Next levelembeddedfinanceplatforms: Fromregulatory-driventomarket-driven Open Banking infrastructure
The introductionof PSD2 hasputpressure on bankstoimplementthe Payment Service Provider Directivebythedeadlineofearly 2018. The result was a boom forserviceprovidersspecialising in themanagementof PSD2-relevant interfaces (APIs). Ndgitthusmadeitintothetopfivefastest–growing German fintechswithin a shortperiodof time. The open APIs and theintegrationofmanybanksinto an external API platform form theperfectbasisforthenextdevelopmentstep in thedirectionof open banking and in a furtherdevelopmentstep in thedirectionof open finance. FT Partners, a San Francisco-basedinvestmentbankthatspecialisesexclusively in thefintechindustry, haslistedthemostimportant global providers in thefieldof open banking and open finance in itsmarketstudy “Rearchitectingthe Financial Landscape“. Ndgitappears on thelist in thefield “Interconnectivity Infrastructure”.
The overviewofthedriversof Open Banking isinteresting: not in all regionsoftheworlddidthe initiative to open uptheinterfacescomeexclusivelyfromregulatoryrequirementsoftheauthorities, as in Europe, Great Britain, Australia, Brazil or Saudi Arabia. Only in a fewareasoftheworld, however, didthebig bang for Open Banking comefromcompletelyvoluntary initiatives fromthefinancialindustryitself.
Regardless of the respective approach (market-driven versus regulatory-driven), the opening of banking data via Open Banking APIs has not only enabled the business models of numerous fintechs, but has also created a new class of infrastructure service providers that, as providers of middleware platforms, make the integration of banks and fintechs technically simpler and thus significantly more scalable. In the second stage of development from the regulatory-driven opening of banking APIs to the market-driven monetisation of API-based business models, data standards (such as those of the “Berlin Group”) play a decisive role for the success and speed of open banking in addition to purely technical integration. Platform providers like ndgit must take a leading role here – both in technical development and in the rapid adaptation of data standards. On this basis, they can offer banks clear added value in the digitalisation of their product portfolio and the development of new revenue sources through open banking – both in terms of costs and the speed of implementation. Infrastructure service providers can thus become pacemakers in the evolution of open banking and open finance towards embedded finance and ecosystem banking. Or to put it in the words of FT Partners: the transformation of the global architecture of financial services.
The Payment Services Directive PSD2 came into force on 14 September 2019, with the aim of improving consumer protection and the security of electronic payments. The regulation also aimed to promote competition on the one hand, and innovation on the other. In 2022, the European Commission put PSD2 to the test. To this end, there […]
Launched 14th of September 2019, the European Second Payment Service Directive (PSD2) has now been in place for more than three years. Time for ndgit to have a look at the statistics, insights and outlooks of its PSD2 solution with the usage from Europe’s major banks in 36 productive instances and eight countries in EU […]
According to analysts, we may expect a continued strong growth for the open banking market. Thus, the global open banking market size will reach $135.17b by 2030, meaning a CAGR of 26.9%. Drivers of the expansion are the rise of open APIs, an increased adoption of innovative applications and services and the favorable government legislation. […]
One of the major trends of digitization is the reshaping of value chains with a focus on the perspective of the digital customer. Within this process, many companies concluded that financial services are an elementary add-on to their products, as they are related to most buying processes. This led to a booming market of Embedded […]
The largest European online car market, AutoScout24, enters the B2B business. With the purchase of AUTOproff, the leading European B2B marketplace for car dealers, Autoscout24 gains access to more than 43,000 dealers across Europe and opens up a completely new business area. More than 20,000 registered car dealers can buy and sell vehicles in real […]
Open Banking 2022: Trends in Business and Technology* (*Webinars only available in German) In 2021, the digitization of the banking world will accelerate significantly once again. In our webinars, we want to show what opportunities banks have to leverage this development for their business: both in the form of more efficient technological solutions and through […]
Working with an external PSD2 API solution provider can have various benefits: reducing costs and risks on the one hand and opening new business opportunities through enabling new business models or external service offerings by TPPs on the other hand...
As a software development company for Open Banking cyber security is critical for us and our customers. Therefore, a strategic approach is mandatory to achieve the right maturity level. The first step is to organize a security strategy that prioritizes cybersecurity as a company imperative.
ndgit announced today that the leading provider of market research and analysis on information technology, Forrester Research, has included ndgit among the nine providers that matter most in their report, „The Forrester New Wave™: Open Banking Intermediaries, Q1 2021“.
The International Organization for Standardization (ISO) has issued two certificates to ndgit in recognition of the company’s achievements in the fields of information security management and business continuity management.
