Fintech Meaning – search and agreement for a definition

What does Fintech mean? Is there a common definition of Fintech? When is a company actually a Fintech company? Is there a unique meaning for Fintech?

Aiming to be a source of information for news around the industry, at Fintech Valley we believe that we need to agree on a definition or scope for what Fintech exactly is and which companies actually fit into this category.


A simple definition of Fintech could be: “A technology used by financial service providers”. This, however, could already cover a Bank with a simple informative website, an email, phone and a fax number.

We can go further and say

“Companies providing financial services and using new communication technologies to offer their customers a better experience”. With this concept we encompass a larger group and encourage a better use of technology. For example: banks offering online banking, companies providing money transfers accross countries or e-wallets available online for anonymous online purchases.

But we can take it still further: “Fintech companies are those that offer financial services to end consumers or other companies by using new communication technologies in an innovative and disruptive way.”

To what we can add: “These fintech companies make sure that the benefit of using these technologies is passed along to the consumer as they offer faster, cheaper, improved, simplified and / or more convenient services.”

We can come up with a formula:

Finance + New Technologies + Improvement + Benefit consumer = Fintech

There will be of course companies that will feel left out, or companies that should be included, even if they were created before the year 2000. Should listings of financial services be considered Fintech companies? Is the average bank automatically a Fintech company ?

And there is another element that needs to be included in the formula or in the definition: regulation. But we will discuss about this part in another post.

Do you agree with our Fintech definition? Please feel free to comment.


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