Citi (NYSE:C) is developing a new marketplace of third-party Fintech platforms and services. The bank has reportedly signed data access agreements to customer-approved accounts with 8 startups and data aggregators.
Citi’s clients will be offered a secure way to share their account details with various financial apps and services by using API token-based technology.
Mike Naggar, Chief Digital Officer, Citi’s US Consumer Bank, noted that at Citi, they believe in giving their clients more choices, greater convenience and more control over their financial information. Naggar explained that through the use of APIs, these agreements should help with offering a seamless and secure data sharing experience for Citi clients who decide to shared their financial details with third-party apps and service providers.
The first companies that have been covered by the financial data-sharing agreement include BillGO, eMoney, Envestnet Yodlee, Expensify, Finicity, Intuit, MX, and Xero.
Citi was notably among the first banking institutions to introduce a globally accessible API Developer Portal back in 2016. The initiative was launched so that it would become easier for Fintech firms, developers and consumer brands to work together. At present, the API catalogue contains more than 120 APIs and thousands of users in 16 different markets.
Citi has been supporting a wide range of technology-focused initiatives so that it can further develop its ecosystem of digital platforms and services.
As reported in November 2020, Citi has invested in UK-headquartered low code application developer Dextcloud. The investment is notably the second such deal finalized by the US-based bank in the past three months.
Dextcloud offers firms a low code framework that helps them with bringing together existing application components that may be spread across a company’s back-end, internal infrastructure.
Citi’s recent investment into Dextcloud’s operations appears to be part of the bank’s overall strategy that involves backing low code technology businesses. Citi may be trying to integrate these emerging technologies and new ways to develop software into its existing IT infrastructure and related processes.
In October 2020, the US bank acquired a stake in Genesis Global Technology in order to enhance routine workflow processes across several different business lines.