The announcement was made during the Money20/20 Europe event, and the investment follows several years of collaboration, during which Token.io’s infrastructure has powered HSBC’s Open Payments solution, offering that allows users to make direct payments from their bank accounts via third-party platforms.
The move signals HSBC’s intent to expand its use of Token.io’s technology, particularly in rolling out applications for Pay by Bank services.
According to HSBC officials, the decision to invest in Token.io reflects their confidence in the company’s underlying technology and the broader potential of Open Banking to modernise payments for both consumers and businesses. Token.io’s platform is built on real-time payment networks and Open Banking frameworks, enabling direct bank transfers without the use of cards or intermediaries.
A representative from Token.io noted that the investment will help accelerate the firm’s work in expanding access to Pay by Bank services. These services allow users to authenticate payments using their banking apps, offering an alternative to traditional card-based transactions. Use cases include peer-to-peer payments, loan repayments, and account deposits.
Token.io’s platform currently supports Pay by Bank functionality across much of the UK and Europe. According to Token citing projections from industry analysts, by 2029, around 75% of Europeans will use this method regularly. In 2025 alone, payment volumes via Pay by Bank are forecasted to grow by 30%. Ecommerce usage of A2A payments is also expected to rise significantly, ranking just behind digital wallets by 2030.
In addition to the investment from HSBC, Token.io confirmed it has secured further backing from most of its existing investors.
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