[wso2con eu 2017] keynote: digital transformation in the guise of a regulation - psd2 and open...

Head of Financial Solutions, WSO2

Digital Transformation in the Guise of a Regulation - PSD2 and Open Banking

Seshika Fernando

No One Really Wants To Do Banking

3

4Go on Vacation

5Build that Dream Home

6Educate Children

Banking is the Means to an End

Payment Services Directive 2 EU Directive that applies to all banks operating in the EU that regulates payment services throughout the EU, with a compliance deadline of January 2018

Mandates Banks to - securely expose - customer Account and Payment data - with customer consent - to regulated third parties - via APIs

PSD2 Explained

Bank A

Bank B

Bank C

Now

PSD2 Explained

Bank A

Bank B

Bank C

Merchant

Now

TPPPISP/AISP

PSD2

Bank A

Bank B

Bank C

Merchant

• Competitive dynamics

• Business model and identity

• Customer relationships

• Revenue

Banks’ Worst NightmareFurther Commoditized

‘Consolidated Customer Financials’

Digital Transformation - Market Expansion

Bank A

Bank B

Bank C

Merchant

Consolidated customer account and payment

info across multiple Banks

TPPTPP

Digital Transformation - New Revenue Streams

Consolidated customer account and payment

info across multiple Banks

Bank A

Bank B

Bank C

Merchant

TPP

Becoming a Part

of Customer Lifestyles

• Vision: Regulation vs. Business Opportunity

• People: Concern for Compliance & IT vs. All

• Culture: Take nothing for granted, keep innovating

• Technology

Recipe for Digital TransformationIngredients

Technology

WSO2 Open Banking

● API Manager● API Security + SCA● API Analytics● API Monetization

PSD2 Compliance

● API Integration● Fraud Detection● API Analytics ● Dashboards

TPP Provider

● Web/Mobile App Suite● Insight Sales● Required Integration

Digital Transformation

http://wso2.com/solutions/financial/open-banking/

Seamless Journey to Customer’s End Goal

TPP

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The Many Guises of Digital Transformation

wso2.com