Open banking will reach 304M users by 2026

Open banking is predicted to grow nearly 680% by 2026 to 304 million users as regulations, technology and consumer awareness of their data improves. Along with growth in usership, open banking payments are expected to reach $116 billion by 2026, up from $4 billion in 2021, Ryan Christiansen, senior vice president of data at Mastercard’s Finicity , said Tuesday during the presentation “Case studies on automation and innovation initiatives from across the financial institution” at Bank Automation Summit Fall 2022 in Seattle. In addition, information API calls are expected to reach 420 billion in 2026, up from 36 billion in 2021, according to Juniper Research data shared during the discussion. The key with open banking is “making sure that the consumer is at the middle of the experience,” he said, noting that Ally , Chase and Wells Fargo are examples of banks successfully using APIs. Open banking is expected to reach 304M users by 2026, up from 39M users in 2021 — Ryan Christiansen, Mastercard #BASFall22

— Whitney McDonald (@whitneymcmc) September 20, 2022 Factors contributing to the growth of open banking include: Regulatory and legislative efforts: Regulations implemented by the Consumer Financial Protection Bureau (CFPB) and an order from the Biden administration show that the government is keeping its eye on open banking. Regulators are prioritizing protections around data accessibility, and Christiansen said he expects the CFPB will define a regulatory framework for open banking within the next year. Emerging technologies: New and evolving technologies answer “how to provide consumers access and control so that as a consumer, once you have permissioned your data, you have that ongoing control,” Christiansen said, noting that consumers can now disconnect accounts and change the way they interact with services. Empowered consumers: Consumers expect control over their data. “As a consumer, you may have a service that is just a one-time service and you would expect for your data to only be used for that one-time service,” Christiansen said. “Giving the consumers the ability to see how their data is being used and control that is really what is important in private and open banking.”

Open banking will reach 304M users by 2026

Bank Automation Summit Fall 2022

Corporate One Federal Credit Union Provides More Than 750 of America’s Credit Unions New Digital Solutions at Scale

5 key themes for FIs looking to build next-gen payment experiences

Related Posts

Barclays to cut 5K jobs in AI-fueled push to lower costs

Not enough AI investment would be ‘disservice’ to CapOne shareholders

Old National Bank exec shares 3 ways to build consumer trust when deploying AI

5 key themes for FIs looking to build next-gen payment experiences

EMERGING FINTECH DIRECTORY

FinAi Podcast

SPONSORED

The Next Generation of Cyberthreats: Powered by AI

Build an Antifragile Strategy to Outperform the Market

How AI and Product Experts Turn Fuzzy Requirements Into Focused Dev-ready Roadmaps

Connect

Welcome Back!

Retrieve your password

Continue Reading with FinAi News Premium - Less than $2/Day

Open banking will reach 304M users by 2026

Bank Automation Summit Fall 2022

Corporate One Federal Credit Union Provides More Than 750 of America’s Credit Unions New Digital Solutions at Scale

5 key themes for FIs looking to build next-gen payment experiences

Related Posts

FinAi Podcast

Connect

Welcome Back!

Retrieve your password

Unlock This Article

Continue Reading with FinAi News Premium - Less than $2/Day