megaround in December, with its API enabling more than 3,400 banks across Europe to securely share customer data.
However, Brexit-induced regulatory changes could impose setbacks to open banking usage in the UK, unless the government steps in to offer clearer guidelines. The country's Financial Conduct Authority has financial firms that they won't be able to use the EU's certification standard to share customer data after June this year.
This gives banks little time to adapt and risks blocking UK consumers from accessing open banking products, leading to customer dissatisfaction with fintech apps, which could reduce trust in the long run. Banks may also differ in what new certification regime they will adopt, leading to regulatory confusion and higher compliance costs for fintechs.