www.plugandplaytechcenter.com Open in urlscan Pro
192.124.249.2  Public Scan

Form analysis
0 forms found in the DOM

Text Content

 * Home
 * Startups
 * Corporations
 * Ventures
 * Events
 * Blog
 * Resources
 * About
 * Co-Working
 * Join the Platform

 * Article
 * Video
 * Corporate Innovation
 * Health Tech
 * Insurtech
 * Silicon Valley
 * Entrepreneurship
 * Fintech
 * Mobility
 * Supply Chain
 * Retail
 * Food
 * Cybersecurity
 * IoT
 * Travel
 * Infographic
 * Wealth Management
 * Blockchain
 * Energy
 * New Materials
 * Sustainability
 * Agtech
 * Real Estate
 * COVID-19
 * Virtual Events
 * Venture Capital
 * Health
 * Media & Ad
 * Animal Health
 * Diversity
 * Article
 * Crypto
 * Smart Cities
 * Maritime
 * energy
 * Advanced Manufacturing
 * Enterprise & AI
 * Goal

 * Fintech


THE FUTURE OF MONEY: HOW FINTECH SOLUTIONS ARE CHANGING THE GAME FOR GEN Z

By Francesca Badiali, Garance Cornut and Salim Laouiti Published on Jun. 23,
2023

Gen Z is the name given to the generation born between the mid-90s and the early
2010s. Gen Zers have grown up in a more technologically advanced world than any
other generation, creating unique financial needs and preferences.

Financial institutions must adapt to better serve this younger generation which,
according to GenZ Planet, is entering the job market with an estimated
disposable income of $360 Bn in 2021. This article will discuss some of the most
popular financial services among Gen Z, such as digital payments, and how
fintech solutions improve the customer experience and pave the way for the next
generation.


BUILDING A SOLID FINANCIAL FUTURE: EFFECTIVE FINANCIAL MANAGEMENT FOR GEN Z

Gen Z's financial success and security depend heavily on effective financial
management, which involves budgeting, expense tracking, saving, and smart
investing. Luckily, many budgeting apps and digital tools are available to
streamline these tasks.

By using these tools to track income and expenses, manage debt and credit, and
invest in savings and retirement accounts while also planning for significant
life events such as buying a home or starting a family, Gen Z can build a solid
financial foundation and set themselves up for a prosperous future.

> Download our ebook Banking & Investment Apps For Teens

Some startups paving the future of fintech are:

Finary: A platform that allows anyone to track and manage their wealth online.

Planto: This personal financial management app offers simple and actionable
financial advice.

Rocket Money: A financial management app that provides bill negotiation,
budgeting assistance, autopilot savings, and credit score services.




INVESTMENT OPPORTUNITIES FOR GEN Z

For Gen Z, it's essential to have a financial management plan that includes
investing in assets such as the stock market, cryptocurrency, and real estate.
According to The Motley Fool (2022), 60% of Gen Z investors prefer stocks, 54%
invest in cryptocurrency, and 30% invest in real estate.

Startups like Fractional, Pluto Markets, and Stash Away offer low fees, flexible
investment options, and a user-friendly interface to facilitate this and help
Gen Z invest in a better future.


ESG VALUES: INVESTING WITH A PURPOSE FOR A SUSTAINABLE FUTURE

As the socially conscious generation, Gen Z grows more financially stable, they
shift towards impact investing. A recent report by Nasdaq shows that 40% of Gen
Z makes investment decisions based on the social and environmental impact of the
businesses.

With ESG factors becoming increasingly crucial, some analysts predict that
one-third of all global assets under management will incorporate ESG mandates by
2025, indicating a growing demand for investment products considering ESG
factors.

READ: STATE OF INVESTMENT APPS IN EUROPE: PASSIVE & ACTIVE INVESTORS'
PERSPECTIVES

The investment industry is responding to Gen Z's demand for ESG-related
investment options. Fintech startups like Connect Earth and Goodvest democratize
sustainability data to drive sustainable finance, and others like Bunq offer a
clean alternative to traditional banking.

These are just some of the many businesses making it easier for investors to
access environmental data and invest in clean alternatives. Gen Z investors
looking to make investment decisions with purpose can find an organic fit within
these innovative startups.


ALTERNATIVE PAYMENT METHODS FOR GEN Z





Gen Z seeks new and innovative ways to manage their finances, which is why this
generation has opted for alternative payment methods beyond traditional banking
services. These include peer-to-peer lending, digital wallets, and gamification.

