Early Adopters Are Uniquely Positioned to Attract New Customers With More Secure, Accessible Instant Payments
NEW YORK , NEW YORK, UNITED STATES, July 5, 2023/EINPresswire.com/ — The U.S. market will soon have an entirely new way to make payments following the launch of FedNow. Due to its universal infrastructure and regulatory nature, FedNow promises to be more accessible and secure for consumers. This in turn offers the potential to surpass the adoption of existing instant payment rails stateside. Its challenge, however, will be the pace at which banks are able to integrate with the service.
Global digital transformation company GFT is drawing on its experience with Pix in Brazil and the Universal Digital Payments Network (UDPN) to enable banks and financial institutions to navigate this challenge. The organizations that accomplish this first will outpace competitors with enhanced customer experiences and scaled transaction volume. They will also be uniquely positioned to create never-before-seen payments use cases for other banks, merchants and fintechs alike.
FedNow Drives Opportunities to Transcend Instant Payments Limitations in the U.S.
Prior to FedNow, U.S. banks have been dependent on closed, third-party services for instant payments. Even the most established service has less than 300 out of thousands of banks using it. As a result, consumers can only make and receive payments between banks that are enrolled in the same services. Some of these services don’t process transactions in real-time and lack the security of a centrally regulated system.
“FedNow gives banks the power to fundamentally transform an essential pillar of the financial industry—payments,” said Carlos Kazuo Missao, Head of Innovation, Americas, at GFT. “It’s not just an opportunity to be a part of the country’s first regulated instant payments network. With FedNow, banks will be in the unique position to offer new instant payment capabilities to consumers that protect them in ways that current options don’t.”
GFT Leans on Global Banking Expertise to Guide Integrations with FedNow
To participate in FedNow, banks and financial institutions will undergo a delicate balancing act of introducing new infrastructure on top of existing, often legacy, architectures. Leaning on its 35+ year history working with banks around the world, GFT will guide U.S. banks and financial institutions through the digital capabilities necessary for overcoming this challenge, including:
● Introducing the digital and data architecture necessary to massively scale and process transactions in real-time. GFT will enable banks to integrate modern API-based layers with existing legacy infrastructures both internally, and with other banks, as they progress in their FedNow journeys.
● Complying with elevated regulations, even as they evolve over time. As FedNow regulations evolve, GFT will enable banks to adapt their offerings to remain in constant compliance without compromising time to market or user-friendliness.
● Scaling transaction volume and introducing new revenue streams on top of their instant payments infrastructure. As banks integrate with FedNow, GFT will ensure that their internal systems can deliver on significantly increased transaction volumes. From there, the company will enable banks to introduce entirely new instant payments use cases and business models.
In addition to its work with global banks and financial institutions to introduce new payment experiences at scale, GFT has additionally worked on the regulatory side of payments. In Brazil, the company joined forces with the Brazilian Banks Federation (FEBRABAN) to develop the framework for its open banking standards. GFT also contributed to building the technology for UDPN, the world’s most advanced digital currency payments project announced at this year’s World Economic Forum.
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About GFT – Shaping the future of digital business.
GFT is a digital transformation pioneer that develops sustainable solutions based on new technologies including artificial intelligence and blockchain/DLT. Services range from core system modernization and migration to open cloud platforms, as well as the introduction of carbon conscious coding.
GFT’s strengths include deep technical expertise, strong partnerships and comprehensive market insights. The company uses them to design digital transformation for clients from the finance and insurance sectors as well as in the manufacturing industry. Through the intelligent use of technology it adds value and increases productivity for clients. GFT experts create and implement scalable software applications that make access to innovative business models safe and easy.
With locations in more than 15 markets around the globe, GFT ensures proximity to its clients. The company draws on over 35 years of experience and a global team consisting of over 10,000 determined talents. GFT provides them with career opportunities in the most innovative areas of software engineering. The GFT Technologies SE share is listed in the SDAX index of the German Stock Exchange (ticker: GFT-XE).
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Kieran Powell
GFT
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