Arthur D. Little – Embedded Finance: Transforming the Future of Financial Services, 2025

Summary

The main theme of the report is embedded financial services and their impact on the future of the financial sector.

Key findings include the transformation of the traditional banking sector, which now acts as an intermediary in everyday life by integrating financial services into digital platforms. The development of models such as Banking as a Service (BaaS) and Banking as a Platform (BaaP) enables financial institutions to expand their capabilities and collaborate with fintech companies. Embedded financial services are becoming an integral part of daily life, enhancing user experience and promoting financial inclusion. Trends such as BaaS, embedded savings, B2B BNPL (buy now, pay later), and the use of artificial intelligence in embedded finance play a key role in transforming the industry.

Region: Global

Published: March 2025

Author(s): ADL

Language: English

Tech drivers: AI Blockchain Cybersecurity and privacy Metaverse & Web3 Mobile Social Media Standards and interoperability

Social drivers: Inclusivity Pandemics Sustainability and ethics

Geopolitical drivers: Economic conditions Political instability and conflicts Regulatory changes Workforce availability

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