While these platforms offer more convenience and flexibility, they also come
with risks. However, fintech startups such as Lemme, Lendwill, Income, Joko,
Bitstack, and Asdra provide solutions to reduce loan risks and make payments
easier and faster.




PEER-TO-PEER LENDING

In addition to traditional banking, Gen Zers are adopting alternative lending
instruments, such as peer-to-peer or P2P lending solutions - P2P lending allows
people to borrow and lend money to each other without involving traditional
financial institutions. According to Kubra, 39% of Gen Zers adopt these
alternative solutions, which are often easier and more accessible than
conventional banking services.

Although very popular, P2P loans are typically unsecured. Thankfully, many
fintech startups like Lemme, Lendwill, and Income have developed platforms that
provide securities to reduce loan risks, offering unique protection schemes for
P2P investors seeking higher investment protection.


WHY MIGHT GEN Z APPRECIATE P2P LENDING SOLUTIONS?

P2P lending platforms are often easier to use and more accessible than
traditional banking services, particularly for Gen Z users who perceive
traditional banking as cumbersome and slow.



While the process to access P2P lending is usually smooth, borrowers submit loan
requests through online platforms and are matched with investors who support
their loan requests. This gives borrowers and lenders greater freedom and
control over borrowing and lending, allowing them to adapt loans to their needs.
Furthermore, interest rates tend to be lower than those conventional banks
offer.

However, P2P loans are typically unsecured and need more security support.
Certain startups that provide users' securities have emerged to reduce the risk
of default, including Lemme, which offers a mobile app that simplifies P2P
lending in the small-amount-loan market.

Lendwill provides an application where people can invest money in each other,
acquiring a verifiable credit history on the blockchain. Income has developed a
P2P lending marketplace that offers a unique protection scheme for P2P investors
who desire higher security for their investments.


DIGITAL WALLETS, BNPL, AND CASHAPP

Gen Z's payment preferences are quickly moving from traditional payment methods
such as cash, debit, and credit cards to more flexible and transparent solutions
like Buy-Now-Pay-Later, cryptocurrencies, and digital wallets.





According to Insider Intelligence, only 37% of Gen Zers use cash-in-person for
their purchases, followed by debit cards with 35% and credit cards with 16%.
Despite the ongoing popularity of these payment solutions, their usage is
expected to decline. The source also states that digital wallets have become the
most popular fintech payment solution for Gen Z, with 6 in 10 Gen Zers
reportedly using them for purchases.

Account-to-account payments, an electronic money transfer made from one
individual to another without additional intermediaries, are also gaining
popularity, with 36.7% of Gen Z mobile users currently utilizing them.

Oliver Wyman 2021 states that 24% of Gen Z shoppers use BNPL solutions -
short-term financing that allows individuals to pay for their purchases in the
future or through installment options - as they feel more comfortable making
purchases without feeling indebted. Moreover, 48% of Gen Z own or have owned
cryptocurrency.

These payment trends are reflected in some startups, such as Joko, which
provides cashback on daily spending, calculates the carbon footprint of
purchases, and offers BNPL solutions on hundreds of websites. Bitstack users
save their spare change in Bitcoin, and Asdra offers unbeatable exchange rates
and multi-currency wallets for instant transfers.


GAMIFICATION

To capture the attention of Generation Z, fintech companies have turned to
gamification as a go-to strategy. This generation has grown up using stimulating
digital products such as mobile phones and video games. As a result, Gen Z has a
shorter attention span than previous generations, making gamification an
effective tactic for connecting with them.

Gamification in financial services can take on diverse forms, ranging from
personalized savings goals to quizzes and trivia games. Some financial apps
allow users to set challenging goals and earn rewards as they reach milestones,
while others offer virtual investing simulations that allow users to learn and
practice investment strategies in a low-risk environment.

Overall, gamification can be a powerful tool for educating and encouraging
younger consumers to take control of their finances in a fun and engaging way.
Innovative startups supporting this trend include Gwen, a platform to improve
digital products, Your Juno, a financial education platform for a global
financial system, and Zu, an investment app that promotes teenage diligence in
investing.

These are some of the many startups that use gamification to enhance and improve
digital products, provide financial education, and encourage diligent investing
for teenagers. By embracing this trend, fintech companies can tap into the
potential of gamification and engage with Generation Z on a deeper level.


WHAT’S NEXT FOR FINTECH COMPANIES AND GEN Z BANKING?

