms with their finances, transactions, and personal information.