APIs will be critical enablers for Open X
Posted: Thu Jul 10, 2025 5:50 am
APIs, which allow third parties to access banking systems and data in a controlled environment, will be the catalyst for the creation of the Open X market. While customer data is already widely shared and leveraged by the industry, API standardization is not yet common. Despite the complex requirements and regulations, standardization will help reduce fraud, improve interoperability, and increase speed to market and scalability.
The 2019 WFTR also notes that industry players are exploring two potential monetization models for APIs: revenue sharing and API access fees . However, only about a third of banking executives said they are currently well-prepared for API monetization.
Concerns about privacy, security, and collaboration may slow progress
While banks and FinTechs say they understand the shop importance of collaboration, concerns about privacy and security have not disappeared. When asked about their concerns regarding Open Banking, most banking industry respondents cited data security, customer privacy, and loss of control over customer data. Although FinTechs showed a more optimistic attitude toward Open Banking, concerns about security, privacy, and loss of control over customer data were also raised.
“ Open Banking has long been seen as transformative for financial services, but this report demonstrates that it is just one piece of a much larger picture ,” said Andrea Falleni, Managing Director of Capgemini Business Unit Italy . “ The industry is on the cusp of a more comprehensive evolution, where there is an opportunity to advance with an integrated marketplace we call Open X. In Open X, there will be seamless data sharing, and ecosystem partners will be able to collaborate much more comprehensively. Our research suggests that banks and FinTechs will need to prepare for more radical change than many had previously anticipated .”
The 2019 WFTR also notes that industry players are exploring two potential monetization models for APIs: revenue sharing and API access fees . However, only about a third of banking executives said they are currently well-prepared for API monetization.
Concerns about privacy, security, and collaboration may slow progress
While banks and FinTechs say they understand the shop importance of collaboration, concerns about privacy and security have not disappeared. When asked about their concerns regarding Open Banking, most banking industry respondents cited data security, customer privacy, and loss of control over customer data. Although FinTechs showed a more optimistic attitude toward Open Banking, concerns about security, privacy, and loss of control over customer data were also raised.
“ Open Banking has long been seen as transformative for financial services, but this report demonstrates that it is just one piece of a much larger picture ,” said Andrea Falleni, Managing Director of Capgemini Business Unit Italy . “ The industry is on the cusp of a more comprehensive evolution, where there is an opportunity to advance with an integrated marketplace we call Open X. In Open X, there will be seamless data sharing, and ecosystem partners will be able to collaborate much more comprehensively. Our research suggests that banks and FinTechs will need to prepare for more radical change than many had previously anticipated .”