Traditional Banks Slow to Digitise: What This Means for Black Banx and Users

As recent years have seen the rise in digital payments and other similar transactions, traditional banks have had to face rapidly increasing competition from digital banking companies.

Black Banx is a prime example of how significant the shift from traditional to digital banking has been. Offering users the means to send money to and from almost anywhere with its network of 180 locations around the world, it has earned 20 million retail customers and 1.5 million business customers and counting since its launch in 2015.

Indeed, digital banks have been able to capture a significant market share by offering innovative services and a seamless user experience that traditional banks have simply been slow to adopt. 

This has created a significant advantage for digital banking companies and consumers, who are able to access a range of banking services quickly and easily, without the limitations of traditional banks.

Old vs new

Among the primary reasons why many traditional banks have been on a snail’s pace in adapting to digital banking has been continued reliance on legacy systems. 

Several have been using the same systems for decades and even continue to do so now, and updating these systems often prove time-consuming and costly. This has made it difficult for traditional banks to keep up with the pace of today’s technological change, which eventually has resulted in a lack of innovation and agility.

On the other hand, newer digital banking companies have been able to develop their systems from scratch via the latest technologies and best practices. This has allowed them to create platforms that are more flexible, scalable, and adaptable to changing customer needs. 

Digital banking companies can quickly add new features and services, such as mobile payments and online banking, which traditional banks have been slower to implement.

Flexibility equals innovation equals good customer experience

Although digital banking companies can also be considered fortunate for emerging at a time when tech overall has been in rapid development, credit should still be due to many as they still opt to leverage the flexibility of their systems to focus on customer experience.

They continue to design their apps and platforms to be user-friendly, with intuitive interfaces and features that are tailored to the needs of their customers. This has made it easier for consumers to manage their finances and access banking services on the go, without the need for physical branches or lengthy paperwork.

Digital banking anywhere, anytime, and for anyone

In addition, digital banking companies are often more accessible than traditional banking, particularly for those who are underserved by the latter. For example, many digital banking companies offer services to people with poor credit histories or no credit history at all. They also provide services to those who are unable to visit a physical branch, such as people with disabilities or those who live in remote areas.

Digital banking companies also tend to have lower overheads compared to traditional banks. They do not maintain the same level of infrastructure, such as physical branches and ATMs, which allows them to offer more competitive pricing and better interest rates to customers. This is particularly appealing to consumers who are looking for ways to save money on their banking services.

Freer Flowing Digital Banking

Given the strides digital banking continues to make over traditional banking, there are presently a number of digital banks for consumers to now choose from.

Unfortunately, some of these are limited to their home regions, while others are still similar to traditional banks in that they charge fees for transactions made across different banks or across borders.

These limitations are what continues to drive Black Banx’s growth.

Founded in 2014 by German billionaire Michael Gastauer, Black Banx is a digital banking platform that enables customers to transact across 180 countries and 28 FIAT currencies and 2 cryptocurrencies.

The company provides individual and business customers with banking access that pose no restrictions based on nationality, country of residence, religion, or amount of funds held or transferred.

In addition to facilitating the free and  instant flow of money around the world at a fair price, Black Banx adds to the ease of banking with comprehensive banking services that include virtual and physical debit cards available in different currencies, 24/7 currency exchange and crypto trading services, and account and card limits that can be configured by users themselves.

By way of the flexibility it offers, Black Banx expands digital banking to a truly global stage, providing international businesses, remote professionals, and frequent travelers an easy and affordable way to transact, and everyone as a whole the opportunity to not only better manage their finances but also grow their wealth.

In conclusion, traditional banks have been slow to adapt to digital banking, which has given digital banking companies a significant advantage in the market. 

Digital banking companies have been able to offer innovative services, a better user experience, and greater accessibility to underserved populations. They have also been able to keep their overheads low, which has allowed them to offer more competitive pricing and better interest rates to their customers. 

As technology continues to evolve, and institutions like Black Banx widen its reach both geographically and in terms of currencies, it is likely that the gap between traditional banks and digital banks will continue to widen, if not redefine the industry altogether.