Fintech Has Forced Banks' Hand on Blockchain, AI Adoption

The opportunity for fintech companies to disrupt traditional financial institutions is best observed today in millennials' habits. Millennials have a clear preference for accomplishing tasks through digital applications and services -- something fintech companies are better at providing than banks in terms of speed and personalization. More disturbing, Gen Y customers are far less loyal to their banks: only 45% of North American millennials said they plan to stick with their current bank, compared to 85% of North American respondents from all other age groups. While banks have steadily built up their online and mobile channels -- in part to appeal to millennials -- the products and services they offer in those channels are built on top of legacy systems and fail to provide the level of speed and personalization millennials expect. A customer might be able to deposit a check from anywhere with their mobile device, but it can take several days for that deposit to post to the user's account.