Token, a turnkey open banking platform provider, has landed official authorisation by the Financial Conduct Authority (FCA).
The universal API banking platform has been granted FCA authorisation to deliver payment initiation and account information services, under the terms of PSD2.
With headquarters in San Francisco and offices in London, enables banks, merchants and other third-party providers (TPPs) to connect to any bank in the EU for payments and account information requests. It claims to solve the integration pain being felt across the industry caused by multiple, proprietary bank APIs.
The FCA license permits Token to connect UK customers to its platform. With the UK license granted, Token now benefits from a ‘license passporting’ process that enables it to establish similar domestic authorisations in neighbouring EU countries much faster than before.
“Token is the shortest, fastest and least expensive path for banks, merchants and other financial service providers to become PSD2 compliant and to expand into open banking-based payments and data aggregation services,” comments Marten Nelson, co-founder, Token. “From May 1st, all transacting businesses can connect to Token and accelerate their growth in payments and data by leveraging open banking.”
Token’s open banking platform claims to help banks achieve PSD2 compliance ‘quickly and cost-effectively’, and generate new revenue streams. It also allows banks and other players in the payments ecosystem, such as merchants and payment processors, to build bank direct payment methods and data aggregation solutions for their customers. The platform raises security, and reduces fraud and disintermediation. Unlike in-house developed solutions, Token supports the same API across all banks.
“The power of PSD2 and open banking lies in promoting customer-centricity,” Nelson added. “In the anticipation of a richer and more convenient user experience, account holders can permit a merchant, a bank or another service provider to access their account data and initiate payments.”
Copyright © 2018 RegTech Analyst
Copyright © 2018 RegTech Analyst