In 2021, the digitization of the banking world will accelerate significantly once again. In our webinars, we want to show what opportunities banks have to leverage this development for their business.
The second EU Payment Services Directive PSD2 has been fully in force for a good year. Time for ndgit, one of the pioneers in PSD2 compliance, to look back and forward.
Banks need to open up their backend systems and connect with third-party providers. Roger Wisler, Business Manager Switzerland at ndgit, reflects in a blog post about the core aspects of opening up banks as well as on the latest developments in Switzerland.
ndgit has been awarded as winner in the category "Best Banking Platform Germany 2020" at the International Business Magazine Awards. The aim of the award series is to recognize the best achievements of emerging companies in the international business and finance industry.
Over the past 18 months, one topic or acronym has been the main concern of the banking industry: PSD2 or tendered Payment Service Directive II. Driven by legal requirements, banks had to develop strategies and solutions to open their systems to third party providers [...]
Take a look at the ndgit API Platform version 2.0, now in a brand new design with enhanced functionality in the areas of team and stakeholder management, documentation and developer support.
Guest article - By Oliver Bohl and Birgit Spors, Advanced
What role does invisibility play for banks – especially in the area of tension of the platform economy? Today, established portals increasingly dominate customer perception. Mediated or integrated services of third parties lose their anchor point in the customers' consciousness. Are these developments a trap for banks or rather an opportunity?
Not all, but many, traditional banks are very busy with themselves. As a result, they’re often too distracted to confront external disruptors. It also means there's little time or consideration for their own disruptive evolution. There are just too many other things to tackle first.
Interesting interview between the Austrian online magazine economy.at and our CEO, Oliver Dlugosch, about Open Banking as a challenge to time-honoured financial institutions, current industry trends and his experience as FinTech entrepreneur.
Nils Elmark discusses the disruption in the banking environment and explains why financial executives must have bigger dreams. "They have to forget the past and leave the old business models behind and instead take the new FinTech and InsurTech tools on an adventure."
Banking disruption forces banks to adapt to new technologies, with voice banking playing an increasingly important role. Voice banking may be the future and will change the financial sector permanently, but it also imposes new requirements on the IT security of banks.
Lending money can be complex and expensive for financial institutions, which face strict compliance and transparency rules (many of which were introduced following the financial crisis over a decade ago). While digitisation could make life easier, its progress is often stalled in operational silos with change viewed by various bank departments as a threat rather than an opportunity.
Kevin Smith is Head of Analytics & AI at Contovista. As a data scientist, Kevin Smith specialises in analysing data using AI methods and extracting actionable insights from it. In this interview, he answers three questions about the opportunities that data-driven banking affords for medium-sized banks.
Currently, everyone is talking about Open Banking. One important thing is the right definition or interpretation of this term. There are some banks that understand Open Banking as purely publishing OpenAPIs so TPPs can access their data. But Open Banking is so much more than this...
Funding partner DVH Ventures recently interviewed ndgit’s founders, Oliver Dlugosch and Florian Pahl, to get a quick snapshot of the business and discover what sparked its creation and success. Here’s what they found out...
In an exclusive interview with Money Today in Switzerland, ndgit’s CEO, Oliver Dlugosch, and Head of Business Development, Franziska Zangl, share their thoughts on PSD2 toolkits, the importance of open banking and the role of Swiss banks.
European banks are increasingly discovering the power of going beyond PSD2 and successfully advancing their open banking projects. Here, Peter Hiekmann, of ndgit, looks at how Middleware and APIs are linking banks and FinTechs to power next generation Platform Banking and accelerate a brave new world of financial services.
PSD2 is a starter drug for many into open banking. PSD2 means implementing a software that follow all PSD2 rules i.e. an out-of-the-box solution from providers like ndgit.
PSD2 and Open Banking have paved the way for banking transformation. But compliance and regulation aside, what else is driving change, how should banks respond and how does this impact their service direction?
Ensuring seamless consent management is a cornerstone of PSD2 implementation. Here, Oliver Dlugosch, CEO of ndgit, explains how dedicated APIs can help banks reduce complexity and make processes smoother.
While current guidelines necessitate Two-Factor Authentication, some transactions are exempt. Oliver Dlugosch, CEO of ndgit, clarifies the secure ‘rules of engagement’ for Banks and Payment Service Providers.
In 2018, PSD2 effectively lit a touch paper to wholescale Banking transformation. It may be a slow burn but, according to Oliver Dlugosch, CEO of ndgit, it’s already generated far-reaching changes to investment attitude and strategy.
