Long reserved for traditional banks, banking products and services can now be integrated into the offerings of financial and non-financial companies through Banking-as-a-Service (BaaS).
Indeed, with the rise of new technologies, BaaS solutions have rapidly become powerful development tools for Tech players, who are now able to offer increasingly integrated and personalized payment solutions to their users.
BaaS: a real catalyst for the fintech ecosystem
Initially focused on a single financial service (payment, credit, insurance, etc.), fintechs are now offering increasingly integrated and comprehensive solutions by incorporating many services provided by traditional banks.
By expanding their range of services, these fintechs are thus improving the competitiveness of their offerings in order to retain their existing customers and acquire new ones.
However, the launch of these offers requires technical and operational capabilities (orchestration of payment processes, card issuance, etc.), as well as regulatory requirements (payment institution licenses, KYC procedures, etc.) that are likely to mobilize significant human and financial resources.
Thanks to the BaaS model, fintechs can therefore launch new services to accelerate their development with maximum agility and at a lower cost.
For example, as early as April 2016, Treezor allowed Qonto to launch an account opening offer for professionals by leveraging its API and its Electronic Money Institution license.
In 2021, Shine was approved as a payment institution by the Autorité de Contrôle Prudentiel et de Résolution (ACPR, the French Prudential Supervision and Resolution Authority). This represents a major step in Shine’s development. Thanks to Treezor’s offer for payment institutions, Shine and Treezor remain partners. Shine thus uses Treezor’s “core banking” functions via API. This continuity of activity has also allowed Shine not to disrupt its end–customers with service disruptions. Treezor hence remains Shine’s main technological partner and the issuer of its payment card.