Temenos, Vodeno and Aion Bank collaborated to adopt BaaS in Europe

By Joy Dumasia

Temenos, the banking software company, Vodeno, a fully cloud-native BaaS provider and Aion Bank, a European licensed digital bank and credit institution, announced a strategic collaboration to accelerate Banking as a Service (BaaS) deployment in Europe.

The first banking services to be launched combine The Temenos Banking Cloud with Vodeno’s card management and payment processing services. The collaboration across all three parties removes the complexities and regulatory overheads of deploying embedded financial services in Europe. Temenos and Vodeno are already engaged in several proofs of concepts with banks and FinTechs across Europe.

The Temenos Banking Cloud combines Temenos Transact and Temenos Infinity banking services which will connect via REST APIs to the VODENO Cloud Platform. Clients will instantly issue digital debit and credit cards for retail and business banking customers through the strategic alliance.

BaaS is emerging as a megatrend within financial services, where licensed banks integrate their digital banking services directly into the products of other non-financial businesses. The BaaS market in Europe is currently estimated at over USD 3 billion. BaaS functionality is attractive to banks, FinTechs, non-banks and specialized BaaS providers, who can now use the combined power of The Temenos Banking Cloud and Vodeno’s technology to create, deploy, consume or monetize new banking services.

Max Chuard, Chief Executive Officer, Temenos, said: “Working with Vodeno and Aion Bank, we offer an open cloud banking platform designed for business agility and massive scale to banks, FinTechs and established brands that wish to offer embedded financial services and drive ultimate customer experiences. We chose Vodeno and Aion Bank to establish this new channel to market for Temenos, which will help us capture the BaaS market opportunity in Europe. The Temenos Banking Cloud combined with Vodeno’s technology and Aion Bank’s proposition will help banks and non-banks to create, deploy, consume and monetize new banking services.”

Recently, IBS Intelligence reported that Temenos, the banking software company, announced the availability of Temenos Transact next-generation core banking with Red Hat OpenShift on IBM Cloud to accelerate hybrid cloud adoption within the financial services industry.