Social and mobile payments have fundamentally changed the financial markets, and a major chunk of the credit goes to the huge upsurge in the bitcoin and blockchain mania that shot through the roof in 2017. The mobile payment volumes now exceed $5 trillion annually in China as per the reports.
As blockchain speeds clearing house functions while smart contracts handle settlements, all the aspects of the payment chain are open to disruption. By eliminating things like the need to swipe a credit card at checkout to help make shopping far quicker, there have been various biometric measures like facial recognition, voice ID, and fingerprints being adopted in 2018. So instead of the card swipe, you will be able to verify your identity for a merchant through retinal payment by scanning your eyes with your smartphone. A lot of major retailers are hopping on the cryptocurrency bandwagon and looking to issue their own secure currency too.
Fintech is also becoming healthier as the year is progressing. There is now a financial incentive for investments into quantum computing as the cryptocurrencies are reaching over $300 billion in total value. The investments involve using the behaviour of energy at a subatomic level to process computing functions at a billion times faster than today’s microprocessors.
The carbon footprint of cryptocurrency mining is also huge, and quantum computing has the potential to greatly reduce the estimated 28TWhs of electricity consumed by all of the current computers processing bitcoin.
As traditional financial institutions start treating cryptocurrencies and other digital assets similar to traditional fiat currencies with more efficient payment systems, loan processing, and credit instruments, the banks will derive over $1 billion annually from blockchain-based cryptocurrencies. Going green by using less energy to create bitcoins, will translate into earning more green.