Mastercard has selected Token.io to provide the connectivity layer of its forthcoming Open Banking hub, which will connect merchants, retailers and other regulated third parties to financial institutions in Europe for data and payment transactions.
First announced in June last year, the Mastercard programme seeks to address the liability worries of banks sharing their data with third parties and to help startups to better communicate with their banking partners.
For banks, Mastercard is building a pan-European directory of verified and legimate third party providers, backed by a fraud monitoring service and dispute resolution mechanism. Startups in turn will be provided with a 'connectivity hub' that will help third parties establish and maintain communication with banks.
Token has been selected as a partner to launch the connectivity hub, which will deliver secure connectivity between third parties’ and financial institutions’ APIs using Token’s operating system, TokenOSTM.
Jim Wadsworth, Mastercard SVP, says: “Our API-led solutions will make it easier for financial institutions and third parties to act on the opportunities and create innovative banking and payments experiences for people’s everyday lives. Token’s work in this space will help us to deliver the vision we’ve set.”