Close Menu
fintechbits
  • News
  • AI
  • Acquisitions
  • Trends
  • Insights
  • Rumors
  • Startups
  • finjobsly

Subscribe to Updates

Get the latest news from Fintechbits.

Trending Now

How Misaligned Incentives and Lack of Transparency in Models Endanger Investors

August 22, 2025

Reserve Bank of India presents a framework for implementing AI in India’s financial industry.

August 22, 2025

Majority of British Individuals Rely on AI for Personal Finance Guidance

August 22, 2025

Exploring Innovation in Fintech: A Deep Dive into Payments

August 22, 2025
Facebook X (Twitter) Instagram
Trending
  • How Misaligned Incentives and Lack of Transparency in Models Endanger Investors
  • Reserve Bank of India presents a framework for implementing AI in India’s financial industry.
  • Majority of British Individuals Rely on AI for Personal Finance Guidance
  • Exploring Innovation in Fintech: A Deep Dive into Payments
  • How financial discipline drives sustained innovation
  • Finance Market 2030: Overview of Size, Share, Future Trends, Growth Opportunities, Applications, and Driving Factors for Key Players like FIS, Fiserv, Google, Microsoft, Zoho, IBM, Socure, Workiva, Plaid, and SAS Institute.
  • Integrated finance, artificial intelligence, and partner engagement
  • Majority of Generative AI Projects in Companies Do Not Succeed
Facebook X (Twitter) Instagram Pinterest Vimeo
fintechbits
  • News

    JMJ Fintech experiences fluctuations despite robust recent financial results and growth strategies

    August 16, 2025

    Revolutionizing Financial Independence through Cryptocurrency Adoption

    August 16, 2025

    Reasons Robinhood is poised for long-term growth in the evolving FinTech and cryptocurrency sectors.

    August 16, 2025

    As profits increase, PB Fintech makes another move into common funds.

    August 1, 2025

    The integration of AI is advancing within Israel’s fintech sector.

    July 31, 2025
  • AI

    Reserve Bank of India presents a framework for implementing AI in India’s financial industry.

    August 22, 2025

    Majority of British Individuals Rely on AI for Personal Finance Guidance

    August 22, 2025

    How financial discipline drives sustained innovation

    August 22, 2025

    Finance Market 2030: Overview of Size, Share, Future Trends, Growth Opportunities, Applications, and Driving Factors for Key Players like FIS, Fiserv, Google, Microsoft, Zoho, IBM, Socure, Workiva, Plaid, and SAS Institute.

    August 22, 2025

    Integrated finance, artificial intelligence, and partner engagement

    August 22, 2025
  • Acquisitions

    The funding strategy for the Fintech company is secured.

    July 31, 2025

    African fintech leaders are shaping the industry through worldwide acquisitions.

    June 30, 2025

    Acrisure obtains significant funding to enhance its fintech strategy.

    June 14, 2025

    $200 million IPO SPAC aims for acquisitions in fintech and AI sectors.

    June 1, 2025

    Wealthsimple hires multiple teams to enhance family financial management.

    May 31, 2025
  • Trends

    Vietnam’s fintech market projected to exceed 50 billion USD by 2030.

    August 21, 2025

    Silicon Valley Bank’s 2024 Fintech Report offers insights on funding trends, capital transactions, evaluations, and opportunities, including the growing focus on AI, as of October 31, 2023.

    August 18, 2025

    Future Fintech advances in the virtual asset industry by applying for a VSP license in Hong Kong.

    August 17, 2025

    A Driving Force for Fintech 2.0

    August 17, 2025

    Insights on the Future of Fintech in Asia

    August 17, 2025
  • Insights

    Crypto and fintech leaders call on Trump to prevent banks from imposing data fees.

    August 19, 2025

    Breaking: Over 80 leaders in crypto and fintech urge Trump to prevent access to banking data, highlighting harm to consumers | Flash report details

    August 19, 2025

    A high-stakes competition in the Finch gaming revolution

    August 18, 2025

    Fintech Lance AI Assistant provides over 1 billion loans for migrants.

    August 16, 2025

    Director of the Bank Seeks Publisher in Banking and Fintech

    August 16, 2025
  • Rumors

    Market Impact and Strategic Prospects

    August 15, 2025

    Speculation rises amid Figma’s success and OpenAI’s $500 billion evaluation discussions.

    August 14, 2025

    China does not confirm any new restrictions on cryptography amid market volatility rumors.

    August 11, 2025

    Reinstating Trust in Cryptocurrency: The Significance of Reliable Information

    August 2, 2025

    Mybambu is expanding in West Palm Beach, aiming to create 200 new jobs, among several financial services firms that have relocated to Palm Beach County recently.

    July 31, 2025
  • Startups

    How Misaligned Incentives and Lack of Transparency in Models Endanger Investors

    August 22, 2025

    Bharatpe, the fintech unicorn, hires two senior executives following a profit announcement for FY25.

    August 21, 2025

    Fintech Farm introduces Tezbank in Uzbekistan

    August 21, 2025

    Increased workload, smaller teams, unchanged pay

    August 20, 2025

    Leading Fintech Startups in Australia for 2025

    August 19, 2025
  • finjobsly
fintechbits
Home » New European regulations on open finance: opportunities and challenges for the financial sector – Fintech Schweiz Digital Finance News
Regulatory Updates

New European regulations on open finance: opportunities and challenges for the financial sector – Fintech Schweiz Digital Finance News

4 Mins Read
Facebook Twitter Pinterest Telegram LinkedIn Tumblr Email Reddit
Eus New Open Finance Regulations Introduce Both Opportunities And Challenges For The Financial Secto.jpeg
Share
Facebook Twitter LinkedIn Pinterest Email Copy Link

Free Newsletter

Get the latest Swiss Fintech news delivered to your inbox once a month

New regulations in the European Union (EU) regarding payments and access to financial data lay the foundation for open finance.