As we have seen, digital banking is here to stay, and it’s already
revolutionizing the world of finance and banking. Fintech solution companies are
making managing finances easier than ever, while investment opportunities
provide the chance to create passive income for the future.

With their unique financial needs and preferences, this tech-savvy generation
seeks new and innovative ways to manage their finances, from alternative payment
methods such as mobile banking apps to investment opportunities that align with
their values.

Are you interested in learning more? Discover some of our innovations in
financial services at ourFintech program.Plug and Play connects corporations and
startups to drive innovation. Don't miss out on the chance to learn more about
Gen Z banking andjoin us!


STRENGTHENING KYC CRYPTO WITH ZERO-KNOWLEDGE PROOFS

Due to users' privacy concerns, KYC crypto and AML pose a challenge. This is
where zero-knowledge proofs (ZKPs) come into play.
 * Article
 * Crypto


THE RISE OF DIGITAL GOVERNANCE: EMBRACING TECHNOLOGY FOR THE DEVELOPMENT OF
PUBLIC SERVICES

Learn how digital governance can help create more efficient public services and
why adopting technology is essential for government organizations.
 * Article
 * Goal


OPEN BANKING API: THE FUTURE OF BANKING JUST GOT MORE EFFICIENT

Discover the opportunities that come from open banking API. Learn how open
banking increases customer satisfaction, improves security, and unlocks new
revenue.
 * Article
 * Fintech

Read more stories

ABOUT US

 * About Us
 * Our Locations
 * Our Verticals
 * Innovation Programs
 * Our Startups
 * Our Corporate Partners
 * Our Team
 * Brand Kit

OUR PRODUCTS

 * Corporate Innovation
 * Innovation Handbook
 * Investment
 * Startup Accelerators
 * Events
 * Government Innovation
 * Innovation in Education
 * Office Space
 * Playbook

CONNECT

 * Join our Ecosystem
 * Join our Team
 * Join a Startup
 * DRIVE
 * FAQs
 * Press Room
 * In The Media

COMPLIANCE

 * ISO 27001 & SOC-2
 * Harassment-Free
 * Cookie Policy
 * Privacy Policy
 * Antitrust Policy
 * Legal Notice

FOLLOW US

 * Newsletter
 * Twitter
 * YouTube
 * LinkedIn
 * Instagram
 * Facebook




PRIVACY PREFERENCE CENTER

When you visit any website, it may store or retrieve information on your
browser, mostly in the form of cookies. This information might be about you,
your preferences or your device and is mostly used to make the site work as you
expect it to. The information does not usually directly identify you, but it can
give you a more personalized web experience. Because we respect your right to
privacy, you can choose not to allow some types of cookies. Click on the
different category headings to find out more and change our default settings.
However, blocking some types of cookies may impact your experience of the site
and the services we are able to offer.
More information
Allow All


MANAGE CONSENT PREFERENCES

STRICTLY NECESSARY COOKIES

Always Active

These cookies are necessary for the website to function and cannot be switched
off in our systems. They are usually only set in response to actions made by you
which amount to a request for services, such as setting your privacy
preferences, logging in or filling in forms. You can set your browser to block
or alert you about these cookies, but some parts of the site will not then work.
These cookies do not store any personally identifiable information.

PERFORMANCE COOKIES

Performance Cookies

These cookies allow us to count visits and traffic sources so we can measure and
improve the performance of our site. They help us to know which pages are the
most and least popular and see how visitors move around the site. All
information these cookies collect is aggregated and therefore anonymous. If you
do not allow these cookies we will not know when you have visited our site, and
will not be able to monitor its performance.

FUNCTIONAL COOKIES

Functional Cookies

These cookies enable the website to provide enhanced functionality and
personalisation. They may be set by us or by third party providers whose
services we have added to our pages. If you do not allow these cookies then some
or all of these services may not function properly.

TARGETING COOKIES

Targeting Cookies

These cookies may be set through our site by our advertising partners. They may
be used by those companies to build a profile of your interests and show you
relevant adverts on other sites. They do not store directly personal
information, but are based on uniquely identifying your browser and internet
device. If you do not allow these cookies, you will experience less targeted
advertising.

Back Button


PERFORMANCE COOKIES



Search Icon
Filter Icon

Clear
checkbox label label
Apply Cancel
Consent Leg.Interest
checkbox label label
checkbox label label
checkbox label label

Reject All Confirm My Choices