Panagiotis Kriaris

Merchant acquirers are behind every card payment. But unlike banks or card brands, they get far less visibility. Here's my take on the European landscape. A merchant acquirer enables businesses to accept card payments from customers. They process transactions, settle funds, and handle the connection to card networks. In Europe, acquirers typically operate under one of two PSD2-regulated licenses: • As an authorized payment or e-money institution • As a credit institution (i.e., a bank) 𝗖𝗼𝗺𝗽𝗲𝘁𝗶𝘁𝗶𝗼𝗻 𝗮𝗻𝗮𝗹𝘆𝘀𝗶𝘀: 𝟭.𝗪𝗼𝗿𝗹𝗱𝗽𝗮𝘆 has global scale and strong enterprise and omnichannel capabilities. Privately owned, it's expanding internationally and serving large, complex merchants. Set to be acquired by Global Payments in 2026. 𝟮. 𝗡𝗲𝘅𝗶 is Europe’s top consolidator, integrating major acquisitions (Nets, SIA) while focusing on local expertise and deep bank relationships. 𝟯. 𝗙𝗶𝘀𝗲𝗿𝘃 combines US scale with global reach. It leverages its Clover platform and bank ties to deliver end-to-end commerce solutions. 𝟰. 𝗔𝗱𝘆𝗲𝗻 redefined acquiring with a developer-first, API-native model. Its single tech stack powers global platforms like Uber and Spotify. 𝟱. 𝗕𝗮𝗿𝗰𝗹𝗮𝘆𝘀 uses its universal banking position to support acquiring, cross-selling to merchants and embedding finance across its UK base. 𝟲. 𝗪𝗼𝗿𝗹𝗱𝗹𝗶𝗻𝗲 is Europe-focused, with strength in public sector and regulated verticals. Post-Ingenico, it’s expanding multi-country reach. 𝟳. 𝗚𝗹𝗼𝗯𝗮𝗹 𝗣𝗮𝘆𝗺𝗲𝗻𝘁𝘀 has a strong omnichannel presence, serving enterprises with integrated commerce. Its Worldpay acquisition will make it Europe’s largest acquirer. 𝟴. 𝗝.𝗣. 𝗠𝗼𝗿𝗴𝗮𝗻 𝗣𝗮𝘆𝗺𝗲𝗻𝘁𝘀 is gaining ground as a premium institutional-grade acquirer, embedding acquiring into treasury and cash management services. 𝗧𝗿𝗲𝗻𝗱𝘀: - Shrinking margins: Interchange fee regulation, competitive pricing, and rising compliance costs are putting pressure on profitability. - Alternative rails: Open Banking and A2A payments are maturing fast, promising lower-cost alternatives to cards - especially in e-commerce and bill payments. - Embedded finance: Merchants increasingly expect acquiring to come bundled with value-added services - lending, payouts, loyalty - not just payment processing. - Tech debt: Legacy acquirers face challenges modernizing infrastructure while competing with tech-native players like Adyen or Stripe. - Regulation: PSD3, AML upgrades, and data protection rules are adding pressure, especially on KYC, onboarding, and cross-border flows. - M&A Integration: Several players are still digesting mega-mergers, risking delays in platform unification and operational efficiency. Opinions: my own, Trx. volume source: 2025 Nilson Report 𝐒𝐮𝐛𝐬𝐜𝐫𝐢𝐛𝐞 𝐭𝐨 𝐦𝐲 𝐧𝐞𝐰𝐬𝐥𝐞𝐭𝐭𝐞𝐫: https://lnkd.in/dkqhnxdg

