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How perceived risk, benefit and trust determine user Fintech adoption: a new dimension for Islamic finance

Muhammad Ali, +4 more
- 04 Mar 2021 - 
- Vol. 23, Iss: 4, pp 403-420
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TLDR
In this paper, the influence of perceived benefit, perceived risk and user trust on the intention to adopt Islamic Fintech has been explored and the results revealed that perceived benefit and perceived risk were significant and positively influenced by their factors.
Abstract: 
This study’s objectives are twofold; first, this paper aims to explore the determinants of perceived benefit and perceived risk of Islamic Fintech. Second, this study examines the influence of perceived benefit, perceived risk and user trust on the intention to adopt Islamic Fintech. The sample of 350 was distributed among the respondents, while a usable sample of 321 was retained for the analysis. The study performed a self-administration survey to collect the sample data while the hypothesized model was tested using SmartPLS. The results revealed that perceived benefit and perceived risk were significant and positively influenced by their factors. Moreover, perceived benefits showed a positive and significant impact on trust. However, perceived risk had a negative and significant impact on trust. The results also found a strong positive and significant relationship between trust and intention to adopt Islamic Fintech. The outcome of this research may be used to develop strategies for Fintech and enables the financial sector to attain economies of scale in the world.

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How perceived risk, benefit and trust determine user Fintech adoption: a new
dimension for Islamic finance
Abstract
This study’s objectives are twofold; first, this paper aims to explore the determinants of
perceived benefit and perceived risk of Islamic Fintech. Second, this study examines the
influence of perceived benefit, perceived risk and user trust on the intention to adopt Islamic
Fintech. The sample of 350 was distributed among the respondents, while a usable sample of
321 was retained for the analysis. The study performed a self-administration survey to collect
the sample data while the hypothesized model was tested using SmartPLS. The results
revealed that perceived benefit and perceived risk were significant and positively influenced
by their factors. Moreover, perceived benefits showed a positive and significant impact on
trust. However, perceived risk had a negative and significant impact on trust. The results also
found a strong positive and significant relationship between trust and intention to adopt
Islamic Fintech. The outcome of this research may be used to develop strategies for Fintech
and enables the financial sector to attain economies of scale in the world.
Citations
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Journal ArticleDOI

Fintech in islamic finance literature: A review

Muneer M. Alshater, +3 more
- 01 Aug 2022 - 
TL;DR: In this article , a review of Islamic FinTech research development from 2017 to 2022 is presented, which adopts a hybrid approach combining bibliometric and content analysis to reveal the current research trend of Islamic fintech research.
Journal ArticleDOI

Benefit–Risk Perceptions of FinTech Adoption for Sustainability from Bank Consumers’ Perspective: The Moderating Role of Fear of COVID-19

Ruzita Abdul-Rahim, +3 more
- 08 Jul 2022 - 
TL;DR: In this article, a survey of bank consumers in Malaysia between December 2021 and February 2022 yielded 1279 usable questionnaires, randomly selected to generate 400 respondents, and the results revealed that the perceived benefits significantly influence FinTech adoption, whereas perceived risk does not.
Journal ArticleDOI

Opportunities and Barriers for FinTech in SAARC and ASEAN Countries

Tasadduq Imam, +3 more
- 13 Feb 2022 - 
TL;DR: In this paper , the authors assess the opportunities and challenges for different categories of FinTechs in the SAARC and ASEAN regions, and develop a new index, termed the FinTech Opportunity Index (FOI), to conceptualise the opportunity and barriers based on individual savings, borrowings, purchasing behavior, and payment preferences.
Journal ArticleDOI

Drivers Influencing the Adoption Intention towards Mobile Fintech Services: A Study on the Emerging Bangladesh Market

Md. Sharif Hassan, +5 more
- 20 Jul 2022 - 
TL;DR: In this article , a study aimed to identify the factors that impact the adoption intention of consumers to embrace and enhance the use of mobile fintech services in an emerging market, Bangladesh.
Journal ArticleDOI

Factors Affecting Fintech Adoption: A Systematic Literature Review

Egi Arvian Firmansyah, +3 more
- 28 Dec 2022 - 
TL;DR: In this article , the authors employed the systematic literature review (SLR) technique to review recent literature on fintech adoption or acceptance employing the Scopus database (2019-2022).
References
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Journal ArticleDOI

The Risk Perception Paradox—Implications for Governance and Communication of Natural Hazards

Gisela Wachinger, +3 more
- 01 Jun 2013 - 
TL;DR: A risk perception paradox exists in that it is assumed that high risk perception will lead to personal preparedness and, in the next step, to risk mitigation behavior, but this is not necessarily true, and three explanations are offered suggesting why this paradox might occur.
Journal ArticleDOI

Managing User Trust in B2C e-Services

David Gefen, +1 more
- 10 Jul 2003 - 
TL;DR: Findings show that social presence affects consumer trust and that trust subsequently has a stronger effect on purchase intentions than TAM beliefs, and implications for e-services are discussed in terms of whether the benefits from adopting an IT depend more on website characteristics like usefulness and ease of use or on consumer trust in the vendor.
Journal ArticleDOI

An empirical examination of factors influencing the intention to use mobile payment

Changsu Kim, +2 more
- 01 May 2010 - 
TL;DR: Interestingly, the findings indicate that early adopters value ease of use, whereas late adopters respond very positively to the usefulness of m-payment, most notably reachability and convenience of usage.
Journal ArticleDOI

Examining multi-dimensional trust and multi-faceted risk in initial acceptance of emerging technologies: An empirical study of mobile banking services

Xin (Robert) Luo, +3 more
TL;DR: Results of this study indicate that risk perception, derived from eight different facets, is a salient antecedent to innovative technology acceptance and provides empirical support for employing personal trait factors in analyzing acceptance of emerging IT artifacts.
Journal ArticleDOI

Exploring consumer adoption of mobile payments - A qualitative study

Niina Mallat
- 01 Dec 2007 - 
TL;DR: The findings suggest that the relative advantage of mobile payments is different from that specified in adoption theories and include independence of time and place, availability, possibilities for remote payments, and queue avoidance.
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Frequently Asked Questions (1)
Q1. What have the authors contributed in "How perceived risk, benefit and trust determine user fintech adoption: a new dimension for islamic finance" ?

This study ’ s objectives are twofold ; first, this paper aims to explore the determinants of perceived benefit and perceived risk of Islamic Fintech. Second, this study examines the influence of perceived benefit, perceived risk and user trust on the intention to adopt Islamic Fintech. The study performed a self-administration survey to collect the sample data while the hypothesized model was tested using SmartPLS. The outcome of this research may be used to develop strategies for Fintech and enables the financial sector to attain economies of scale in the world.