Categories
Categories
michael bedwell
by on January 28, 2021
752 views

API, SaaS, KYC… At times, understanding a text or a presentation on ‘FinTech’ can seem like something within the reach of a select few. However, these acronyms hide realities that are not so complex. And, at the same time, essential to understanding how this revolution works. Next, the meaning of 10 very common terms in the sector.

AML:

They are the acronym for Anti Money Laundering. This term is used to encompass all the legislation that fights against the laundering of finances from illegal activities, which in turn can be used for criminal or terrorist activities.

Also Read - Download Free Shutterstock Images Without Watermark

International concern about the financing of terrorism, accentuated in current months by the attacks in Paris and the performance of a lone wolf in San Bernardino (California), has led to the creation of stricter regulations for monetary operations.

The fintech industry is aware that it must harden and sophisticate its verification procedures given the progressive toughening of laws across the world.

API:

API is an Application Programming Interface. It is a set of procedures or functions utilized by computer programming to run the service of the software libraries, operating system, or other systems. Said in a less technical way, we can also define it as the computer processes that form how one application can talk to another.

Open API is being basic in the expansion of the digital economy. The first companies to dare to share their guts were online giants like Facebook, Twitter, and Amazon, in the middle of the last decade.

Today, APIs are basic for the fintech industry. In addition, the most dynamic large traditional banks, such as BBVA, are betting on APIs as an essential tool for creating an ecosystem of digital services for their clients. 

CDO:

Now, we do not have watchmen or Linotypists, but technological development brings us new professions. One of those with the greatest future is the Chief Data Officer (CDO). That is the executive of the company who leads all data management, for many companies its most valuable asset.

KBA:

They are short for Knowledge-Based-Authentication. It is one more way of trying to secure digital identity as if it were a personal question that online services ask.

KYC:

Know Your Customer: It is a term that is utilized in various areas of economic activity but is especially vital in the financial sector. When we speak specifically of fintech and banking, KYC refers to the set of rules that entities must comply with regarding the identity of their clients and the validity of their funds.

Messaging Commerce:

Currently, this trend is the largest in Asia but will also likely continue growing. This type of commerce lets the user make mobile phone payments with something as easy as a messaging app.

P2P loans:

P2P is the abbreviation for peer to peer, a computer network without fixed clients or servers and ended up of a node series without hierarchy.

In such a case, they are loans between individuals, “peer to peer”, without the involvement of any type of financial institution.

Also Read - What is . AAE file and How to Open .AAE files on Windows

Post in: business
Be the first person to like this.