While these initiatives aim to drive innovation and improve the customer experience in the financial services industry, they can also pose complex and costly implementation challenges for the industry, according to a note from the Institute of International Finance (IIF) published on May 22, 2024.

The note, released On May 22, it examines recent regulatory changes in the EU data sharing landscape, focusing on the impact of new open finance rules on financial institutions.

Global Fast Track'24

One of the highlights of the European Commission’s proposal is the package on access to financial data and payments. released in June 2023. The package includes proposals for a revised Payment Services Directive (PSD3), a new Payment Services Regulation (PSR) and a draft Financial Data Access Regulation (FIDA). These proposals aim to extend access to data beyond payments, improve fraud prevention and lay the foundations for open finance.

Payment innovation and fraud prevention

PSD3 and RPS aim to replace and modernise the current Payment Services Directive (PSD2). Their objectives include combating fraud, strengthening customer rights, improving access to bank accounts for non-banks and, ultimately, facilitating open finance.

The European Parliament voted in favour of PSD3 and PSR on 23 April 2024, marking a significant step forward in defining the future of open finance in the EU. It proposed several changes to the texts, mainly to improve fraud prevention. These changes include:

  • Strengthening consumer protection in a context of growing fraudulent activity;
  • Promoting innovation through new payment services, risk-based strong customer authentication (SCA) and interoperability;
  • Increase transparency and user control over data sharing;
  • Improving fraud data sharing through a dedicated IT platform supervised by the European Banking Authority (EBA); and
  • Clarify the scope of regulation regarding e-money tokens, location-based discrimination and direct debit refunds.

The EBA responded just days after the Parliament’s vote, making specific suggestions on 29 April 2024 for further amendments to the PSD3 and PSR texts, such as requiring two different SCA factors, mandating comprehensive fraud risk management frameworks and ensuring pre-execution transaction monitoring for instant payments.

Finalized versions of PSD3 and PSR are now expected by the end of 2024, with potential implementation around 2026, expects to Sia Partners, consulting firm.

Giving customers more control over their data

FIDA, for its part, aims to establish clear rights and obligations for managing customer data sharing in the financial sector, giving customers control over their data and allowing third parties to access a wide range of financial information. This includes data on mortgages, loans, savings, investments, insurance, pensions and credit assessments.

FIDA’s proposals include requiring financial institutions to provide data access to other institutions or fintechs, subject to customer permission. Customers will have full control over who accesses their data and for what purpose, increasing trust in data sharing. In addition, data holders and users will be required to adhere to Financial Data Sharing Schemes (FDSS), which will govern data access in line with FIDA and other EU regulations.

IFAD was voted in by the European Parliament’s Committee on Economic and Monetary Affairs on 18 April 2024. However, industry experts don’t wait IFAD will be finalized before 2025.

Impact on financial institutions

According to the IIF, PSD3, PSR and FIDA provide opportunities for the financial services industry to collaborate with new ecosystem players to develop innovative value-added products and services and improve the customer experience.

The industry association, however, highlights the significant challenges that financial institutions may face in implementing these measures. It notes in particular that meeting IFAD’s real-time data sharing requirements may be technically difficult and costly for data holders.

In addition, industry players remain skeptical about the expected benefits of the new regulations. A 2023 study by the European Commission examined The study examined the application and impact of PSD2 and found that the costs of implementing PSD2, particularly for API development (estimated at €3.2 billion) and SCA deployment (estimated at around €5 billion), were substantial. An overwhelming majority of banks and associations consulted for the study suggested that these costs far outweigh the benefits they derive from it.

Featured Image Credit: Edited from free pic

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Basel IV in the U.S.: Major Differences from NPR 2023

August 20, 2025

Paytm Achieves Significant Regulatory Victory Following Release of Major Investors

August 15, 2025

New possibilities for financial technology and innovative platforms

August 15, 2025
Leave A Reply Cancel Reply

Latest news

How Misaligned Incentives and Lack of Transparency in Models Endanger Investors

August 22, 2025

Reserve Bank of India presents a framework for implementing AI in India’s financial industry.

August 22, 2025

Majority of British Individuals Rely on AI for Personal Finance Guidance

August 22, 2025
News
  • AI in Finance (1,516)
  • Breaking News (164)
  • Corporate Acquisitions (66)
  • Industry Trends (196)
  • Jobs Market News (304)
  • Market Insights (202)
  • Market Rumors (263)
  • Regulatory Updates (164)
  • Startup News (1,006)
  • Technology Innovations (164)
  • X Feed (1)
About US
About US

FintechBits is a blog delivering the latest news and insights in fintech, finance, and technology. We cover breaking news, market trends, innovations, and expert opinions to keep you informed about the future of finance

Facebook X (Twitter) Instagram Pinterest Reddit TikTok
News
  • AI in Finance (1,516)
  • Breaking News (164)
  • Corporate Acquisitions (66)
  • Industry Trends (196)
  • Jobs Market News (304)
  • Market Insights (202)
  • Market Rumors (263)
  • Regulatory Updates (164)
  • Startup News (1,006)
  • Technology Innovations (164)
  • X Feed (1)
Happening Now

November 28, 2024

“ Intentionally collaborative ”: how the Rotman school of U of T leads Innovation Fintech

February 6, 2025

‘1957 Ventures’ to Drive FinTech Innovation in Saudi Arabia

September 10, 2024
  • About FintechBits
  • Advertise With us
  • Contact us
  • Disclaimer
  • Privacy Policy
  • Terms and services
  • BUY OUR EBOOK GUIDE
© 2025 Designed by Fintechbits

Type above and press Enter to search. Press Esc to cancel.