As PSD2 legislation looms in Europe, and Open Banking is due to be introduced by 2018 in the UK, the creation and use of open APIs is becoming less of a choice and more of a necessity for legacy banks. APIs provide simple connections between systems, while open APIs establish connections between two parties. Some banks view open APIs as a threat because they enable third parties to access their data and systems, but others see them as an opportunity to connect to fintechs in order to offer their own customers enhanced products and services. That’s presenting an opportunity for third-party firms with services that help banks make these connections more easily.
Sourced through Scoop.it from: uk.businessinsider.com