Development Prospects of Modern Banking

Abstract

Relevance. The increasing competition between financial institutions and technology companies requires the active implementation of innovative developments in current activities. Artificial intelligence is becoming an everyday fact of presence in communications between business partners and customers, generating new formats of interaction. "Smart" technologies based on artificial intelligence are able to take on certain mechanical functions related to the verification and verification of contract terms, which can significantly speed up formal procedures and reduce the likelihood of operational errors. Innovative solutions for the fulfillment of contractual obligations based on the signing of smart contracts in various business areas contribute to the use of such in banking, where communication is constantly taking place according to standard banking procedures.Purpose. The purpose of the work is to reveal the peculiarity of the use of a smart contract in the banking business for its scaling.Objectives. The following tasks were set and consistently solved in the article: to study the features and nature of the emergence of smart contracts in the business environment, to analyze the existing practice of using this tool, to formulate the principles of transformation of contracting processes with the introduction of "smart" technologies into traditional banking business.Methodology. The methods of generalization, systematization, analogy, graphical and logical analysis, and idea generation were used in the work.Results. The paper examines the properties of an innovative digital banking business contracting tool, highlights its main characteristics and grounds for application, and considers the mechanism of its implementation in the blockchain environment.Conclusions. The article examines the directions of the future development of banking in the domestic banking sector and draws conclusions about the further development of "smart" technologies in the context of increasing competition between banking and technology companies. The expansion of banking business in the online space is impossible without the use of advanced solutions in the field of customer service, which leads to the emergence and development of the practice of intellectualization of traditional contract processes.