DIGITAL PAYMENTS & CROSS-BORDER PAYMENTS: THE API PLAYERS
fire.com | Paytabs | Blinking | Lemonway
We observe in this series of reports that there are many new routes into what was once known as the banking industry, which is now being widely disrupted, and in some cases reinvented as a digital business with no brick-and-mortar outlets for customers. In the case of a business such as fire.com, the arrival of several new classes of financial licences including Payment Initiation Service Provider and Account Information Service Provider allows the business to operate in a relatively new space, as a non-bank with direct access to card schemes and to various clearing schemes.
These new players, completely comfortable in the world of APIs, are inventing a whole new connective tissue for the financial system which will be especially attractive for small and medium businesses as the proposition automates a lot of the payment process, and enables data to move with accuracy between parties. They are very much ecosystem plays on the customer and business side.