The arrival of PSD2 and Open APIs, regtech and chatbots are the technologies called to revolutionize the fintech sector.

The irruption of the Fintech has played a leading role in the revitalization of the financial sector. After the first wave of innovation that these companies have brought, now comes a second wave, driven by the incorporation of technologies that can revolutionize the sector in 2017 and 2018.

According to Juniper Research’s Top 10 Disruptive Technologies in Fintech: 2017 report , the three most disruptive technologies will be the arrival of the Open API, thanks to the entry into force of PSD2, regtech and chatbots.

The revision of the European Payment Services Directive (PSD2) will redefine the payments sector. Historical operators are going to have to face new players, increasing competition. The investigation anticipates that the new community directive will lead to the creation of numerous startups that could undermine the business of established players.

But there are also opportunities for cooperation between banks and these new companies. Thus, traditional entities can take advantage of the recognition of their market in partnership with such startups to take the first step and take advantage of their competition. On the other hand, merchants and consumers will benefit from reduced rates and charges.

The second disruptive technology would be regtech . This term refers to those companies that rely on new technologies -big data, cloud computing or blockchain- to provide solutions to companies in all sectors in order to adapt to regulatory requirements.

It should be noted that financial and insurance sector entities have to face constant regulatory changes. Regtech will redefine how to address the increasing complexity of compliance, regulation and business reporting, reducing time constraints and improving accuracy. Juniper believes that regtech will be essential to achieve cost savings and greater efficiency, ultimately benefiting consumers.

The chatbots and automated programs, written or based on artificial intelligence technology will be the third most impact the financial sector. These bots try to talk to consumers by imitating human interaction. Juniper estimates that this technology will allow banks to save about $ 4.4 billion a year in 2022.

According to research author Lauren Foye, “chatbots have low entry barriers and are experiencing increased cross-platform adoption, including web browsers and messaging applications.” In addition, he believes that chatbots improve consumer engagement with entities.

But the advances called to modernize the financial sector do not end there. There are other potentially disruptive technologies , such as robotics and automation, invisible payments or blockchain, but Juniper says they are currently hampered by factors such as lack of adoption and limited regulatory agreement.