The emergence of innovative Financial Technology (FinTech) has spearheaded rapid growth in the digital payments sector. In recent years, global payment revenues exceeded valuations of $2.2 trillion, with a steady Compound Annual Growth Rate (CAGR) expected in the next five years.
There is no denying the convenience benefits that the digital transformation of payments has brought consumers and businesses. With the help of mechanisms like digital wallets, bankless cards, and secure real-time transactions, Payment Service Providers (PSPs) have become huge players in a fast-evolving global financial ecosystem.
However, despite these innovations, risks like fraud, money laundering, and terrorism financing still linger. While there may have been a recent decrease in FinTech cybercrime as per UK Finance’s latest report, it is far from a clear road ahead, specifically as far as digital payments are concerned.