Article: What is open banking opportunities and its risks

Money, Open Governance

What is open banking opportunities and its risks

Your personal information is creating a revolution. It is perhaps making a whole new world. Open banking is where banks and other financial institutions involve third parties to use transactional, operational or personal data to create innovative solutions. That is done by plugging in the application programming interfaces (APIs) of third-party providers.

CRED, a fintech company, allows you to pay their credit card bills by offering other freebies or short-term credit. It caters to customers with good credit scores. Then, there are disruptive businesses like
Faircent, a peer-to-peer lending platform. Any success for such a platform could threaten retail banking as it links people wanting to borrow directly to people wanting to lend.

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Article: The Future of Finance: How to Cope With Open Banking In Emerging Asia

Money, Open Governance

The Future of Finance: How to Cope With Open Banking In Emerging Asia

For more than a decade, Asia has been the largest regional banking market and as the continent’s massive middle class continues to grow, McKinsey expects personal financial assets in the region to reach US$69 trillion by 2025, or 75% of the global total.

However, in recent years, traditional banks have been disrupted or have faced stiff competition from fintech startups — be they pure-play digital banks or e-commerce platforms offering quasi-banking services. These players have catered to largely ignored, low-margin, high-risk customer bases, namely those in rural areas of emerging markets.

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Article: Data security: The paramount aspect of open banking

Access, API, Money, Open Decision-Support, Open Governance, Open Infrastructure

Data security: The paramount aspect of open banking

Open banking, a practice that provides third-party financial service providers an open access to consumer banking, transaction, and other financial data from banks and NBFCs through the use of application programming interfaces (APIs), has been rapidly catching up and is said to be the future of financial technology.

While this has several benefits, the innovation is also a high-risk practice as it involves sharing of and trading vast amounts of data. And while financial technology, over the past few years, seen tremendous growth in India, the Covid pandemic has facilitated a huge surge.

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Article: Neonomics, Nöffe to bring Open Banking to children

Money, Open Governance, Standards

Neonomics, Nöffe to bring Open Banking to children

Norway-based Nöffe has partnered with Neonomics to develop a digital piggy bank, to enable parents to easily connect their children’s bank accounts to a piggy bank, according to the official press release.

Neonomics, a Europe-based Open Banking API platform provider, allows Nöffe’s users to connect a bank account via their app to a piggy bank that mirrors a bank account.

The digital piggy bank is about the size of a traditional piggy bank, and a female voice speaks every time money is transferred to the account, or if a child wants to know how much money is in the account. Using the Nöffe app powered by Neonomics’ Open Banking API, parents can move around money for their children while giving them various sensory cues and stimulations, naturally making them more aware of the value of money.

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Article: API management: What CIOs should known

API, Open Infrastructure, Open Source

API management: What CIOs should known

Application programming interfaces (APIs) are fast proving to be significant tools in creating business value for CIOs embarking on digital transformations or seeking to develop new revenue streams.

APIs can translate text, label images, send text messages, check for fraud, retrieve open banking data, and handle an increasingly large variety of business transactions. An API may soon be the way to look up COVID vaccination status. As APIs become critical to their IT and development processes inside the organization, CIOs need to be thinking about management, compliance, and access: who gets access to what company data with what APIs through what governance model?

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Article: Today In Digital-First Banking: TrueLayer Lands $70 Million In Series D; Envestnet Acquires Harvest Savings

Money, Open Governance

Today In Digital-First Banking: TrueLayer Lands $70 Million In Series D; Envestnet Acquires Harvest Savings

In today’s top news in digital-first banking, TrueLayer landed $70 million in a funding round headed up by Addition, while Envestnet had acquired Harvest Savings & Wealth Technologies. Plus, Avant has purchased Zero Financial along with its neobank, Level.

TrueLayer notched $70 million in an Addition-led Series D funding round. The investment will assist the company in furthering the global growth of its open banking-based network and debut new products. TrueLayer is aiming to build out an open banking network that streamlines identity, financial data and payments.

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Article: What’s next for Open Banking?

Money, Open Governance

What’s next for Open Banking?

Appetite for “Open Banking”, where consumers allow third-party providers to use the financial information held by their bank to inform new products, is growing; Progress in the sector differs by region, but demand for and use of Open Banking services has been further expedited by the COVID-19 pandemic;

To make Open Banking successful and sustainable, however, more banks need to embrace an end-to-end digital architecture. In recent years, technology has facilitated a progressive opening up of the banking industry. It has ushered in an era of collaboration not just competition between incumbent banks and fintech.

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Article: Bank-FinTech Tie-Ups Eye Open Banking Adoption

Money, Open Governance

Bank-FinTech Tie-Ups Eye Open Banking Adoption

Bank-FinTech tie-ups continue to emerge, with an eye on driving open banking adoption. As the U.K.’s Tide considers a new way to encourage banks to embrace the model, other collaborators seek ways to strengthen the small business banking experience.

With an eye on boosting its presence with its corporate and small business customers, France’s La Banque Postale has tapped Ebury to enhance its own offerings via open banking. In a recent press release, the companies said that the bank’s business customers will be able to open a foreign currency account via Ebury’s technology.

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Article: How API attacks are hamstringing mobile healthcare apps

API, Open Infrastructure, Open Source

How API attacks are hamstringing mobile healthcare apps

The Covid-19 pandemic has accelerated the use of mobile healthcare apps and virtual care. Due to that, the personal health data of millions of individuals is being exposed through the Application Programming Interfaces (APIs) used by mobile health (mHealth) applications, according to a recent study published by Knight Ink and cybersecurity firm Approov.

Several widely-used mobile health apps have basic security flaws that could leave them vulnerable to attacks, whereby the processing, transmitting, and storing of a lot of vital and presently valuable information – protected health information (PHI) – are being sold on the dark web. Knight partnered with mobile security company Approov to hack 30 mobile health apps to highlight the threats they face through APIs.

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Article: How far has open banking come in Europe?

Money, Open Governance

How far has open banking come in Europe?

Fintechs can then use that customer’s transaction data for the purposes of budgeting advice, loan approval and various other financial and investment services. 

It is also possible to initiate online payments through open banking, without the customer having to log into their bank account or use a credit/debit card. Although that may sound like a security risk, open banking is implemented in such a way that it is safer than some other forms of banking, with secure authentication for every transaction and no customer payment details retained by merchants. 

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