Competition and Cooperation Between Fintech Companies and Traditional Banks

DOI

10.2991/978-94-6463-874-5_18How to use a DOI?

Keywords

FinTech Company; Traditional Bank; Financial Services; Cooperation

Abstract

The rapid advancement of financial technology (fintech) has significantly disrupted the traditional banking sector, introducing innovative solutions that enhance efficiency, accessibility, and user experience. Fintech companies have distinguished themselves from conventional banks by leveraging cutting-edge technologies such as blockchain, and big data analytics to deliver faster and more convenient financial services. This paper examines the competitive dynamics between fintech firms and traditional banks across three key dimensions: payment systems, credit services, and trust mechanisms. While fintech companies excel in agility, cost-effectiveness, and customer-centric innovations, traditional banks maintain competitive advantages in regulatory compliance, risk management, and established customer trust. Based on the analysis, this paper provides recommendations for fintech companies, traditional banks, and policymakers. Fintech firms should strengthen regulatory adherence and cybersecurity measures, while banks must accelerate digital transformation to remain competitive. Regulatory bodies should adopt a balanced approach—fostering innovation while ensuring financial stability and consumer protection. This study contributes to the ongoing discourse on the future of finance, emphasizing the importance of collaboration in shaping a sustainable digital economy.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Haochen Wu
PY  - 2025
DA  - 2025/11/03
TI  - Competition and Cooperation Between Fintech Companies and Traditional Banks
BT  - Proceedings of the 2025 International Conference on Financial Innovation and Marketing Management (FIMM 2025)
PB  - Atlantis Press
SP  - 139
EP  - 148
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-874-5_18
DO  - 10.2991/978-94-6463-874-5_18
ID  - Wu2025
ER  -