Wrapping up a busy 2021…with eyes on the future of Open Finance
The year 2021 is coming to an end… and it has been a busy one for leading Luxembourgish Fintech and Open Banking pioneer LUXHUB. We recently met with Jacques Pütz, CEO, and Claude Meurisse, COO, to review a successful year, and also to discuss the advent of Open Finance and what it represents for the financial services industry. And beyond.
From compliance to innovation
The Open Banking revolution truly began with PSD2 (the 2nd Payment Services Directive), with banks literally having to open to others – and share account data and allow payment initiation, with the consent of the end user.
This European legislation was first seen as a challenge – or even a burden – for the financial services industry, but most actors quickly realized that in a world filled with data and full of digital, PSD2 was also going to create an unlimited array of opportunities for financial institutions and Fintechs
Jacques Pütz & Claude Meurisse
With its efficient compliance products, XS2A and CEDR, the rapidly-growing company was able to gain the trust of around 60 clients from all over Europe, and was twice featured in the world renowned REGTECH100 list (including most recently for 2022). This additional recognition from the industry – with a record number of more than 1,200 companies having applied this year – represents a new milestone for LUXHUB – which was already featured in the 2020 list – and serves as proof that compliance products are still key in the development of Open Finance.
Nowadays, more than two years after the entry into force of the obligation for banks to publish PSD2 APIs, the basic concept of Open Banking has evolved and transformed from solutions to ensure compliance into a real innovation enabler. This comes with the creation of top-notch, flexible and user-friendly services that answer to the ever-changing needs of end-users.
Claude Meurisse confirms, “PSD2 compliance – as well as AML5-related APIs – is the cornerstone of Open Banking, laying the ground for future innovation. LUXHUB, which started its journey by focusing on such compliance topics, is now enabling financial institutions, Fintechs, public administrations and SMEs to go one step further and enter the API economy and the Open Finance world.”
As a matter of fact, the Reg/Fintech located in Strassen now also offers key account aggregation and account-to-account payments solutions.