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State of Metaverse-based ecosystems in Fin-Tech

3 minutes read

Paris Hilton has a Roblox virtual island where people can buy digital versions of her outfits. Accenture will onboard 1,50,000 new hires using Metaverse. Metaverse has been the talk of the town since Facebook changed its name to Meta. Let’s look at how metaverse-based ecosystems in Fin-Tech is transforming customer experience (CX).

Global metaverse market size will touch $678.8 billion by 2030, witnessing a CAGR of 39.4%, reveals research and markets. CB Insights’ research predicts that metaverse could represent a $1T market by 2030. Industries are working to create a reality in which the physical and digital worlds blend seamlessly. 

Where Fin-Techs are heading to in the Metaverse-based ecosystem?

European bank ABN Amro was the first to open a virtual branch in Second Life created in 2003. Earliest ventures into the metaverse were primarily motivated by branding and visibility which is now shifting to the mainstream. Metaverse application has moved beyond gamification to virtual training and life-like experiences. We’re moving towards a future where digital lives are becoming more important.

Razorfish and Vice Media Group’s new study shows that Gen Z spends more time in metaverse space than older demographics. They develop more meaningful connections to their online identities and want realistic experiences in their virtual life. For organizations, it becomes highly imperative to understand how these customers connect, interact and interface in this virtual space.

According to JP Morgan’s research, the metaverse offers opportunities to:

  • Transact – every year, $54bn is spent on virtual goods, almost double the amount spent buying music. 
  • Socialize – approximately $60bn messages are sent daily on Roblox.
  • Create – GDP for Second Life was around $650m in 2021 with nearly $80m dollars paid to creators. 
  • Own – NFT currently has a market cap of $41bn.
  • Experience – 200 strategic partnerships till date with The Sandbox, including Warner Music Group to create a music-themed virtual world.

Metaverse has limitless opportunities to offer. Let’s look at some of the top use cases of metaverse in the financial industry.

  1. Recently Lynx announced two use cases: a cryptocurrency-based game that allows players to create and earn and sell digital items with financial value, and an “enhanced remittance experience”, a digital meeting space that allows those sending money to loved ones to visit and communicate with them in a “streamlined, entertaining, economical, and secure” manner.
  2. Navi Technologies has unveiled a metaverse-based “Fund of Funds” scheme. The investors will finance Exchange-Traded Funds (ETFs), which will be used to fund metaverse-based companies. The fintech aims to invest $1 billion in total across multiple assets, with a maximum investment of $300 million in a single ETF. The company will issue a NAV unit at a face value of INR 10. For example, a customer investing INR 500 in the plan, will receive 50 units across the ETFs that Navi will be investing in.
Navi Technologies
  1.  JP Morgan is the first bank to open a lounge- Onyx in Decentraland. In the Onyx Lounge, situated in Metaiuku–a virtual replica of Tokyo’s Harajuku shopping area, a tiger roams the first floor, overlooked by a portrait of the bank’s boss Jamie Dimon. And on the 2nd floor, a person’s avatar can watch experts talk about crypto market.
JP Morgan's Onyx
  1. Korean Bank Kookmin introduced a ‘virtual financial town’ that includes three spaces: (1) The financial and business center consists of branches, public relations and recruitment booths, auditoriums, and social spaces. 

(2) The telecommuting center enhances communication and collaboration between telecommuters and office employees. 

(3) A playground for interacting.

Kookmin Banks' Virtual Financial Town

Source: donga.com/news

  1. Bank of America is the first to launch VR training in over 4,300 financial centers. They use VR headsets to practice skills like strengthen and deepen customer relationships, handle difficult conversations, and listen and respond with empathy. “Managers can also detect skill gaps and provide tailored follow-up training and customized counseling to colleagues to further boost performance using real-time statistics,” the bank says.

The Road Ahead

Decentraland operates via its own cryptocurrency called MANA and Sandbox has Sand. Somnium Space has its own asset marketplace where users can choose to ‘live forever. 

