The Future of Finance – interview with the Paypers
Jacques Pütz, CEO of LUXHUB, tells us more about his vision for the future of finance, and discusses some of the most concrete use cases brought to all European players with LUXHUB’s new licences.
This interview was originally published inside the Open Banking Report 2021.
Click here to download the report
LUXHUB has recently been granted the AISP and PISP licences by the CSSF. How important is this step in the development of LUXHUB?
In the fast-emerging era of Open Banking, financial institutions are confronted by both an increased number of European regulations and an ever-expanding plethora of digital-led opportunities. To navigate and succeed in such an environment, they are required to deeply transform to stay relevant. This transformation is crucial for retaining existing customers and attracting new ones, by satisfying their rapidly changing needs and providing unique, innovative, flexible, and easy-to-use services.
This revolution truly began with PSD2, with banks having to open to others – and share account data as well as allow payment initiation, with the consent of the end-user. This immediately created an unlimited array of opportunities for all the players active in the financial sectors, whether regulated entities – financial institutions – or non-regulated – fintechs, TPPs, etc.
Nowadays, two years after the entry into force of the obligation for banks to publish PSD2 APIs, we are rapidly evolving towards embedded finance. Here, ecommerce merchants, car sellers, software companies, travel agencies, and many others, are directly integrating finance solutions – or Banking-as-a-Service – within their applications and/or processes. This enables them to provide their clients with a single and seamless experience throughout their entire journey – from searching to purchasing add-ons and paying.
Therefore, by securing these licences in what is still the early stages of Open Banking and soon-to-become Embedded Finance, LUXHUB reinforces its role as the missing and trusted link between banks and their customers, corporates, and individuals.
More concretely, what do these two licences enable LUXHUB to offer to its clients and partners?
The acquisition of the two licences, combined with our PFS (Professional of the Financial Services) status, positions LUXHUB as the only 360-degree Open Banking/Finance enabler in Luxembourg, placing us uniquely at the intersection of legacy and digital innovation within the financial services industry.