450

24 Kommentare

𝟑𝐃 𝐒𝐞𝐜𝐮𝐫𝐞 — The Authentication Layer in Card-Not-Present Payments by Checkout.com 👇 𝟑𝐃 𝐒𝐞𝐜𝐮𝐫𝐞 (3DS) is a security protocol developed by EMVCo to authenticate online cardholders in real time. It facilitates risk-based authentication between the issuer, merchant, cardholder, and 𝐀𝐜𝐜𝐞𝐬𝐬 𝐂𝐨𝐧𝐭𝐫𝐨𝐥 𝐒𝐞𝐫𝐯𝐞𝐫 (ACS)—creating an added layer of trust in card-not-present (CNP) transactions. Note: This protocol is as old as the world but it remains an incredible process that can be used strategically when not mandated to shift liability and mitigate fraud. Yes it does create an additional fiction at times but the 𝐃𝐚𝐭𝐚 𝐎𝐧𝐥𝐲 flow is an option with caveats that should be looked at and used. — 𝐇𝐨𝐰 𝐝𝐨𝐞𝐬 𝟑𝐃 𝐒𝐞𝐜𝐮𝐫𝐞 𝐰𝐨𝐫𝐤? 3DS dynamically adapts to the transaction risk profile using one of two core flows: 1️⃣ 𝐅𝐫𝐢𝐜𝐭𝐢𝐨𝐧𝐥𝐞𝐬𝐬 𝐅𝐥𝐨𝐰 ✔ No customer interaction ✔ The issuer’s ACS validates the cardholder silently using contextual signals (device ID, IP, geolocation, past behavior) ✔ Ideal for low-risk transactions and returning users 2️⃣ 𝐂𝐡𝐚𝐥𝐥𝐞𝐧𝐠𝐞 𝐅𝐥𝐨𝐰 ✔ Issuer actively authenticates the cardholder ✔ Methods may include OTP, face ID, fingerprint, or app push notification ✔ Used when risk is elevated or regulatory thresholds require stronger SCA (e.g., PSD2 in Europe) — 𝐖𝐡𝐚𝐭 𝐢𝐬 𝐋𝐢𝐚𝐛𝐢𝐥𝐢𝐭𝐲 𝐒𝐡𝐢𝐟𝐭? When 3DS is applied (and the issuer approves the authentication), liability for fraud-related chargebacks shifts from the merchant to the issuer. *𝐎𝐧𝐥𝐲 𝐟𝐨𝐫 𝐭𝐡𝐞 𝐒𝐭𝐚𝐧𝐝𝐚𝐫𝐝 𝐅𝐥𝐨𝐰, 𝐧𝐨𝐭 𝐃𝐚𝐭𝐚 𝐎𝐧𝐥𝐲.* This is especially critical for: → High-value CNP transactions → Cross-border payments → SCA-mandated regions (e.g., EU, UK, India) — 𝐒𝐭𝐚𝐧𝐝𝐚𝐥𝐨𝐧𝐞 𝟑𝐃𝐒 𝐯𝐬. 𝐏𝐒𝐏-𝐞𝐧𝐚𝐛𝐥𝐞𝐝 𝟑𝐃𝐒 📌 Standalone 3DS - Merchants directly integrate with a 3DS provider or ACS (VGS, Forter...) → Full control over routing, rules, and orchestration → More complex setup, ongoing maintenance, and liability handling → Best for technology-driven & enterprise merchants 📌 PSP-enabled 3DS - the PSP(Checkout.com, Nuvei, Payplug, Getnet...) manages the 3DS flow → Simpler integration, streamlined performance → Embedded in the PSP’s payment flow → Built-in liability management and reporting → Less granular control over ACS selection or custom rule logic → Best for traditional merchants or start/scale-ups. — 𝐖𝐡𝐲 𝐌𝐞𝐫𝐜𝐡𝐚𝐧𝐭𝐬 𝐬𝐡𝐨𝐮𝐥𝐝 𝐜𝐚𝐫𝐞 ► Seamless user experience with risk-based friction reduction ► Increased authorization rates through dynamic routing ► Fraud reduction + chargeback liability protection ► Regulatory compliance with PSD2, RBI, and global SCA mandates — Source: Checkout.com ► Sign up to 𝐓𝐡𝐞 𝐏𝐚𝐲𝐦𝐞𝐧𝐭𝐬 𝐁𝐫𝐞𝐰𝐬: https://lnkd.in/g5cDhnjC ► Connecting the dots in Payments... | Marcel van Oost

321

11 Kommentare

Is your glass half full or half empty? For nearly a decade in PSD2 and Open Banking, I’ve often heard: “the tech isn’t good enough for the use case I want.” Today, I rarely hear that on the consumer side—a sign that PSD2 APIs have matured, and many really exciting use cases are now possible. But in the corporate space, the feedback remains: quality isn’t quite there yet. And yes, there’s still work to do. Yet, it’s not only about technology. It’s also about mindset. Instead of saying, “I can’t cook vegetable soup because there are no carrots at home”—let’s open the fridge, see what’s already there, and ask: What can I create with the ingredients available? Who can I serve with the tools we already have? Think of the early days of electric cars. Many said: “The range is too short—I’ll wait until it improves.” But pioneers said: “It doesn’t cover all my needs yet, but it covers enough.” As technology advanced, adoption followed. Open Banking is in that same phase. The tools exist. The opportunity is here. 👉 So my question to you is: Do you know what you can build today with the APIs we already have? If not, lets have a chat! #openbanking #enablebanking #innovation #B2B

