Getting to know BaaS, a new way for banks to enter the digital realm

Banking-as-a-service (BaaS) is a new topic of how banks try to innovate into the digital realm. Earlier this year Standard Chartered Bank (Stanchart), through Nexus, pioneered this method through a partnership with Bukalapak and Sociolla. nexus was developed by SC Ventures, the investment firm of Stanchart.

The term BaaS is different from open banking or digital bank (neobanks) which was previously known. DailySocial also asked industry players regarding their respective differentiations.

Before BaaS was known, Indonesia had already known the concept of marketplace financial products such as what CekAja and Cermati did when they first started operating. The concept is the same as when accessing e-commerce pages, consumers can access a variety of financial products from marketplace partners and transact.