Banking, Member Exclusive

Three regional banks, three different layers of the financial stack

  • Super-regional banks are moving away from the one-size-fits-all playbook, focusing on distinct tech layers rather than competing on the same digital features.
  • Across Citizens, Truist, and KeyBank, modernization is shifting from a technology agenda to a positioning strategy.
close

Email a Friend

Three regional banks, three different layers of the financial stack

The most important change in regional banking today is structural. These banks are moving away from a uniform modern banking model and toward specialized roles within the financial stack.

Across Citizens, Truist, and KeyBank, modernization is increasingly becoming a means to a larger end: repositioning the bank’s role in the financial ecosystem.

Citizens: The operating system bank

At Citizens, modernization is increasingly treated as part of the operating fabric rather than a discrete program.

Michael Ruttledge, the bank’s CIO, described a shift that is less about adopting new technologies than about removing legacy constraints. The bank has migrated its business applications to AWS and Azure and is in the process of decommissioning its remaining data centers.

“We’re the only super regional bank that is completely in the cloud,” Ruttledge said.

But the cloud transition is only one layer of a broader restructuring effort. Citizens’ “Next Gen Technology” initiative brings together DevSecOps practices, API-based architecture, workforce reskilling, mainframe retirement, and efforts to strengthen core system resilience.

Within that framework, the bank now has more than 70 AI use cases in progress across areas such as underwriting, software development, and internal operations.


0 comments on “Three regional banks, three different layers of the financial stack”

Member Exclusive, Opinion

Letter from the Editor: Financial services have always relied on one thing. AI is taking it away.

  • As AI agents assume more responsibility for commerce, the transaction remains visible, but the decision-making behind it becomes increasingly opaque.
  • Financial services are reconstructing the decision trail AI has hidden. That's why the industry's conversation increasingly revolves around intent, context, governance, permissions, explainability, and accountability.
Sara Khairi | July 10, 2026
AI Innovation, Member Exclusive, Payments

Paper still defines payments’ last mile. J.P. Morgan Payments thinks AI and robotics can tackle that.

  • Most payment discussions assume the biggest challenge is moving money from Point A to Point B. What if the bigger bottleneck is actually the operational noise surrounding the payment?
  • Investing in checks sounds like a step backward, but J.P. Morgan Payments is doing exactly that – because paper checks still create the greatest operational friction in the modern financial system.
Sara Khairi | July 09, 2026
Banking, Business of Fintech, Member Exclusive

Revolut’s US bet: A bank charter, a stablecoin pitch, and a graveyard of European challengers that tried before it

  • Revolut filed for a US national bank charter in March 2026 to break free from its partner-bank arrangement.
  • The firm is betting on stablecoins and cross-border/multi-currency banking to win over international-minded US customers, backed by a $500 million commitment and a buildout led by new US CEO Cetin Duransoy.
Rabab Ahsan | July 07, 2026
AI Innovation, BNPL, Member Exclusive

Why BNPL infrastructure needs to learn a new acronym: KYA (Know Your Agent)

  • As AI agents take a larger role in commerce, BNPL providers may need to rethink whom or what they evaluate when approving transactions.
  • Zip Co's Rory Herriman believes a future payments ecosystem may need to prove that an agent had authority to act, but also that the action reasonably reflected the user's objectives.
Sara Khairi | July 02, 2026
Member Exclusive, Podcasts

Trust, stablecoins, and the AI margin squeeze: What McKinsey and QED’s fintech report means for banks

  • Max Flötotto, who leads McKinsey’s global retail banking practice, and Mike Packer, a partner at QED Investors, just co-authored a report mapping where fintech goes next — and they agree on almost everything in it.
  • We dig into why “a feature is no longer a fintech,” why only 1% of stablecoin volume is actual end-user payments, and why the simplest version of banking — deposits and loans — may be the part most at risk from AI agents.
Zack Miller | July 01, 2026
More Articles