Digital Transformation in the Financial Sector: New Trends and Technological Innovations

Abstract

Recent years have seen the financial sector undergo a dramatic transformation, largely thanks to rapid technological breakthroughs and the relentless digitalisation of many business processes. This transformation-almost as if the traditional rules of finance are being rewritten by tools like artificial intelligence, blockchain, big data, and a host of fintech solutions-has sparked a kind of metamorphosis in what were once considered conventional financial services. At times, these shifts present both intriguing opportunities and significant challenges; for instance, while financial institutions are harnessing new digital tools to streamline operations, they also encounter unexpected hurdles that can, paradoxically, seem to undermine their very progress, which is quite a conundrum... The exploration here takes an in-depth look at how these technologies not only reshape institutions but also subtly alter regulatory frameworks, consumer behaviour, and even the broader economic landscape. Furthermore, by scrutinising current trends and venturing into speculative forecasts, valuable insights emerge regarding the continuously evolving terrain of finance in our digital era—a scenario that, while occasionally marred by minor contradictions, still offers a rich, albeit imperfect, tapestry of progress and potential. CZU: 336:[004.8+001.895]; JEL: G20, G21, O33