TECHNOLOGY

Commentators from TrueLayer , Nutter , and Zilliqa Capital help us understand the value of data sharing and why Open Finance could be its future

WRITTEN BY : WILL GIRLING

Data : What is it good for ? Although most of us probably don ’ t consider it as such , data could be regarded as one of the most recyclable commodities on Earth . Every day , consumers produce it , companies collect it , extract the value , transform it into actionable insights , and then create new products and services for the market . From here the cycle continues , and the results it ’ s produced for financial service institutions ( FSIs ) so far have been favourable .

Data sharing can be best understood as a consent-based agreement by which privacy is waived in a limited capacity for commercial purposes . Customers gain products that have higher relevance to their lives while FSIs reap enhanced marketing and development opportunities . In Deloitte ’ s article ‘ The next generation of data sharing in financial services ’, the overall FSI benefits of data sharing are summarised into three categories :

1 . Inbound data-sharing ( acquiring data from third parties ) = enriched decision-making .

2 . Outbound data-sharing ( sharing owned data with third parties ) = enabling

120 May 2021