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PSD2 Compliance vs GDPR Compliance

Developers should learn about PSD2 compliance when building financial technology applications, such as payment gateways, budgeting tools, or account aggregation services, that interact with European banks meets developers should learn gdpr compliance when building applications that handle personal data of eu users, such as e-commerce sites, social media platforms, or healthcare apps, to avoid legal penalties and build user trust. Here's our take.

🧊Nice Pick

PSD2 Compliance

Developers should learn about PSD2 compliance when building financial technology applications, such as payment gateways, budgeting tools, or account aggregation services, that interact with European banks

PSD2 Compliance

Nice Pick

Developers should learn about PSD2 compliance when building financial technology applications, such as payment gateways, budgeting tools, or account aggregation services, that interact with European banks

Pros

  • +It is essential for ensuring legal adherence, enhancing security with features like two-factor authentication, and leveraging open banking opportunities to create innovative customer-facing solutions
  • +Related to: open-banking, api-security

Cons

  • -Specific tradeoffs depend on your use case

GDPR Compliance

Developers should learn GDPR compliance when building applications that handle personal data of EU users, such as e-commerce sites, social media platforms, or healthcare apps, to avoid legal penalties and build user trust

Pros

  • +It's essential for implementing features like data encryption, user consent mechanisms, data portability, and breach notification systems, ensuring software aligns with privacy-by-design principles
  • +Related to: data-privacy, security-compliance

Cons

  • -Specific tradeoffs depend on your use case

The Verdict

Use PSD2 Compliance if: You want it is essential for ensuring legal adherence, enhancing security with features like two-factor authentication, and leveraging open banking opportunities to create innovative customer-facing solutions and can live with specific tradeoffs depend on your use case.

Use GDPR Compliance if: You prioritize it's essential for implementing features like data encryption, user consent mechanisms, data portability, and breach notification systems, ensuring software aligns with privacy-by-design principles over what PSD2 Compliance offers.

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The Bottom Line
PSD2 Compliance wins

Developers should learn about PSD2 compliance when building financial technology applications, such as payment gateways, budgeting tools, or account aggregation services, that interact with European banks

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