Financial news

London and cloud-based platform Weavr has officially launched ‘Embedded Finance Cloud’, a new solution enabling financial institutions to create and distribute embedded finance products more easily.

The number and growth of embedded finance solutions continue to grow – with the market capitalisation of businesses in this space expected to reach as high as $7trillion by 2030.

As part of its ongoing efforts to support businesses in gaining value from this technological shift, the plug-and-play finance provider has launched the Embedded Finance Cloud solution: a white-label version of its proprietary embedded finance technology stack packaged specifically for banks and other financial institutions.

Product and innovation teams at banks and financial institutions (FIs) can use Weavr’s Embedded Finance Cloud orchestration platform to quickly and cost-effectively create embeddable financial products. The system aims to unlock new avenues for customer growth in non-financial consumer and business applications for FIs, while ensuring compliance in the highly regulated space.

The Weavr solution comes in Platform-as-a-Service (PaaS) form, enabling financial institutions to deploy it over existing core banking and payments systems.

Using the solution, FIs can create and manage natively embeddable financial products more effectively than they could with mainstream digital banking technology stacks. Financial products that are ‘embeddable by design’ also enable financial firms to retain control, compliance, and cybersecurity standards with no compromises, as they scale distribution via embedded channels.

‘An embedded financial revolution is happening all around us’

Alex Mifsud, co-founder and CEO of Weavr, discussed the significance of the launch: “The launch of our Embedded Finance Cloud solution will help banks to scale their embedded finance initiatives without compromising on risk management. Financial institutions are looking to go beyond open banking APIs in order to tap into profitable areas such as lending, foreign exchange and international transfers, as well as enabling new customer acquisition through collaboration with trusted third-party brands. Such ambition is often hampered by the risk and compliance concerns that come with more powerful embedded finance delivery models like banking-as-a-service.

“In contrast, Weavr’s Embedded Finance Cloud gives banks and e-money institutions the means to create financial products that are embeddable by design, with risk and compliance being intrinsic components of the design. This allows financial institutions to unlock significant new revenue streams from embedded finance faster and in a safer manner.

“An embedded financial revolution is happening all around us, and this new solution makes it much more viable for established financial institutions to seize the opportunity, not just fintechs or big tech.”

Weavr also recently completed the acquisition of B2B open banking platform Comma Payments and followed this up with a collaboration with Visa with an aim to accelerate the adoption of embedded finance solutions among B2B SaaS firms.