Gaps as a service - pitfalls of off-the-shelf tools
summary
BaaS platforms speed launch but hide big tradeoffs: integrations routinely take add three to vendor timelines (six weeks becomes nine), pricing ranges from $12k–$250k for integrations, ACH/wires cost ≈$0.15, BINs carry daily fees, and interchange splits matter—don't settle for less than 70% of interchange. True issuing parity doesn’t exist yet: a usable “AWS for banking” button is absent, onboarding/KYC telemetry and ops ownership remain fragmented, most neobanks still require neobank needs 7–8 vendors and often outgrow their BaaS after ~18–24 months.
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chapters (10)
- 0:00Introduction and speaker intro
- 1:50What you're not getting with as a service
- 5:25Card transaction basics issuing vs acquiring
- 10:21Issuing side models and challenges
- 16:11Democratization of financial services myths
- 23:14Missing infrastructure in BaaS
- 24:39Solutions and future of BaaS
- 27:27Crypto as alternative banking stack
- 31:45Regulatory hurdles and decentralization
- 40:02Q&A and closing remarks
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