How Legacy Financial Institutions Are Adapting to the FinTech Revolution (Published)
The banking industry stands at a pivotal crossroads, facing unprecedented transformation as legacy financial institutions adapt to the FinTech revolution. Traditional banks confront mounting challenges from aging infrastructure, stringent regulatory requirements, and evolving customer expectations while simultaneously pursuing innovative capabilities. The response has manifested through multiple strategic initiatives including comprehensive digital transformation, strategic FinTech partnerships, open banking implementations, cloud computing migration, artificial intelligence integration, and blockchain experimentation. These adaptation strategies enable established institutions to leverage traditional strengths in regulatory compliance, capital access, and customer trust while incorporating technological innovations that enhance efficiency and service capabilities. Rather than wholesale displacement, the financial services landscape is evolving toward a hybrid ecosystem where traditional institutions and technological innovators increasingly collaborate through integrated platforms and partnerships, creating a fundamentally reconfigured value chain that maintains essential stability characteristics while incorporating transformative digital capabilities.
Keywords: Artificial Intelligence, Digital Transformation, blockchain integration, open banking, strategic partnerships