The financial sector is facing intense competition in the virtual space. Digital assets and digital currency are becoming increasingly prevalent in the metaverse. Leveraging the meta-world will help financial organizations create a continuum of experience for the users and provide more personalized and engaging interactions in the time ahead.

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Design Systems: Building and Maintaining Consistent UI/UX

In the world of product design, consistency is the cornerstone of delivering a seamless user experience. As digital products evolve and scale, the challenge of maintaining design consistency across multiple platforms, teams, and touchpoints becomes more complex. This is where design systems come in. A design system is a comprehensive set of guidelines, components, and tools that help designers and developers create a consistent and cohesive user interface (UI) and user experience (UX). From a designer’s perspective, building and maintaining a design system requires a strategic approach to ensure scalability, flexibility, and alignment with business goals.

Why Design Systems Matter?

Design systems are more than just style guides or pattern libraries. They offer a unified language for design and development, bridging the gap between creativity and functionality. Here are a few reasons why they are critical:

  1. Consistency Across Products

      One of the primary goals of a design system is to ensure uniformity across different platforms and devices. When users interact with a product, whether on a website or a mobile app, they expect a consistent experience. A well-implemented design system ensures that visual elements, interactions, and behaviors are aligned, offering a familiar and intuitive experience for users.

2. Faster Iteration

      With a design system in place, teams can reuse components and patterns rather than reinventing the wheel for each new feature. This speeds up the design and development process, allowing teams to focus on solving new problems instead of reworking existing designs. For designers, it means less time spent on repetitive tasks and more time dedicated to innovation.

3. Scalability

     As products grow and new features are added, maintaining a coherent UI/UX without a design system can become chaotic. A design system provides a scalable framework, enabling teams to add new elements or modules without compromising the overall consistency of the product.

4. Improved Collaboration

      A design system fosters collaboration between designers, developers, and other stakeholders by providing a shared language and reference point. This ensures that design decisions are communicated effectively, reducing friction and misunderstandings between teams.

Building a Design System: A Designer’s Perspective

Designing a system from scratch can seem like a daunting task, but with a clear roadmap and understanding of core principles, it becomes a powerful tool for creating scalable and user-centered products.

1. Define the Core Principles

Before diving into visual components, it’s essential to establish the core principles of your design system. These principles serve as the foundation and guide decision-making throughout the process. Ask yourself:

• What are the key values of your brand?

• How should the design reflect the needs and emotions of users?

• What goals are you trying to achieve with your design system (e.g., accessibility, flexibility, innovation)?

   For instance, if accessibility is a top priority, you’ll need to ensure that your design system accommodates users with different abilities, by providing color contrast guidelines, clear typographic hierarchies, and accessible components.

2. Create a Unified Visual Language

Once the principles are established, the next step is creating a cohesive visual language. This includes defining elements such as:

Color Palette: A well-structured color palette ensures harmony across different UI components. It’s crucial to include primary, secondary, and accent colors, along with usage guidelines to avoid inconsistency.

Typography: Define a typography system that establishes hierarchies and clarity, including font styles, sizes, line heights, and spacing. Consistent typography helps users navigate content effortlessly.

Spacing and Grids: An established grid system ensures a balanced layout and harmony between different UI elements. Proper spacing guidelines prevent crowded or misaligned components.

Iconography and Illustrations: Design guidelines for icons and illustrations help maintain visual consistency. Icons should follow a standard style (outlined, filled) and size, ensuring they align with the overall visual language.

(I

Iconography and Illustrations: Design guidelines for icons and illustrations help maintain visual consistency. Icons should follow a standard style (outlined, filled) and size, ensuring they align with the overall visual language.

Image Source: https://designerup.co/blog/10-best-design-systems-and-how-to-learn-and-steal-from-them/)

3. Design Reusable Components

A design system is incomplete without reusable UI components. These components include buttons, forms, modals, and navigation elements that can be used across various features and pages. Each component should be:

Modular: Components should be flexible and adaptable for different contexts. For example, a button should have variations for different states (hover, active, disabled) and types (primary, secondary, destructive).

