Abstract
The concept of open banking is gaining global rec-ognition for helping to integrate innovative financial service providers into a sustainable financial ecosystem. This paper discusses open banking, including its core building blocks, prospects and challenges. Given the European Union’s pioneer-ing role in adopting open banking regulations, the paper also reviews the revised Payment Services Directive (PSD2) and its role in advancing fast payment systems in Europe.The paper goes on to consider the practical implications of the PSD2 in Germany through case studies of the banking-as-a-service platform, Solarisbank, and the Islamic digital bank, Insha. Finally, the paper sheds light on the benefits of open banking for ecosystem stakeholders, including fast payment system pro-viders, and how they can benefit from the intro-duction of open banking regulations.
| Original language | English |
|---|---|
| Pages (from-to) | 432-444 |
| Number of pages | 13 |
| Journal | Journal of Payments Strategy and Systems |
| Volume | 15 |
| Issue number | 4 |
| Publication status | Published - 1 Dec 2021 |
Keywords
- FinTechs
- Insha
- Open banking
- PSD2
- Payment services
- Solarisbank