Quant Atlas, interoperable banking through cross border Open Banking

Introducing Quant Atlas, our solution to enable interoperable banking through cross border Open Banking.

Open Banking has the power to revolutionise the way we move, manage and make more use of our money. Open Banking is a new, secure way for consumers including small businesses to share bank information, allowing an ecosystem for companies to offer super-fast payment methods and innovative banking products.

At the core of Open Banking is standardising the APIs that banks and building societies use to make payments and access information. All apps and websites can ‘talk to’ banks using a common approach. Open Banking has been adopted in the EU as PSD2 (Payment Services Directive 2) and the UK to enable access to payment accounts held at Account Servicing Payment Service (ASPSPs) under explicit consent of the client. Other markets across the globe are starting to implement Open Banking systems similar to Europe and the UK.

It is estimated that in the next 10 years that Open Banking data flows could exceed the current levels of credit card transactions in today’s financial networks.

Overledger

The Atlas architecture is using Overledger, enabling business interoperability, and network interoperability between Open Banking networks and TPPs and agnostic Distributed Ledgers.

Overledger is the world’s first blockchain operating system harness the power of multiple blockchains by interconnecting the world’s networks to unlock business value. Overledger solves interoperability between blockchains, distributed ledger networks and existing legacy systems and networks, enabling enterprises to innovate and build new business models and next-generation multi-chain applications with just 3 lines of code.

Our solution uses Overledger, enabling a Distributed Ledger Technology (DLT) transfer of secure consent data between different jurisdictions, facilitating interoperability between TPPs and their respective systems and platforms.

Vision

The idea for Atlas stemmed from the joint submission we did with Data61 in February 2019 for the GFIN Cross Border sandbox.

The mission for Atlas is to create Cross Border trade corridors by enabling interoperable banking powered by distributed ledger technologies.

At the core of all Open Banking customer journeys is the mechanism by which the Payment Service User (PSU) gives consent to a Third Party Provider (TPP), Account Information Service Provider (AISP), Payment Initiation Services Provider (PISP) or Card Based Payment Instrument Issuer (CBPII) to access account information held at their Account Servicing Payment Service Provider (ASPSP) or to initiate payments from their ASPSP account.

In general, simplified terms, the consent request is initiated in the TPP domain. The PSU is then directed to the domain of its ASPSP for authentication. Then, once authentication is complete, the ASPSP will be able to respond to the TPP’s account information or payment initiation request and redirect the PSU back to the TPP for confirmation and completion of the journey.

Shared Consent

We’re initially tackling the sharing of consent in the Open Banking ecosystem spanning two Third Party Providers (TPPs) where one TPP is in one jurisdiction, and the other is in another.

Our approach provides consumers and industry benefits including:

  • Reducing friction for Open Banking customers using TPPs in multiple countries
  • Recognise cross-border authorisation and consent
  • Align regulatory harmonisation to export Open Banking solutions from one jurisdiction to another, plus allow for cross border open banking operations by participants
  • Enhanced Consumer and business protection against Fraud — via additional levels of encryption based on our Zero Knowledge Proof TrustTag capabilities

We plan to expand out different use cases and applications as we onboard different Open Banking systems, banks and TPPs globally.

Innovate with us

By leveraging the power of cross border open banking through Atlas, we’ve created a banking platform for core suppliers of data and banking services and regulated third-party providers to innovate with new business models and cross border solutions and services for consumers.

Think your business could benefit from our services? Get in touch for more on our expertise and pricing.

Find out more: https://www.quant.network/products/atlas/


Originally published at www.quant.network on April 4, 2019.