NAGA introduces open banking experience via TrueLayer

European social trading platform NAGA has teamed up with TrueLayer to leverage its open banking technology to help bolster its client onboarding and payments.

The move by NAGA to appoint TrueLayer comes amid growing usage of open banking by its ecosystem, which also includes cryptocurrency platform NAGAX and neo-banking app NAGA Pay. TrueLayer says open banking can deliver more “efficient” and “cost-effective” processes for multi-asset platforms like NAGA.

By implementing TrueLayer Payments, NAGA customers across Europe will gain a more efficient, secure, digitally-native method to fund their accounts. Payee details are pre-populated by TrueLayer, eliminating errors or the possibility that funds could be sent to the wrong business.

For example, it says it can enhance the onboarding process through enhanced verification, meaning customers’ identities and credit worthiness can be assessed in seconds, rather than days, compared to manual bank statement checks.

By pre-verifying customers’ details, TrueLayer can also simplify payment setup, meaning fewer failed transactions. The open banking platform, founded in 2016 by Francesco Simoneschi and Luca Martinetti, also will support an improved experience for NAGA customers when funding their investment accounts.

“We’re building a community-focused trading platform to make investing accessible, approachable and social,” said Marianna Agathokleous, head of payments at NAGA. “That means removing barriers and providing excellent onboarding and payments experiences to our clients.”

She added: “We’re excited to be working with TrueLayer to get both new and existing customers onto the platform and enable them to fund their account in seconds.”

By using Instant, secure account-to-account payments via open banking, TrueLayer removes the need to enter any card or bank account details, using biometrics to authenticate identity and confirm the payment.

Real-time payment confirmation also provides NAGA with an assurance that every transaction has been authorised and customers have the funds available to trade, TrueLayer said.

Beyond an improved payments experience for its customers, NAGA also gains significant operational benefits. This includes real-time payment confirmation, faster settlement, and lower processing fees compared to other deposit methods. TrueLayer also automates expensive and time-consuming manual processes such as reconciliation with full visibility of all payments via its merchant dashboard.

NAGA has been operating under entities regulated by different financial supervisory authorities, including Germany’s Federal Financial Supervisory Authority (BaFin) and the Seychelles regulator. In addition, the company is focused on expanding its regulatory map, having recently secured an Estonian crypto license for NAGAX. Further, two more crypto asset service provider licenses are in flight and expected to be granted in 2022, the company said.