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The unified orchestration layer for wallets and alternative payments
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The secure repository for all your payment methods
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Workflow-driven payments intelligence for smarter routing and higher auth rates
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A flexible fraud and authentication layer. Instantly add advanced fraud tools and 3DS
One integration to sell inside ChatGPT, Gemini, and every agentic platform
Coming soon
The unified orchestration layer for wallets and alternative payments
The secure repository for all your payment methods
Workflow-driven payments intelligence for smarter routing and higher auth rates
A flexible fraud and authentication layer. Instantly add advanced fraud tools and 3DS
One integration to sell inside ChatGPT, Gemini, and every agentic platform
Coming soon
Embedded Finance
Embedded finance is the integration of financial services, including payments, lending, insurance, investment, and banking products, directly into the products and platforms of non-financial companies. When a ride-hailing app offers driver insurance at the tap of a button, when an e-commerce platform offers point-of-sale loans at checkout, or when an accounting tool offers a business bank account to its customers, those are all examples of embedded finance.
The core insight of embedded finance is that financial services have the highest conversion and retention when they are available in the moment of need, in the workflow where the need arises, rather than requiring the customer to go to a separate financial institution. A small business owner who already uses invoicing software is far more likely to access a working capital loan through that software than by visiting a bank separately.
Embedded Payments is the most mature and broadly deployed category of embedded finance, it is the starting point for most platforms entering the space. But embedded finance extends well beyond payments to credit, insurance, cards, and accounts. The global embedded finance market was valued at approximately $105 billion in 2024 and is projected to grow at a 23% compound annual rate through the end of the decade.
The infrastructure enabling embedded finance is a stack of complementary technologies: Banking as a Service (BaaS) for regulated banking infrastructure, Payfac-as-a-Service for payment facilitation, Payments Orchestration Platforms for transaction routing and optimization, and API-first fintech infrastructure for everything from KYC (Know Your Customer) to fraud detection.
Frequently Asked Questions
What is the difference between embedded finance and fintech?
Fintech refers to technology companies that operate as financial services businesses, digital banks, payment companies, lending platforms, investment apps. Embedded finance refers to financial capabilities being integrated into non-financial software products.
What financial products can be embedded?
The full range of financial services is theoretically embeddable, and the market is progressively expanding the list in practice. Today's most mature embedded finance products include: Embedded Payments (the most universal), BNPL and installment lending at checkout, expense cards and virtual cards for business spending, SMB working capital loans based on payment history, insurance at point of sale (travel, product, shipping), and banking accounts and balances for platform customers.
What risks should a platform consider before expanding into embedded finance?
Regulatory risk is the most significant concern. Depending on the financial product and jurisdiction, embedded finance may require money transmission licenses, banking licenses, lending licenses, or insurance licenses. Even when a platform partners with a licensed BaaS or infrastructure provider, it typically takes on compliance obligations including KYC (Know Your Customer), AML (Anti-Money Laundering), and consumer protection requirements.
Related Terms
