When introduced, PSD3 will usher in a new era for platforms and online marketplace payments. This includes measures that improve security, accessibility, and transparency. 

PSD3 is not only elevating the standards of these digital hubs but also supporting them to become more inclusive, innovative, and customer-centric.

1. Enhanced security measures

Strong Customer Authentication (SCA) was introduced through PSD2 and requires certain payments to go through two-factor authentication before being authorised. PSD3 and PSR will introduce some changes to SCA, including clarity on what types of transactions are exempt (mostly low-risk transactions) and further balancing security with customer experience. 

For marketplaces and platforms, it will become even more imperative to work with a payment partner that offers fraud prevention and payment optimisation tools. These can help block fraud while ensuring that you accept as many legitimate payments as possible.

2. Streamlined open banking integration

PSD3 will introduce new measures to simplify data access in open banking. This will make it easier for third-party providers to access customer bank accounts. This should benefit platforms and marketplaces by creating more seamless, integrated experiences for consumers who use multiple apps and platforms.

3. A level playing field for innovation

PSD3's aim is to help payment service providers (PSPs) and other financial institutions access banking and payment systems more easily. This should help foster innovation.

These proposals should benefit platforms by providing them with a wider array of payment options and technologies to offer their customers, driving innovation and improving customer engagement and retention. It could also help reduce costs and increase competition, ultimately benefiting platforms and platform users.

4. Simplified and enforced regulations

PSD3 also proposes a new streamlined regulatory framework and more enforcement provisions. This should also have a positive impact on platforms and marketplaces. By clarifying rules and setting clear expectations, PSD3 plans to make navigating the regulatory landscape easier for these businesses.

The enhanced enforcement powers granted to authorities will help protect consumers from fraud and ensure that platforms operate in a fair and transparent manner.

5. A framework for financial data access

PSD3 also includes a proposal for a new Financial Data Access (FIDA) framework. This will enlarge the scope of data that consumers can share, improve data security, and help businesses to use financial data to provide more innovative services and products.

By enabling consumers to share their financial data securely with third-party providers, PSD3 can drive innovation in paving more integrated financial services and products. This could help platforms and marketplaces offer more personalised offers, better financial management tools, and ultimately, a more empowered consumer base.

6. Commercial agent exemption

Under the PSD framework, platforms are categorised as providing regulated payment services when they manage payment accounts, process transactions, or facilitate money transfers. And to provide these services, these platforms need to have a payment licence. 

An important exception within these rules has been the commercial agent exemption, which some platforms use to prevent their activity from requiring a payment licence. .

PSD3 regulations will likely affect how platforms and marketplaces can use the commercial agent exemption. The proposed revisions suggest a more strict approach  to the commercial agent exemption. 

If you currently benefit from the commercial agent exemption, it’s crucial to stay up-to-date and adapt to the evolving financial landscape. Working with a PSP like Mollie can significantly ease the transition.