61

3 Kommentare

💥 𝐀2𝐀 𝐏𝐚𝐲𝐦𝐞𝐧𝐭𝐬 𝐚𝐫𝐞 𝐨𝐟𝐟𝐢𝐜𝐢𝐚𝐥𝐥𝐲 𝐡𝐚𝐯𝐢𝐧𝐠 𝐭𝐡𝐞𝐢𝐫 𝐦𝐨𝐦𝐞𝐧𝐭. Each week brings a flood of updates in open banking, but some moves deserve a closer look. These caught my eye: 🔹 𝐂𝐚𝐫𝐝 𝐧𝐞𝐭𝐰𝐨𝐫𝐤𝐬 𝐦𝐚𝐤𝐢𝐧𝐠 𝐬𝐩𝐚𝐜𝐞 𝐟𝐨𝐫 𝐝𝐢𝐫𝐞𝐜𝐭 𝐛𝐚𝐧𝐤 𝐩𝐚𝐲𝐦𝐞𝐧𝐭𝐬 Visa’s move to offer guaranteed A2A payments using open banking rails is a meaningful shift. Mastercard and Deutsche Bank are also expanding A2A payments across Europe for merchants. For networks built on card rails, this signals a steady transition toward new plumbing. 🔹 𝐆𝐨𝐯𝐞𝐫𝐧𝐦𝐞𝐧𝐭 𝐩𝐚𝐲𝐦𝐞𝐧𝐭𝐬 𝐞𝐧𝐭𝐞𝐫𝐢𝐧𝐠 𝐭𝐡𝐞 𝐀2𝐀 𝐥𝐚𝐧𝐞 Trustly’s partnership with Point & Pay is enabling A2A for government services. It’s a less discussed segment, but modernising public payment workflows could be a quiet unlock for broader adoption. 🔹 𝐂𝐫𝐲𝐩𝐭𝐨 𝐫𝐚𝐦𝐩𝐬 𝐥𝐞𝐚𝐧𝐢𝐧𝐠 𝐨𝐧 𝐨𝐩𝐞𝐧 𝐛𝐚𝐧𝐤𝐢𝐧𝐠 Kraken Digital Asset Exchange teamed up with Ivy to bring faster, smoother A2A funding flows to crypto users in Europe. It’s a reminder that speed-sensitive verticals are early adopters, and their feedback loops are fast. 🔹 Plaid 𝐭𝐚𝐢𝐥𝐨𝐫𝐢𝐧𝐠 𝐢𝐧𝐟𝐫𝐚 𝐟𝐨𝐫 𝐬𝐦𝐚𝐥𝐥 𝐛𝐮𝐬𝐢𝐧𝐞𝐬𝐬𝐞𝐬 Their new “Transactions for Business” tool is built to help SMBs turn messy bank data into usable workflows. 🧠 Just a handful of signals, but together, they show how A2A and data rails are maturing across use cases. From retail to government to crypto to credit models, the activity is spreading. And most of it is happening quietly, deep in the stack. #OpenBanking #fintech

61

4 Kommentare

FASTag users, the clock is ticking! The deadline for updating your FASTag KYC has been extended, but let’s be honest—how often do we actually update documents before the last minute? A small step today can save you from unnecessary stress later. Smooth toll payments, higher recharge limits, and compliance—all just a quick update away. I’ve broken it all down in this post—check it out and make sure you’re prepared. Have you updated your KYC yet? #kyc #fastag #financiallearning #financialupdates

