After a long period of sustained growth, the year that has ended presented itself as a real challenge for internet financial companies fintech Argentines, who have acknowledged the reception to a greater or lesser extent of the changes that have occurred globally. Many of these local companies have had to rethink their business models, cut staff or directly close its doorsin the light of a new global context.
However, if you take a general overview, the sector as a whole managed to close another year of increasebeyond the turbulence. An analysis made by fintech Payment credentials shows that in five general aspects the country’s technology companies have managed to overcome the context and grow in the number of users, sustain the level of employment and continue to advance in digital solutions.
The study focused on the evolution of variables such as usersthe Workthe technology used and the integration of the ecosystem. “We are at the perfect time for banks and fintechs to come together, generating synergies in creating a digital ecosystem,” he said. Jorge LarravideMarketing Manager of Credential Payments and lecturer at the Tella University in Fintech Executive Programs.
Two elements caught Larravide’s attention: the performance of the electronic controls or check and the rapid adoption of the system Transfers 3.0promoted by the Central Bank in recent years.
Regarding echeqs, Larravide pointed out that the market share of digital checks has increased from 11% in November last year to 31.5% in September 2022.
“Digital transformation is a fact. Since 2020, digital payments have managed to consolidate themselves as an alternative in the way citizens relate to their financial needs”, highlighted the Credencial Payments report. “This promise has brought great results in the last two years, since this vertical is by far the one that has grown and developed the most since then, doubling the number of companies operating in the sector in Argentina”.
While there have been some layoffs and workforce adjustments in some fintechs in 2022, as this is a full-employment sector with unsatisfied question (companies require more technical profiles than those available on the market), they are professionals who quickly reinsert in a new project.
“The data on employment in the fintech sector are very relevant not only for its growth (86% in the last two years and about 400% in the last 5 years) but because it shows that talent is in all corners of Argentina and because especially in fintech it is where the culture of remote work. It no longer matters where they are but the talent I have,” raised Larravide.
Finally, the executive highlighted: “We are surprised and passionate about this transformational moment in which we move from web2 to web3. This is truly the End User Revolution”, he said and added: “Among all the emerging technologies, the Finance Decentralized (DEFI) and Open Banking models, finally the “Customer” will not be owned by anyone but will decide absolutely everything: what, how, where and when to operate“.
Source: Clarin
