What platforms can be used to enable banking as a service to be consumed by Fintehcs and third parties? Allowing the bank to act as TPP (Third Party Provider)

There are service providers that offer Banking-as-a-Service (BaaS) cores, which are generally API first/capable. Having modern integration capabilities is important because the Tech Stack used by most FinTechs will require modern solutions. Some of these BaaS middleware providers will play a significant role in the Fintech and Bank relationship and integration to ensure success. It may be feasible to operate as a BaaS with a traditional bank core, but it would significantly increase the complexity.

Q2 has the Helix core, which is cloud native and designed for BaaS. Mbanq markets BaaS capabilities with their core. Solid is another Fintech offering a BaaS core.

Synapse was a provider offering a BaaS middleware solution that went bankrupt in 2024 and caused significant issues. The FDIC does not supervise the middleware solutions, so their failure may mean the deposits serviced via BaaS are not FDIC insured. Additionally, there is some discussion of additional regulations around BaaS which may impact this market.

Platforms like Plaid, Yodlee, and Open Bank Project enable banks to provide Banking as a Service (BaaS) to fintechs and third parties, allowing the bank to act as a Third Party Provider (TPP) through APIs and data access.