37

9 Kommentare

The Card Issuing Revolution: From Legacy Lags to Real-Time Agility Cards now dominate 49% of EU payments, with 637.7 million cards in circulation—1.9 per person (ECB, 2022). Yet traditional issuance, bogged down by legacy systems and fragmented APIs, costs banks 30% more in operational overheads (McKinsey, 2023). Enter fintechs like Checkout, which are rewriting the rules with agile, end-to-end platforms that cut issuance timelines from weeks to minutes. How Modern Issuing Works: Breaking the Black Box Regulatory Onboarding: Automated KYC/AML checks reduce compliance costs by 40% (Deloitte, 2023). Card Production: Virtual cards are issued in seconds; physical cards ship in days vs. weeks. Tokenization: 78% of digital wallets use tokens, slashing fraud by 60% (Juniper Research, 2024). Real-Time Controls: Dynamic spend limits and merchant locks prevent misuse—critical for OTAs like Booking com, which saved $50M annually in travel partner fraud (Phocuswright). The ROI: Beyond Cost Savings OTAs: Virtual cards streamline payouts to hotels/airlines, cutting reconciliation by 80%. SMEs: Instant corporate cards with spend tracking reduce accounting errors by 45% (Forrester). Consumers: 63% prefer apps offering embedded cards (Capgemini), like Revolut’s disposable virtual cards for safer online shopping. Global Trends: Why the US and Asia Are Playing Catch-Up While the EU leads in card adoption (49%), the US trails at 55% cash usage (Federal Reserve, 2023). Asia leans mobile-first, but virtual card growth is exploding at 32% CAGR (Statista). Checkout’s modular API stack bridges these gaps, offering: Unified Acquiring-Issuing: Reducing payment failures by 25%. Multi-Currency Support: Key for cross-border e-commerce, which will hit $7.9T by 2025 (Insider Intelligence). The Future: Cards as Flexible as Code By 2027, 60% of B2B transactions will use virtual cards (Gartner). Embedded finance will turn apps into banks, while sustainability pushes “green” digital-only cards. Modern card issuing isn’t just a payments upgrade—it’s a $12B efficiency engine. Banks clinging to legacy tech risk losing 30% of customers to agile fintechs by 2026 (IDC). The question isn’t if to modernize, but how fast. (Sources: Sandra M. ECB, Juniper Research, McKinsey, Federal Reserve, Gartner)

83

7 Kommentare

So, Klarna just released its S-1, and there is not much info on Klarna Cards as of yet. They mentioned 5MM people on the waiting list for the card. As we have discussed multiple times, #BNPL adoption is not just about credit card loan disruption. These providers are using Visa flexible credentials along with their BNPL capability to disrupt deposit growth. I agree with Ron Shevlin's position that BNPL is a product, not a company. The concern I have is that these companies are becoming more full-service banking solutions than just BNPL offerings. I have also updated our quarterly Fintech update to include the latest numbers from Affirm. They increased debit cards by another 97% to 2.3MM and card spending by 132% to $1.1B. This is minor compared to the 32B that Chime reported, but it is growing significantly faster. As Ron has mentioned, traditional checking accounts are becoming paycheck motels, as moving money is so easy, and folks are moving money into investing accounts, crypto accounts, children's accounts, or BNPL accounts. This is above and beyond these companies' positioning themselves to become the primary direct deposit account. Are you tracking transfers in and out of your accounts to evaluate how much of your deposit base is being disrupted by these fintech disruptors?

50

1 Kommentar

Chargebacks Chargebacks in the Merchant Acquiring Ecosystem – A Challenge We Must Tackle Head-On 🚨 In today’s digital payment landscape, one of the biggest pain points for both merchants and acquirers is chargebacks. A chargeback isn’t just a reversed transaction—it affects the entire payments value chain: ✅ The cardholder disputes the transaction. ✅ The issuer investigates and pulls back the funds. ✅ The acquirer steps in to defend the merchant. ✅ The merchant risks losing both money and reputation. If not managed well, chargebacks can mean revenue loss, strained relationships, compliance penalties, and even merchant churn. So, how can chargebacks be handled effectively in the acquiring ecosystem? 🔹 1. Proactive Fraud Prevention AI-driven fraud monitoring, 3D Secure authentication, and real-time alerts help acquirers and merchants block suspicious transactions before they escalate. 🔹 2. Transparent Merchant Onboarding Acquirers must deeply understand each merchant’s business model, industry risk level, and compliance posture. Proper vetting prevents future disputes. 🔹 3. Strong Documentation & Evidence Merchants should maintain detailed receipts, delivery confirmations, and communication records. Acquirers must support them in building solid defense cases. 🔹 4. Swift Dispute Resolution Every chargeback has strict timelines (Visa, Mastercard, etc.). A dedicated acquirer dispute desk ensures timely, accurate responses—improving win rates. 🔹 5. Merchant Education Empowering merchants with training on refund policies, billing descriptors, and customer engagement reduces disputes before they start. 🔹 6. Advanced Chargeback Management Platforms Automation, case tracking, and data analytics allow acquirers to detect trends, reduce manual errors, and continuously improve chargeback ratios. 🔹 7. Ecosystem Collaboration Chargeback management isn’t just a merchant problem—it requires acquirers, issuers, payment processors, and card networks to work together in building trust and protecting the ecosystem. 💡 The key insight: Chargebacks are not just disputes—they are opportunities to strengthen customer trust, improve merchant practices, and enhance acquirer resilience. 👉 I’d love to hear from my network: How do you see chargeback management evolving in the next 2–3 years? Are we moving towards smarter prevention or still stuck in reactive defense?

