The (Data) Sharing Economy: How Connectivity is Shaping Open Finance
Custom content for MX by studioID
In today’s financial climate, connectivity is king. Customers need the ability to grant and revoke access to sensitive data. That’s where application programming interfaces — or APIs — come into play. This open finance integration gives customers more control over their finances and how their data is shared with institutions.
By tokenizing APIs, or turning sensitive data (such as account credentials) into non-sensitive data (in this case, tokens), customers get a personalized, user-friendly experience.
In return, banks, companies and service providers get a complete picture of their clients’ financial profile. Access to this data is valuable for several reasons, including:
Ability to personalize products and services by understanding their clients’ needs and behaviors.
Reduce the time it takes to open new accounts and onboard.
Create partnerships between banks, fintechs and other entities.