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May 26, 2021

Tassat CEO discusses growth ambitions as blockchain based platform gathers momentum

By Douglas Blakey

TassatPay is the B2B digital payments platform that claims to bring banks new customers and deposits. And as CEO of Tassat Ron Totaro tells Douglas Blakey, TassatPay is already demonstrating how its client banks can position themselves as fintech leaders while boosting their bottom line

TassatPay is making blockchain-based real-time corporate payments a reality. Now, not at some time in the dim and distant and what is more, it has US regulatory approval and a very public success in the form of client bank Signature Bank.

TassatPay has been capturing news coverage in recent months for all the right reasons. A number of key hires have been making the news, such as new CEO Ron Totaro, a heavyweight veteran following senior management roles at, inter alia, ACI Worldwide, FICO and GE.

Tassat is also capturing headlines due to its innovative work with one bank client in particular, namely Signature Bank, one of the more interesting US regional lenders.

If readers do not by chance know of Signature, they must have been reading the wrong newspapers. This is the bank that was at time, known as bankers to the Trump family. Ivanka was even a director of the bank for a brief period. Today, it still has a high-profile director on the board, with a very different political background, namely Barney Frank-co-sponsor of the Dodd Frank Act and a 30-plus year record as a Democrat member of Congress

Signature Bank blazes innovative payments trail

Signature merits mention for its recent phenomenal growth, helping to boost its share price in the past year from $102 to $253.

And in part, the recent Signature Bank growth can be credited to its innovative use of its blockchain-based payments platform from Tassat.

“Any bank customer can benefit from TassatPay, especially ones who make frequent payments and often have funds locked up in transit, such as in trading operations, real estate, manufacturing, and logistics, says Totaro.

TassatPay’s agile technology layer easily and cost-effectively integrates with banks’ existing core banking platforms like FIS, Fiserv, and Jack Henry. The result is that Tassat clients can be up and running quickly.

Totaro adds: “The mega tier one banks are using their huge budgets to build their own blockchain payments platforms so they can lure the smaller banks commercial customers away. TassatPay helps the smaller banks to stay ahead of the competition.”

In B2B payments, the banks must be able to deliver in real time and it is essential that they optimise the use of data. Traditional payments infrastructure often fails to move enriched data along with funds while the user experience also leaves much to be desired.

The Tassat solution offers an Infrastructure-as-a-Service solution for banks to support their B2B payment needs. Using blockchain and API integration capabilities, the platform tokenises the US dollar to move funds in real time. With its ability to integrate with existing rails, the platform supports a more agile tool for banks to meet a broader range of business payment needs. At the same time, it benefits from the capabilities of blockchain that is lacking in legacy infrastructure.

TassatPay CEO Ron Totaro speaks with RBI editor Douglas Blakey

Little wonder then that TassatPay is happy to be associated with the recent success of Signature, where first quarter net income almost doubled year-on-year to $200m. It helps when the bank can report annual deposits growth of 75% with net interest income ahead by 16% y-o-y.

Totaro says that other banks are watching Signature’s success with interest and that TassatPay will have new client wins to report later this year.

Signature has been punching above its weight of late and TassatPay looks well placed to do likewise.

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