The Future of Banking: How Embedded Finance and Platforms Are Transforming the Industry 

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Customers today expect seamless, integrated financial experiences that fit effortlessly into their daily lives, according to The Financial Brand the need for ‘Better Banking’ has increases during economic uncertainty.This shift is driving banks to move beyond traditional models and embrace embedded finance and banking-as-a-platform (BaaP) strategies. 

By becoming enablers rather than standalone service providers, banks can unlock new opportunities, create more value, and build stronger relationships with customers and partners. At Samlink, we help banks navigate this transformation through embedded finance strategies, platform-based banking models, and ecosystem partner integrations. 

What is Embedded Finance and Why Does It Matter?

Embedded finance refers to the integration of financial services directly into non-financial platforms, such as e-commerce stores, ride-sharing apps, and subscription services. This model makes banking services more accessible and convenient for customers. 

How banks benefit from embedded finance: 

  • Reach New Customer Segments: Partnering with non-financial platforms allows banks to connect with audiences they wouldn’t reach otherwise. 
  • Enhance Customer Experience: Providing services where customers already are improves engagement and satisfaction. 
  • Generate New Revenue Streams: By offering financial services as part of third-party ecosystems, banks can monetize their core capabilities in innovative ways. 

Banking-as-a-Platform – A New Business Model for Banks

While embedded finance focuses on integrating financial services into external ecosystems, Banking-as-a-Platform (BaaP) takes this concept further. BaaP allows banks to open their infrastructure to third parties, enabling fintechs, big tech firms, and other ecosystem players to build financial solutions on top of banking capabilities. 

 Key elements of a strong BaaP strategy are: 

  • Open APIs: Facilitate seamless integration with third-party services, allowing for customized financial solutions. 
  • Data-Driven Innovation: Secure and compliant data-sharing empowers banks to personalize offerings and improve risk management. 
  • Ecosystem Collaboration: By partnering with fintechs and technology companies, banks can expand their services beyond traditional banking. 

 BaaP transforms banks from standalone institutions into centralized hubs of financial services, helping them stay competitive in a rapidly evolving market. 

Strategic Considerations for Nordic Banks  

To capitalize on embedded finance and platform-based models, Nordic banks must address the following strategic points: 

  • Building Scalable Architectures: Essential for enabling the scalability and flexibility required to support embedded finance and BaaP strategies. 
  • Balancing Innovation and Compliance: Regulatory frameworks, such as PSD3 and open finance initiatives, require banks to ensure robust compliance while fostering innovation. 
  • Differentiating through Trust: As financial services become more integrated into external platforms, banks must reinforce their roles as trusted custodians of customer data and financial integrity. 

By enabling seamless financial interactions within broader ecosystems, Nordic banks can position themselves as integral players in their customers’ daily lives.   

This shift requires not only technological innovation but also a cultural and strategic transformation. Banks must embrace collaboration, prioritize agility, and remain committed to delivering value both within and beyond traditional financial services.  

Those that successfully embrace platform-based banking models will become central players in customers’ financial lives, driving innovation and growth in the industry. Are you ready for the future of banking? Samlink is here to help. Contact us to learn how we can support your bank’s transformation.

Pål Krogdahl
Director of Advisory Services