Launched in Brussels by the EC in October 2014, the Electronic Identification (eIDAS) regulation aims to strengthen national digital identities, modernize digital transactions, and increase trustworthiness in digital transactions. The implementation of the regulation was phased in from 2014-2019. The first phase of the regulation became enforceable on 1 July 2016. While the focus in 2015 and 2016 was on exploring the scope and detail of the regulation, work in 2017 and 2018 is geared towards operational implementation. Currently, member states have the option to accept the eID of other member states, however, in September 2018 they will be required to accept eID from all other EU members.
Traditional banks must evaluate their place within the payments ecosystem and be open to partnering with FinTechs and third-party developers to drive value collaboratively.
Structural changes are spurring payments industry participants to evaluate the future of the business as well as their role in the months and years ahead.
The Payment Services Directive 2 or PSD2 has been in full force for more than six months, and its impact is being felt not just in the European Union, but across the globe – with several markets, such as Singapore, Australia, and Nigeria, as well as Hong Kong announcing open banking initiatives inspired by the PSD2