Temenos , the banking software company, Vodeno, a fully cloud-native BaaS provider and Aion Bank, a European licensed digital bank and credit institution, announced a strategic collaboration to accelerate Banking as a Service (BaaS) deployment in Europe.
The first banking services to be launched combine The Temenos Banking Cloud with Vodeno’s card management and payment processing services. This will enable banks and businesses across industries to broaden their portfolio of products offered to their customers by automating and embedding new payments and card services seamlessly in their customer journey. The collaboration across all three parties removes the complexities and regulatory overheads of deploying embedded financial services in Europe. Clients will benefit from faster time to market and the business agility to develop new customer propositions. Temenos and Vodeno are already engaged in several proof of concepts with banks and fintechs across Europe.
The Temenos Banking Cloud combines Temenos Transact and Temenos Infinity banking services which will connect via REST APIs to the VODENO Cloud Platform. Through the strategic alliance, clients will be able to instantly issue digital debit and credit cards for retail and business banking customers. Additionally, existing Temenos customers can benefit from financial services embedded in personalized customer journeys, delivered in real-time, at the right touchpoint with intelligent and contextual experiences.
More than 3,000 financial services institutions around the world leverage Temenos’ modern, open, cloud technology. The Temenos Banking Cloud enables banks and businesses to consume, manage and maintain banking services in a secure, continually evolving, self-service platform while allowing them to develop new business models.
BaaS is emerging as a megatrend within financial services, where licensed banks integrate their digital banking services directly into the products of other non-financial businesses. Aion Bank and Vodeno – both backed by the global growth investor, Warburg Pincus LLC – were created with this opportunity in mind. The BaaS market in Europe is currently estimated at over USD 3 billion. BaaS functionality is attractive to banks, fintechs, non-banks and specialized BaaS providers, who can now use the combined power of The Temenos Banking Cloud and Vodeno’s technology to create, deploy, consume or monetize new banking services. Temenos, Aion and Vodeno can now offer any brand digital banking services to their customers, such as mobile bank accounts, debit or credit cards and payment services, without the need to have their own banking license.