Fidelity Spins Out Data-Sharing Unit

Akoya is currently Fidelity’s data-sharing arm but now will become its own company, owned by Fidelity, The Clearing House and 11 of its member banks; the banks include: Bank of America, Capital One, Citigroup, Huntington Bancshares, JPMorgan Chase, KeyCorp, PNC Financial Services Group, TD Bank, Truist Financial, U.S. Bancorp and Wells Fargo; Akoya allows fintechs to get access to bank account data through APIs, a much more secure method of accessing data; the banks mentioned are also investing in Akoya though no further details are available; the banks will pay volume-based fees to leverage the network; not everyone is excited about the news with Steve Boms, the executive director of the Financial Data and Technology Association North America or FDATA stating that the move is “a significant potential threat to competition and innovation in financial services technology, as well as to consumers’ ability to obtain personalized financial services from providers they’ve selected as best suited to help them.” (FDATA includes Betterment, Envestnet Yodlee, Intuit, Kabbage, MX, Petal, Plaid and Quicken Loans as members). American Banker

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