46

3 Kommentare

On August 22, 2025, Cake Digital Bank introduced the Tự Do 2in1 card, a co-branded financial product combining both Visa debit and credit card functions into a single physical card. The standout feature is SmartSwitch, which allows users to flexibly choose the source of funds (credit or debit) and set transaction priorities. If one source runs out, the system automatically switches to the other, ensuring seamless payments. This card simplifies the issuance process—users only need to open one card instead of two separate ones. It also offers attractive benefits such as: • 20% cashback, up to 1 million VND/month • Up to 45 days of interest-free credit • 0% interest installment plans The card’s design is inspired by the commemorative stamp “Nam Bắc một nhà, non sông liền dải,” symbolizing national unity and personal financial freedom. It was launched in celebration of the 80th anniversary of Vietnam’s Independence Day (September 2, 1945–2025). This product is not only a modern financial tool but also a cultural symbol, promoting pride and independence in personal finance. With Cake by VPBank - Digital Bank

317

25 Kommentare

🔴 UK’s FCA announces ‘Future Entity’ - expected to be the main standards body for open banking in the UK Open banking is a secure way for consumers and businesses to give regulated third-party providers access to their payment account data and to initiate payments. Open banking is a focus area for the FCA. It supports economic growth by making payments faster, cheaper and more efficient. 🔴 3 key core systems There are 3 core systems that will interact to enable open banking payments. 1️⃣ Payments Infrastructure Underlying payments infrastructure provides the payments rails for open banking payments. The future of this infrastructure layer is led by the Payments Vision Delivery Committee. 2️⃣  Future Entity The Future Entity should provide the core of open banking services – API standards and oversight. Expected to be not-for-profit, and to collect revenue to recover costs and invest on an equitable basis from its users and beneficiaries. 3️⃣ Commercial Scheme Layer Separately, there will be a competitive layer of open banking schemes, which operate commercially. Will be industry-led, may or may not be for profit, and will develop the rules which govern how firms interact. Expected to utilise the common API standards developed and overseen by the Future Entity, to ensure interoperability, but may innovate beyond these standards to provide premium services. 🤔 What is the ‘Future Entity’? Subject to future legislation, the FCA expects the Future Entity to be the primary standard-setting body for open banking application programming interfaces (APIs) in the UK. Its responsibilities will include: ✅ Setting common standards that will provide a minimum level of service and interoperability across open banking services. ✅ Monitoring API performance. ✅ Ensuring adherence to relevant standards. ✅ Providing directory and certification services. ✅ Working with multilateral agreement (MLA) owner/operators to develop standards that enable commercial schemes. 🤔 Is it a public body? Subject to legislation, the Future Entity will not be a public body or have its own enforcement powers. It's expected to operate as a not-for-profit, collecting revenue on an equitable basis from its users and beneficiaries. Likely to be a company limited by guarantee, with board appointments made by an independent committee. 🤔 How will open banking standards be used? The open banking standards provided by the Future Entity are expected to be used by commercial open banking schemes promoting innovation in the sector. The Future Entity is expected to monitor the quality and consistency of technologies used in open banking. Link in the comments 👉 Thoughts? #payments #FCA #openbanking

25

4 Kommentare

Deutschland zahlt digital 🍿 ❞ Low-Tech — made for Germany ❝ #NFC #InstantPayments #BANKpay+ NFC Open Banking Payments @ POS Pay by bank by NFC tap and pay instead of QR code scan to pay 🫠 - Open Banking & Web Standards only - Decentralized Direct Instant SEPA Payments - Transactions 24/7 up to € 100.000 in real-time - No AliPay / EMVCo / MasterCard / Visa - No App-Stores - No Apple & Google Pay 🫰 Sandbox Beach Club charges for drinks ... 🍸 Club Client pays by NFC tap ... 📱 Checkout flow is done on own device. 🛎️ CloudPOS confirms settlement instantly. No electricity, hardware or screens. Low-Tech : ) #ProgressiveWebApp+ #WebNFC BANKpay+ Instant SEPA Payments ↯ #A2Apayments #DigitalPayments #InstantSEPA #DeutschlandZahltDigital #SlowTech #LowTech #ZahlDigital #RealTimeIsTheOnlyTime #Priceless /cc Jochem Schueltke | Stefan Hölscher | Gox Mailer | Fredrik Debong | Juergen Hoebarth | Cosmin Cosma | Christian Caumont | Jean-Gabriel Debaille | Cédric Nève | Daniel Trommer | André M. Bajorat | Maik Klotz | Christian von Hammel-Bonten | Christian Pirkner | Claudio Wilhelmer | Andreas Antonsen | Thomas 🦄 Pinter | Filippo Bergamin 🦁

52

26 Kommentare