Financial Technology (FinTech) and Its Impact on Modern Business and Commerce: A Critical Review

Abstract

Background: In a world where financial transactions are an integral part of commerce, there is a sector of the financial industry that is influencing the way all data and every transaction with monetary value is being transformed: the financial technology (FinTech) industry. Research question: The aim of this paper is to give a state-of-the-art overview of the literature that addresses the effects of new technologies termed ‘FinTech' on business and commerce in today's world and to add a general conclusion based on technologies, businesses and type of regulation selected as the most important. Methodology: The structured review was conducted in a narrative and systematic approach based on articles found in the search conducted in the journals indexed in the Scopus database of 20th articles published in journals from MDPI, Springer, Emerald and Elsevier websites during 2024-2025. Findings: There are multiple types of risks involved which may include cyber risk, regulatory risk, and equity costs, as well as various types of FinTech technologies that highlight and drive quantifiable operational benefits such as financial inclusion and accessibility for SMEs and efficiency. Literature gap: Literature is geographically limited, is based mainly on cross section, bibliometric study (but not on longitudinal, study of start/end of adoption effect). Practical implications: it is here that tech investments end up connecting to digital skills and adaptive governance to inclusive design for both business and regulators alike.