In 2025-2027, The financial industry is experiencing a major transformation with the help of embedded finance. This model allows businesses to integrate financial services and products —such as payments, lending, Scan & Pay, payment modes, and insurance—directly into their Web or mobile platforms, stopping the need for third-party banking apps.
For developers, this presents a massive opportunity to build innovative products, services, and solutions in a market projected to touch $570.9 billion by starting in 2033. Also, as per the reports, As digital transactions become the norm, businesses that fail to adopt embedded finance risk falling behind.
Embedded Finance: A $570.9 Billion Market Opportunity
According to the data from recent Allied Market Research, the embedded finance sector was valued at USD 82.7 billion at the end of the year 2023. However, it is set to expand at a rate of 21.3% (CAGR), reaching $570.9 billion by 2033.
This sudden drive is because of shifting consumer expectations, quick payment options, cheap solutions, technological advancements, and companies looking to offer seamless financial services within their platforms.
"Embedded finance is not just a fintech trend—it’s redefining how people interact with money," says Gareth Wilson, Global Head of Banking at Capgemini.
Source: capgemini.com
Major tech giants like Amazon, Uber, Flipkart, and Shopify are embedding financial solutions such as Pay Later, credit card payment, and UPI Payment into their platforms, making payments frictionless and boosting user retention.
As per the Easemoney insights, from April to sept 2025, Amazon is ready to lay off 14,000 Managers just because of AI products, auto pilot services, and Embedded finance.
Even new fintech players in the space are moving only with embedded finance. According to the Forbes, the fintech startups are now focusing on integrating lending, payment solutions, and investment features directly into websites, blogs, e-commerce and digital platforms, making financial services more accessible than ever.
Why Embedded Finance Is Booming
1. Consumers want Seamless Financial Services
Users no longer want to leave an app to complete a payment or apply for financing. From BNPL (Buy Now, Pay Later) Card options, UPI options, and Scan and Pay options on shopping platforms to one-click payments in ride-hailing apps, embedded finance reduces friction and enhances the user experience.
2. Open Banking & API Growth
With the advancement of Banking-as-a-Service (BaaS) APIs, developers can embed financial functionalities without needing a banking license. Companies like Plaid, Paytm, Groww, Paypal, Stripe, and Adyen provide APIs for quick payments, lending, cards, virtual options, and account management.
3. Big Brands Are Already In
Top Large companies are embedding financial products and services to create new revenue streams:
Walmart partnered with JPMorgan Chase to accelerate payments for merchants.
- Apple launched Apple Pay Later, a BNPL service.
- Tesla offers built-in auto insurance at the point of purchase.
- Flipkart offers pay later and credit cards in partnership with Axis Bank and ICICI Bank.
- Jupiter Money (A neo bank) with CSB bank giving credit cards with 10% cashback on Flipkart, Amazon, and more.
"Businesses that embed financial services see increased customer engagement and revenue growth," notes a recent Easemoney report.
What are the Opportunities for Developers
For developers, embedded finance gives high-value innovation and opportunities:
- Payments & Checkout Integration – Building smooth one-click payment systems for online platforms.
- Embedded Lending & BNPL – Offering credit solutions inside e-commerce apps to boost transactions.
- Investment & Micro-Investing – Developing automated wealth-building tools within fintech apps.
- Insurance-as-a-Service – Embedding real-time insurance offers in travel, retail, and ride-sharing platforms.
- Scan & Pay Payment option – Developers need to focus on providing payment just using smartphones just like UPI Pay, Google Pay, and Samsung Pay.
Challenges Developers Must Consider
Despite its promise, embedded finance comes with challenges:
- Regulatory Compliance – Developers must navigate evolving fintech regulations.
- Data Security – Handling sensitive financial information requires strict encryption and security protocols.
- User Trust – Transparency in how financial services are offered is key to customer adoption.
Final Words
Yes! Embedded finance is changing the fintech world, and developers and web experts are leading the charge. With the market set to reach $570.9 billion or more, those who build smart financial integrations and services today will define the future of payments, lending, and digital finance in 2030.
Keep building! keep growing -
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