Open banking platform provider Token.io has formed a spinout company focused on developing digital money solutions.
The new company is called M10 Networks—the new name of spin off digital money solutions Token X. It will concentrate on building out a bank-grade digital money rail. M10 will enable banks to perform international money transfers, settlements and remittances instantly and at a low cost.
Token allows banks and other players in the payment ecosystem to build bank direct payment methods and data aggregation solutions for their customers. Such players include merchants and payments processors.
The token platform aims to raise security and reduce fraud and disintermediation. Unlike in-house developed solutions, Token supports the same API across all banks.
Steve Kirsch, CEO of M10, adds: “M10 is a new digital money payment rail that enables banks to increase their financial agility and evolve a new suite of international transfer services for their corporate and retail customers.
Token and M10 will leverage synergies
“Our mission is to overcome the problems related to transferring money internationally, so people worldwide can do business without friction. Om M10, intra-bank transfers, cross-border remittances, FX, loT payments and B2B payments can all be performed in real-time, with no counterparty risk and at a lower cost than existing rails.”
He says M10 is already in proof-of-concept trials with several financial institutions, and will soon be announcing its first customers.
Jo Oliver, a partner at Octopus Ventures, comments: “Spinning M10 out from Token is a strategic decision that will give both teams the dedicated resources they need to thrive. While Token extends its global leadership in open banking, M10 can now establish a new category in digital money.
“This is an exciting moment in the history of both companies, and we look forward to working with Token and M10 as they continue to grow.”
Token says it will continue to consolidate its position in the open banking infrastructure. Token and M10 will remain close partners to enable synergies for their respective customers.