While Vietnam's digitalisation has made human digital footprints available from anywhere, the COVID-19 pandemic has hastened its adoption throughout businesses that were still in their infancy in the nation. With countrywide lockdown and social distancing rules, businesses are increasingly relying on technology innovation to disrupt conventional industries, and the financial services industry is no different.
The rapid adoption of fintech services has wreaked havoc on many parts of the traditional financial services business, with digital lending set to be a major disruptor. The rise of online lending platforms and fintech businesses is revolutionizing loan distribution procedures by providing rapid loan options. Furthermore, this has resulted in a greater availability of data in various formats, making consumer insights easier to analyze. Moving to digital channels, on the other hand, introduces a slew of security threats, including fraud, identity theft, data breaches, erroneous risk assessment, and, most importantly, loan defaults.