Token Raises $40M Series C for Open Banking Payment APIs

Token, a London-based open banking infrastructure provider, closed a $40 million Series C funding round from Octopus Ventures and Element Ventures. Token's platform provides APIs that enable account-to-account payments by connecting directly to banks through open banking rails, bypassing traditional card networks. The company has built an impressive client roster including Mastercard, BNP Paribas, HSBC, and Deutsche Payment, operating across 15 countries.

Token's infrastructure allows merchants and payment service providers to embed bank-direct payments into their platforms, offering lower transaction costs compared to card-based payments. The funding is expected to accelerate geographic expansion and product development as open banking adoption grows across Europe and beyond. Token's partnership with Mastercard is particularly notable, as it demonstrates how card networks are hedging by investing in account-to-account payment infrastructure.