Connect with us

Finance

41% of Banks Offer Embedded Finance Solutions, Have FinTechs to Thank

Published

on

41% of Banks Offer Embedded Finance Solutions, Have FinTechs to Thank

In today’s financial services arena, embedded finance and banking-as-a-service (BaaS) have emerged as transformative forces, redefining the way banks and financial institutions (FIs) engage with consumers and businesses. At the core of this shift is the use of application programming interfaces (APIs), which enable smooth financial transactions through digital platforms.

A recent PYMNTS Intelligence report, “Embedded Finance and BaaS: From Marketing Buzz to Banking Bedrock,” in collaboration with NCR Voyix, reveals traditional institutions must now make a critical choice: adapt to these advancements to remain relevant or risk being surpassed by more nimble competitors.

APIs Transform Embedded Finance

Embedded finance and BaaS are becoming integral to the banking industry, driven by the need to offer seamless financial solutions and counter competitive threats from Big Tech and FinTech companies. According to recent surveys, 41% of FIs have already implemented embedded finance solutions, and 48% have expanded their BaaS capabilities. This adoption reflects a strategic shift toward leveraging these technologies to stay relevant in a market increasingly dominated by digital-first players.

A trend is that 79% of banks worldwide expect banking to become deeply embedded in daily consumer and commercial activities. As a response to this shift, 20% of banks are transitioning toward BaaS-centric models that enable them to offer a range of in-house financial products and services.

This strategic move is crucial, as businesses are integrating C systems with payment providers via APIs to gain data-driven insights, a trend anticipated to accelerate with advancements in artificial intelligence (AI).

Advertisement

Navigating Roadblocks to Embedded Finance

Despite the clear advantages, adopting embedded finance and BaaS presents challenges. In the U.K., for example, two-thirds of banking executives cite at least 10 obstacles, including cost and risk factors, that hinder the widespread adoption of embedded finance. A staggering 99% of executives acknowledge at least one barrier, with a substantial number highlighting the absence of a unified internal strategy as a major hurdle.

Meanwhile, the regulatory environment remains a critical issue. In the U.K., 31% of compliance leaders report being hampered by regulatory uncertainty, while broader concerns about outdated systems and the lack of cohesive strategies exacerbate the problem.

European banks face additional security challenges, with 80% acknowledging the importance of API security, but only 24% having implemented comprehensive security solutions. These issues are particularly pressing for smaller community banks and credit unions (CUs), which often struggle with legacy systems and limited resources.

FinTech Partnerships: Key to Banking Innovation

FinTech partnerships are emerging as essential for banks and FIs seeking to accelerate innovation and enhance customer satisfaction. These collaborations enable institutions to integrate advanced technologies and offer more responsive services, addressing evolving consumer needs and maintaining competitive edge.

Advertisement

A key driver of this shift is the demand from Generation Z. PYMNTS Intelligence research shows that 30% of Gen Z consumers are likely to switch financial institutions if their current ones fail to innovate. Despite this, 41% of CUs have no plans to offer popular digital services like Zelle by 2030, and 23% are not considering digital budgeting tools. This highlights a critical disconnect and underscores the urgency for CUs to adopt API-enabled products.

In response, 80% of CUs are recognizing the value of FinTech partnerships as a crucial element of their digital transformation strategy. Nearly half of these institutions plan to invest in FinTech collaborations in the near future, with about 30% expecting to partner with multiple FinTechs.

The rise of embedded finance and BaaS marks a shift in banking from traditional silos to a digital-first approach. Despite significant challenges, especially for smaller banks and credit unions, FinTech partnerships and API integrations offer a path forward.

Finance

One.funding and MV Commercial launch MV Asset Finance

Published

on

One.funding and MV Commercial launch MV Asset Finance

One.funding has partnered with UK-based MV Commercial to introduce MV Asset Finance, which offers an alternative method for MV Commercial’s customers to secure finance, according to a LinkedIn post.

In developing MV Asset Finance, representatives from One.funding worked closely with MV Commercial’s team to better understand business priorities and the requirements of their customer base.

Advertisement

Access deeper industry intelligence

Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.

Find out more


According to the post, the service aims to remove friction, ensure complete transparency, and enable a seamless process from initial engagement to completion by integrating support within MV Commercial’s operations and presenting it under their brand.

MV Commercial supplies fleet solutions for vehicles within the UK.

The company’s offerings include trucks, trailers, and light commercial vehicles that are available for sale, rental, or contract hire.

Its current rental and Ready to Go fleets consist of 2,000 specialist trucks, vans, and trailers across various depots in Airdrie, Grantham, Livingston, Oxford, Haydock, and London Luton.

Advertisement

One.funding CEO Lee Schofield said: “At One.funding, we’ve 20 years of experience in building point-of-sale finance that fits naturally into how businesses sell. MV Asset Finance shows what’s possible when that experience is embedded into the MV Commercial journey, making it easier for their customers to keep moving and keep growing.”

A recent example involved AMK Plant & Tipper Hire, which added a DAF FAD XD450 Construction eight-by-four tipper truck to its fleet, the company’s first DAF tipper purchase.

