Proceedings of the International scientific and practical conference ―Synergy of Modern Science and Education‖ (February 2-4, 2026) / Publisher website: www.naukainfo.com. – New York, USA, 2026. - 324 p.

35 In modern conditions, the implementation of all goals of society is associated with the innovative form of development. The innovative form of development implies a transition to a constantly complex and improving activity, which at a certain stage represents a complete sequence of continuously implemented innovations. Technological developments such as SWIFT, automated accounts, and electronic systems were revolutionary a generation ago, but they are now commonplace. However, despite the global trend toward remote work, the overall structure of the financial system has not changed much [1, p. 91]. Technological progress, innovations in the financial and banking sector and changes in customer requirements have led to the emergence of many new challenges, which the participants of the financial system - banks and other financial institutions - must be ready to face. All this, in turn, gives rise to the need to study the essence of fintech and its impact on the activities of banks, which will allow to form a clear idea of the role of financial technologies in the banking system, the need for them, the advantages of their introduction and the problems arising as a result of all this. Therefore, in order to solve these problems, it becomes necessary to interpret the definitions and characteristics of fintech. In general, fintech is a technologically enabled financial innovation that can lead to new business models, applications, processes or products, with a significant impact on financial markets and institutions, as well as on the provision of financial services. Fintechs typically operate as for-profit initiatives aimed at serving relevant market segments that have become unattractive or costly for traditional financial institutions. The Basel Committee‘s Financial Stability Board defines fintech as ―technology-based innovation in financial services‖, encompassing both the financial product (product) and the services (e-payments, e-wallets, fintech loans, robo- advisors and electronic means of payment (currencies)) and the technologies underlying them [2]. Fintech, by definition, is the application of digital technologies to financial services, which is transforming the future of finance. Digital technologies, in turn, are