In today's digital age, the terms FinTech and digital transformation are increasingly used, but their meaning and implications are not always entirely clear to the general public. FinTech, or financial technology, encompasses a range of innovations aimed at improving financial services, providing users with faster, simpler, and more accessible ways to manage their finances. Digital transformation has impacted almost every sphere of human activity, with the banking sector standing out in particular. The development of technology, the expansion of the Internet, and processes such as digitalization have significantly influenced how banks operate and communicate with their customers. Technological innovations have enabled the banking system to quickly adapt to modern challenges, introducing advanced technologies and processes that make business operations faster, simpler, and more efficient. The result of these changes is the everyday use of innovations such as ATMs, contactless payments, card-based (cashless) transactions, as well as e-banking and mobile banking, which significantly simplify financial management for users. Additionally, the digital revolution has created space for the emergence of the FinTech sector – an industry that combines financial services with the latest technological advancements. FinTech companies challenge traditional banks by offering users innovative solutions that are often more affordable and flexible. By providing lower fees, faster adaptation to customer needs, and easier use of digital platforms, FinTech companies are increasingly taking on the role of competitors to banks. Their goal is to improve and simplify financial processes, making them more accessible to a wider population, while providing users with greater control and flexibility in managing their finances. This development in the financial sector is changing the way banks operate, redefining the entire ecosystem of financial services and bringing innovations that were unimaginable just a few years ago.