Summary: "Goldman Sachs is leaning into embedded finance: other banks should take note"

When Goldman Sachs launched its developer portal in 2020, they enabled companies to ‘embed finance’ within their organization using their Banking as a Service (BaaS) offering. They opened many of the tools used to manage complex, global market products as APIs in its developer portal, and focused on documentation, developer experience, and an operating model designed to be API-first. Hari Moorthy, Goldman’s Global Head of Transaction Banking, referred to it as “the financial cloud for corporates.”

Some highlights of why banks need to take heed of Goldman’s strategy.

• The transaction banking space has historically fallen behind consumer banking in terms of ease of use. Most corporate banking portals look like they are stuck in the 90s.

• Digital businesses operate globally in real-time, 24/7, but banks are still offering batch uploads as a primary channel. When banks offer APIs, they are sub-standard, they are not “being an API-first business” and “If the future of finance is embedded, the future of banking has to be more of an ‘intel inside’ model.”

Read more about Goldman’s strategy.