Explaining Embedded Fintech in 4 Charts
- Embedded finance in fintech has taken center stage for a few years.
- Financial institutions need to integrate fintech into their digital banking platforms to compete.

Embedded finance has become fairly popular in banking and fintech circles over the past few years. It’s a fairly simple concept that refers to the integration of financial services into non-financial websites, mobile applications, and business processes.
Shopify’s partnership with Buy Now, Pay Later company Affirm is a good example of embedded finance. The partnership allowed the e-commerce platform to enable merchants to accept and manage card payments directly through its platform instead of having to go through a third-party payment gateway.
Private-equity firm Lightyear Capital anticipates embedded finance to generate $230 billion in revenue by 2025, up from $22.5 billion in 2020.
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