The Rise of Super Fintechs: Enabling Next-Level Financial Services

In an industry prone to superlatives, the era of embedded finance has produced characteristic terminology to describe the limitless ambitions of financial providers. Hot off the heels of the ‘Super App’ comes its younger sibling - the ‘Super Fintech’. To provide a holistic consumer experience, such companies harness emerging innovations and regulatory freedoms to offer a one-stop-shop for money services.

So what is a Super Fintech? And what is their role within the broader financial ecosystem?

For starters, it might help to explain what is meant by ‘super’. While the word is often used to describe something quantitatively better than its competition, e.g., Dapio’s app is ‘super convenient’, its actual usage is slightly different here. Instead, we’re talking about a qualitative difference that enables financial providers to transcend their status as a native platform service. Essentially, ‘Super Fintechs’ are enablers for financial institutions (FIs), enterprises, and other fintechs, producing second-hand efficiencies wherever their products and services are used.

The emergence of Super Fintech arrives alongside that of the Banking-as-a-Service model, which falls under the umbrella of Open Banking. These recent innovations describe how technologically adept companies can improve how people can manage their money, whether spending, saving, borrowing, or investing. Other banks and e-commerce providers typically adopt such improvements through the use of APIs, which is a fancy way of getting two programs to ‘talk to each other’.

The benefits are widespread, not only for other businesses but for consumers as well. If you’ve shopped online before, there’s a good chance you would have encountered these yourself.

Typical examples include:

• Aggregating all your bank accounts to maintain a more holistic financial overview.
• Using budgeting apps to monitor outgoings and establish savings goals.
• Allowing comparison sites to suggest better deals for your home insurance.

The Age of Proliferation

Faced with an increasing array of options, modern consumers want businesses to fulfil their expectations rather than the other way around. These days, the power rests with the customer, while companies that steadfastly maintain a ‘one size fits all’ are due a rude awakening. Because of this, there’s mounting pressure for e-commerce providers and traditional FIs to expand their offerings fast.

For the many businesses incapable of delivering such solutions in-house, the embedded finance options offered by Super Fintechs allow these demands to be met with minimum effort and minimal risk. In fact, due to the many data points available through such technologies, services, including lending decisions, can be performed with a greater degree of accuracy. For instance, small businesses hoping for a favourable loan decision can now be reviewed dynamically rather than adhering to strict criteria.

It works with payments, too

This recently released feature streamlines the payments process to create a smoother experience for both buyer and seller. A payment link is a unique URL that directs buyers to a customised webpage hosted by Dapio. Here, clients can view an itemised list of goods and services rendered and can complete transactions using the secure payment methods provided. To receive a payment, sellers must send this link with all the transactional data included in the process. Dapio Payment Links are designed to operate within an increasingly interconnected commercial industry by reducing the steps required to make and receive payments.