Documented: Each component needs comprehensive documentation that explains how it should be used, its variants, and the rules governing its application. This ensures consistency when different team members use the same component.

4. Implement Accessibility Guidelines

Accessibility should be at the forefront of every design system. As a designer, consider:

Color Contrast: Ensure sufficient contrast between text and background for readability.

Keyboard Navigation: Ensure that interactive components are navigable via keyboard for users who rely on keyboard shortcuts.

Responsive Design: Components should be responsive, adapting seamlessly across different screen sizes and devices.

Assistive Technologies: Design components should be compatible with screen readers and other assistive technologies to provide an inclusive experience.

Maintaining a Design System: Evolving with the Product

Once a design system is in place, the work doesn’t stop there. Maintaining it requires ongoing effort as the product evolves and new design challenges emerge. Here’s how designers can ensure the design system remains relevant and effective:

1. Regular Audits and Updates

A design system should be treated as a living document that evolves with the product. Regular audits are necessary to identify outdated or unused components. Designers should collaborate with developers to ensure new features are aligned with the existing design system, and updates should be documented to avoid fragmentation.

2. Version Control and Documentation

Version control is essential for keeping track of changes in the design system. Documenting why and how changes are made ensures that the design system grows in an organized manner. It also helps onboard new team members quickly, as they can reference updated guidelines.

3. Foster Collaboration Across Teams

Designers need to maintain an open line of communication with developers and other teams using the design system. Tools like Figma, Sketch, and Zeplin allow designers to share components and guidelines in real-time, fostering collaboration and ensuring that everyone is aligned.

Some well-known examples of design systems that have set benchmarks in the industry:

1. Google Material Design

  • URL: Material Design
  • Overview: Google’s Material Design is one of the most comprehensive design systems available. It provides guidelines on how to create visual, motion, and interaction design across platforms and devices. Material Design is known for its grid-based layouts, responsive animations, and depth effects like shadows and lighting.
  • Features:
    • Comprehensive color palettes, typography, and iconography.
    • Extensive component library (buttons, cards, etc.).
    • Customizable UI components for both web and mobile applications.

2. Salesforce Lightning Design System

  • URL: Salesforce Lightning
  • Overview: Salesforce’s Lightning Design System provides a comprehensive library of UI components and resources to help build applications on the Salesforce platform. It ensures a consistent experience across Salesforce products and enables developers to create custom apps easily.
  • Features:
    • Ready-to-use components, design tokens, and code snippets.
    • Comprehensive accessibility guidelines to ensure inclusivity.
    • Detailed documentation for developers to integrate components into Salesforce applications.

3. Microsoft Fluent Design System

  • URL: Fluent Design
  • Overview: Fluent Design is Microsoft’s design system, created to provide an engaging and scalable UI across all Microsoft products. It is heavily focused on interaction, animation, and motion while ensuring accessibility across various device ecosystems.
  • Features:
    • Focus on depth, motion, and light to create modern and interactive UIs.
    • Cross-platform components supporting web, desktop, and mobile applications.
    • Accessible components with detailed guidelines for developers.

Conclusion

Building and maintaining a design system is an investment that pays off in the long run. It ensures consistency across your product, improves collaboration between teams, and allows for faster iteration and scalability. For designers, a design system is more than a collection of reusable components — it’s a framework that enables you to create user-centric products with confidence and clarity. By embracing modularity, documentation, and accessibility, you’ll ensure that your design system remains a valuable asset as your product grows.

About the Author:

Shristi is a creative professional with a passion for visual storytelling. She recently transitioned from the world of video and motion graphics to the exciting field of product design at Mantra Labs. When she’s not designing, she enjoys watching movies, traveling, and sharing her experiences through vlogs.

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