US money transfer system Western Union launches a digital bank in Europe. In the sidelines of the initiative, the company has signed a partnership agreement with Salt Edge, a pioneer in open banking solutions.

Bloomchain.ru reports that Western Union is using Salt Edge technical solutions to create a Europe-oriented multi-currency digital bank.

“Salt Edge’s solution will enable Western Union to extend the relationship with its customers, and create a new banking experience,” Salt Edge representatives said.

Salt Edge instruments correspond to the demands of the Payment Services Directive (Payment Services Directive, PSD-2).

PSD2 has come into force in the EU countries in January 2018. PSD-2 mechanisms oblige the banks to provide client databases and APIs (Application Programming Interface) to third parties in financial sector. This approach enables creation of open banking that excludes any mediators during financial transactions.



Western Union is not the only major company planning to launch a digital bank in Europe. Earlier this year it has been reported that JPMorgan Chase announced about launching a digital retail bank in the UK which will offer a completely new banking choice to the customers in UK. Using the Chase brand, the bank will provide products and features tailored to meet the needs of customers in the U.K., delivered via an innovative mobile app.

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