Abstract
One among many of the substantial reasons that caused the growth of Islamic finance in the previous decade was its business model that proved its worth and value by avoiding the sub-prime crisis. Losing trust on conventional banking industry, penetration of internet and technology globally, lack of accessibility of funds to everyone no matter with or without track record with banks, speed of transactions, transaction cost along with clients craving for a trustworthy financial system among other reasons were main incentives behind the growth and expansion of the Islamic fintech. This chapter presents the challenges and success factors for Islamic fintech in the time to come and how the industry can cope up with those challenges.
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Notes
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KYC: know your customer, AML: anti-money laundering, DLT: distributed ledger technology.
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The term “Fourth Industrial Revolution” was coined by Klaus Schwab, the founder and executive chairman of the World Economic Forum. It is characterized by a fusion of technologies that is blurring the lines between the physical, digital and biological spheres collectively referred to as cyber-physical systems. It is marked by emerging technology breakthroughs in a number of fields, including robotics, artificial intelligence, nanotechnology, quantum computing, biotechnology and the Internet of things (IoT).
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Alam, N., Gupta, L., Zameni, A. (2019). Challenges and Success Factors for Islamic Fintech. In: Fintech and Islamic Finance. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-24666-2_9
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DOI: https://doi.org/10.1007/978-3-030-24666-2_9
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