The transaction was finalised in three weeks; MV Commercial supplied the vehicle while financing was arranged through the newly launched MV Asset Finance framework.

Advertisement


Advertisement
Continue Reading

Finance

RFSD board approves financial assurances, reviews annual audit

Published

on

RFSD board approves financial assurances, reviews annual audit

The Roaring Fork School District Board of Education approved its annual financial accreditation assurances and reviewed the district’s 2024-25 audited financial statements during its meeting on Wednesday, according to a district news release.

The audit, presented by McMahan and Associates, found the district’s overall financial position to be stable and identified areas for continued improvement in internal controls and financial processes. The district’s General Fund balance remains above minimum levels required by board policy.

Chief Financial Officer Christy Chicoine said the audit reflects progress following prior concerns identified in earlier reviews.



“We have made significant improvements compared to the prior year’s audit as a Finance Department, and I am grateful for the finance team’s commitment towards those improvements as demonstrated in this audit,” Chicoine said. “While we still have work to do to continue to sustain and enhance the district’s fiscal management, the audit report indicates we are clearly headed in the right direction.”

Superintendent Anna Cole said the findings validate work undertaken over the past two years to rebuild internal systems and improve transparency.

Advertisement



“Over the past two years, our teams have worked diligently and transparently to rebuild internal financial systems that left the district at risk,” Cole said. “The outcomes of this audit are evidence that we are on track.”

Cole said the timing of the audit is significant as the district begins developing its budget for the 2026-27 school year and faces mounting external pressures.

“We couldn’t have stabilized internal systems at a better time,” she said. “As we begin the budgeting process for the 26/27 school year, we face external challenges like declining enrollment, instability of state and federal funding, and a rising cost of living that is outpacing staff and teacher salaries. This audit is an important confirmation that our finances are in order as we prepare to navigate oncoming challenges.”

Board President Lindsay DeFrates said the board is better positioned to plan ahead following the audit’s conclusions.

Advertisement

“We are grateful for the leadership of Chief Chicoine and the hard work of the district finance and human resources teams,” DeFrates said. “We are now in a much better place financially and will move forward with clarity, transparency and accountability, able to better navigate the challenges to come.”

Continue Reading

Finance

UK’s Former Finance Minister George Osborne Joins Coinbase – Coinspeaker

Published

on

UK’s Former Finance Minister George Osborne Joins Coinbase – Coinspeaker

Key Notes

  • Former UK finance minister George Osborne is joining Coinbase’s Global Advisory Council.
  • Osborne will focus on crypto regulation, stablecoins, and tokenized assets across the UK and EU.
  • The exchange is also expanding beyond crypto trading as it steps into 2026.

Coinbase has appointed former UK finance minister George Osborne as chair of its Global Advisory Council. It is clear that the American crypto exchange wants to deepen its influence with governments outside the United States.

Earlier this week, Coinbase tested the waters in India as its deal to acquire a minority stake in local crypto trading platform CoinDCX was approved by the Competition Commission of India.


https://twitter.com/CCI_India/status/2000905244080034292

Coinbase Expands Policy Reach Beyond the US

Coinbase confirmed that Osborne will take a more active role in advising on government engagement worldwide, with a focus on Britain and the European Union.

Osborne, who first joined Coinbase as an adviser in January 2024, will be based in London. He will work closely with policymakers on issues related to crypto regulation, stablecoins, and tokenized assets.

Coinbase’s chief policy officer Faryar Shirzad said the crypto exchange has already become a powerful lobbying force outside the US. In the UK, the company is pushing for clearer rules on tax treatment, stablecoin payments, and the use of tokenized assets in capital markets.

Advertisement

Osborne’s Background

Osborne served as the UK’s finance minister from 2010 until 2016, stepping down after the Brexit referendum. Since leaving politics, he has built a broad private-sector portfolio.

He currently chairs the British Museum, is a partner at investment bank Robey Warshaw, and leads Lingotto Investment Management.

Just days before the Coinbase announcement, OpenAI named Osborne to support its overseas data centre expansion under its global infrastructure program. His appointment to Coinbase adds crypto and blockchain policy to an already wide-ranging list of responsibilities.

Expansion Across Crypto

According to an earlier report, at its recent System Update event, Coinbase revealed plans to expand into stock trading, prediction markets, custom stablecoins, tokenization platforms, and AI-powered investment advisers.

Coinbase has already launched stock trading and prediction markets on its platform and now rivals firms such as Robinhood and eToro. The exchange has also partnered with Kalshi to offer markets tied to real-world events such as sports, elections, and economic data.

Advertisement

The exchange’s long-term goal is to become an all-in-one financial platform that operates around the clock.

Meanwhile, Deutsche Bank recently initiated coverage with a buy rating, according to CNBC. Analysts expect the company’s broader new everything-in-one strategy to reduce its dependence on crypto trading volumes as it scales into 2026.

next

Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.

Coinbase News, Cryptocurrency News, News

Advertisement

A crypto journalist with over 5 years of experience in the industry, Parth has worked with major media outlets in the crypto and finance world, gathering experience and expertise in the space after surviving bear and bull markets over the years. Parth is also an author of 4 self-published books.

Parth Dubey on LinkedIn


Advertisement
Continue Reading

Trending