IoT and Machine Identity Management in Financial Services

How is IoT changing the financial sector?

IoT has already positively impacted the financial sector and will only continue to in the future. The bank of things facilitates the billions of data transfers that take place every day. It enables insurance companies to collect and share data with customers about their insured goods in real time, allows consumers to make instant contactless payments and provides the framework for retail banks to collect information on each customer that enters one of their locations.

The most notable and well-documented example of investment in the IoT infrastructure has been by retail banks. To create a convenient consumer experience, they have invested growing amounts of revenue into “fintech” that makes payment transactions and transfers behind the seamless processes that we know and use today.

IoT has also transformed the financial services sector in a variety of ways:

• Real-time data. With IoT, data can be gathered in real-time. This gives banks a huge advantage since they can quickly make important financial decisions.
• Fraud detection. IoT has helped mitigate many risks associated with fraud and has helped detect and block hacked accounts. IoT can gather user data and analyze the activity, where it is then sent over to the cloud, where it matches the user’s typical behavioral patterns. If any unusual data has been detected, the user will be alerted, and the account will become temporarily disabled.
• Better investment decisions. Tracking the real-time state of the market can help improve investment decision-making. IoT has the ability and potential to make accurate business predictions and track company behaviors.
• Personalized customer experience. IoT personalizes the customer’s experience and provides real-time data to make more informed decisions, while providing a seamless experience.

Security challenges are looming

The susceptibility of fintech devices and networks to malfunctioning is a big concern. In June 2018, Visa payment systems crashed throughout Europe, preventing millions of customers from using POS devices to pay for goods….