This document summarizes key trends in the fintech industry resulting from the introduction of PSD2 regulation, including increased collaboration between financial institutions and startups. It discusses what fintechs and banks want from each other, including data sharing and access to technologies. It also examines customers' priorities regarding payment services, data sharing, and security. Overall it explores how PSD2 is driving revolution and changes in business models in the banking and fintech sectors.

1. Fintech Trends
Collaboration between financial institutions and startups
after introduction of PSD2
BANK
FINTECH
(R)EVOLUTION
MARIUSZ OŻGA
June, 29th 2017

2. Customers’
expectations
Change drivers cycle in #finserv
Regulation
Technology
‘I want it simple
and I want it now’
‘Automation &
Connectivity’
‘...& deregulation’

3. PSD2 Legal framework & timeline
RTS
National regulation
Poland: ammendment to
Payment Services Act
(UC81)
Nov 2015
Jan 2018 ?
EU
Poland
3Q 2017 ?
SCA
CSC
1Q 2019 ?1Q 2018 ?we are here
‘Screen-scraping vs APIs’ cause uncertainty & delay

4. PSD2: #fintech (r)evolution in the making
BEFORE AFTER

5. What do #fintech want from #banks ?
“Data is the new oil”
(Clive Humby, UK Mathematician and architect of Tesco’s Clubcard, 2006)
AIS
account
integration
services
PIS
payment
initiation
services
● account-based payments
● automated/instant payments
● partner/loyalty ‘debit’ cards &
merchant ecosystems
● P2P
● aggregation platforms
(PFM, price comparison
engines)
● smarter credit

6. What do #banks want from #fintech ?
64%data analytics
45%cybersecurity
41%mobile applications
45%process automation
#finserv priorities
(data as of pwc.pl, June’17)
#AI
#OpenAPI
#blockchain
technologies
#cloud
#biometrics
#IoT
over 50% of Polish banks know nothing or very little of blockchain
(pwc.pl, June 2017)

7. Banks PSD2 strategies: co-op & battlegrounds
traditional
bank
utility
platform
bank as
TPP
everyday
bank
strategy
business
model
conservative/
niche
extra reve
opportunities
offer new
services/advice
offer non-financial
services with
added value
limited
to basic data
partnership
potential
comply
only
monetize
access to data
utilize
external data
build
partnership ecosystem
source of
premium data
white-label external
channels
1 of 5 Polish banks currently declare buying fintech products
(pwc.pl, June 2017)
defensive
positionchallenges
business
case
internal
innovation
scale/ value
proposition

8. What do customers want ?
67%
willing to
share their data with
banks in return for new
benefits
(Accenture)
“User-experience” is a balance between utility and security
33%
customers of Polish banks
confirm utility as leading factor
for choosing finance
management tools
(PWC)
53%
happy for TPP
initiating payments
on their behalf
(Accenture)
94%
stressed that any new
payment service at
least as secure as
method they use
(Accenture)
93%
trust banks to keep
their money safe
(EY)
70%
would not trust TPP
as much as a bank with
their data
(Accenture)
but

9. (piece of advice) Don’t tell me…
● so you REALLY want to
build sth fast’n’easy... but
cheap or for free ?
● think out of the box (but
show added value)
● Polish banks
technologically advanced
● plenty ‘out-of-the-box’
solutions
“...I will offer you systems
integration…”
“...I will deliver any solution,
let’s find use case”
● 90% of fintech want to
offer simple payment
solutions; 9 out of 10 fail
● 20% multi-banking & 3%
really using PFMs
● focus on solving client
problems, gimmicks are for
geeks
● build some business
acumen (or listen to mine)
...technological...
...business...
“...I’m mostly into
payments...”
“...I’m thinking of offering
premium PFM...”
….fairytales….

10. @MozgaOzga
Mariusz Ożga
BANK
FINTECH
(R)EVOLUTION
Disclaimer
The opinions expressed in this article are the author's own and do not necessarily
reflect the view of the author’s employer.
Thank you !

11. What do they want ? Who is rebelling ?
screen-scraping APIs
● direct access with credentials
transfer
● continue to use screen-
scraping
● technologically proven
● protect fintechs’ business
models
● interface access, no credentials
transfer
● data protection and customers
security
● ban screen-scraping altogether
● provide countrywide standard