What this piece is
A founder’s reflection on the regulatory convergence that reshaped the identity and open banking landscape. PSD2 opened access to bank data. GDPR gave consumers control over their personal information. Together they created a “perfect storm” that made bank-verified identity a viable and valuable product category. Originally published on Medium, February 2021. Originally written circa 2017.What is the core idea?
Two regulatory forces — PSD2 and Open Banking mandating third-party access to bank data, and GDPR giving consumers data rights — converged to create commercial opportunity for identity products built on bank data. DirectID pivoted from a consumer product (miiCard) to a B2B service leveraging bank data for identity verification, reducing onboarding time, reducing fraud, and enabling same-day decisions for lenders.Related pages
- Open banking and identity — consent and trust infrastructure
- Is AI the ‘new oil’? — the identity phase of the “new oil” evolution
- ID2020 Summit — global identity and self-sovereign identity
- Dealing with the new norm — COVID-era acceleration of digital identity
- Lessons from a Fintech — the DirectID story
- Thoughts
- Identity and trust infrastructure in open banking — identity and trust deep dive
- Consent and risk in open banking — consent lifecycle