After raising $51-million Series B in funding last year, London-based open banking infrastructure startup Yapily has now joined hands with banking-as-a-service (BaaS) platform OpenPayd to deliver innovative payments solutions for businesses in the U.K. and Europe.
The partnership comes on the heels of Yapily’s acquisition of German open banking solution provider FinAPI last month. Within three years of its launch, the startup has raised $69.4 million in funding.
Together, the fintech platforms will address the growing demand for embedded finance. To create a complete banking and payments ecosystem through a single API, Yapily’s open banking platform will be integrated into OpenPayd’s embedded finance offering.
Demand for embedded finance and open banking solutions is growing at a meteoric rate. 92% of business leaders are planning on launching embedded finance within the next five years, whilst UK Finance data shows that open banking payments increased more than 500% in 12 months from 0.5 million to 2.6 million transactions between September 2020 to 2021.
Stefano Vaccino, founder and CEO at Yapily, said: “Innovation is a buzzword we hear very often, but stripped back it really means finding new ways of doing things. Embedded finance is the evolution of how open banking will be delivered now and in the future. Together with OpenPayd, we are changing the way that businesses access and use open banking for the better.”
In addition to its existing coverage of 16 European countries, Yapily will enter new territories including Czech Republic, Slovakia, and Hungary, broadening its geographic footprint and accelerating the rollout of open banking across Europe.
Iana Dimitrova, CEO of OpenPayd added: “By leveraging our joint capabilities we build better financial infrastructure for our clients.”