The Impact of Fintech on Payment Solutions

Most people sleep on payment infrastructure changes. I've the last 6 months analyzing fintech and banking trends—payment rails are being completely rebuilt While attention focuses on AI and consumer apps, financial infrastructure undergoes historical transformation. The $1.1B acquisition of Bridge by Stripe marks a watershed moment for stablecoin payment rails. Three critical infrastructure shifts happening now: 1. Banks issuing blockchain-native stablecoins → JPMorgan processes billions monthly through JPM Coin, reducing settlement times by over 90% → Société Générale launched EURCV, powering €100M in tokenized bond issuances → Traditional banks now provide regulated infrastructure to fintech companies through Banking-as-a-Service models 2. Fintech embedding crypto rails → PayPal integrated PYUSD across 430M accounts globally → Stripe (via Bridge) enables merchants to accept stablecoins that settle as fiat → Total stablecoin market cap surpassed $200B in 2024, with monthly volumes exceeding $1.8T in November 3. Payment networks enabling blockchain settlements → Visa processed $3B in stablecoin payments in 2024, cutting cross-border fees substantially → Mastercard aims to reduce cross-border fees by up to 50% through blockchain settlements → These networks bridge traditional finance with digital assets The financial system's invisible plumbing undergoes reconstruction while consumer experiences remain largely unchanged. Companies leveraging this shift see 90% cost reduction in cross-border transfers (from 6.5% average fees to under 1%) This mirrors the cloud computing revolution: infrastructure changes precede application innovation. The total stablecoin market projects to reach $1.1T by 2035 Smart financial leaders position now for the massive efficiency advantages this shift creates

What if one technical standard could eliminate the billions in fees companies pay for cross-border payments? The X9 Standard Payment QR Code by ASC X9, Inc. is being developed right now, and most executives don't realize it could reshape the entire payments industry. The current state of global payments fragmentation: -India: 12 billion instant payments monthly through UPI -Brazil: 5 billion monthly via PIX -United States: Just 30 million through FedNow -Europe: SEPA Instant now mandatory across 27 countries What the X9 Standard changes: -One QR code accepts payments from any instant payment system globally -Merchants gain access to customers in 80+ countries without separate integrations -Settlement happens in seconds, not days -Blockchain payments (USDC) treated equally with traditional bank transfers Carlos Netto from Matera saw this coming and shared his vision recently. But the broader implications are staggering. The numbers driving this shift: Account-to-Account payments are projected to grow from $1.7 trillion in 2024 to $5.7 trillion by 2030. Companies positioned for this infrastructure change could capture disproportionate value. Who wins and loses: Payment processors built on integration complexity face disruption. Regional fintechs suddenly gain global reach. Traditional cross-border fee models become obsolete. The infrastructure is being built now. Early positioning matters. I've analyzed the competitive dynamics and strategic implications in detail. Link in comments. How do you see standardization affecting competitive dynamics in your segment of the payments value chain? Share, like and subscribe to get more fintech insights about emerging markets.

𝐓𝐨𝐩 𝐏𝐚𝐲𝐦𝐞𝐧𝐭 𝐓𝐫𝐞𝐧𝐝𝐬 2025 by Capgemini (Part 1) — Open Finance & Instant Payments Adoption The forever-evolving payments landscape is taking on 2025 with new initiatives, innovations and trends. 🔟 𝐓𝐡𝐞 𝐓𝐨𝐩 10 𝐏𝐚𝐲𝐦𝐞𝐧𝐭 𝐓𝐫𝐞𝐧𝐝𝐬 𝐨𝐟 2025: 1. 𝐎𝐩𝐞𝐧 𝐅𝐢𝐧𝐚𝐧𝐜𝐞 2. 𝐈𝐧𝐬𝐭𝐚𝐧𝐭 𝐏𝐚𝐲𝐦𝐞𝐧𝐭𝐬 𝐀𝐝𝐨𝐩𝐭𝐢𝐨𝐧 3. 𝐏𝐎𝐒 𝐈𝐧𝐧𝐨𝐯𝐚𝐭𝐢𝐨𝐧𝐬 4. 𝐂𝐫𝐨𝐬𝐬-𝐁𝐨𝐫𝐝𝐞𝐫 𝐏𝐚𝐲𝐦𝐞𝐧𝐭𝐬 5. 𝐂𝐨𝐦𝐩𝐨𝐬𝐚𝐛𝐥𝐞 𝐂𝐥𝐨𝐮𝐝-𝐁𝐚𝐬𝐞𝐝 𝐏𝐚𝐲𝐦𝐞𝐧𝐭 𝐇𝐮𝐛𝐬 6. 𝐌𝐮𝐥𝐭𝐢-𝐑𝐚𝐢𝐥 𝐏𝐚𝐲𝐦𝐞𝐧𝐭 𝐒𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐞𝐬 7. 𝐎𝐩𝐞𝐫𝐚𝐭𝐢𝐨𝐧𝐚𝐥 𝐑𝐞𝐬𝐢𝐥𝐢𝐞𝐧𝐜𝐞 8. 𝐃𝐞𝐜𝐞𝐧𝐭𝐫𝐚𝐥𝐢𝐳𝐞𝐝 𝐈𝐝𝐞𝐧𝐭𝐢𝐭𝐲 9. 𝐑𝐞𝐦𝐢𝐭𝐭𝐚𝐧𝐜𝐞 𝐓𝐫𝐚𝐧𝐬𝐟𝐨𝐫𝐦𝐚𝐭𝐢𝐨𝐧 10. 𝐃𝐚𝐭𝐚 𝐌𝐨𝐧𝐞𝐭𝐢𝐳𝐚𝐭𝐢𝐨𝐧 —— #1: 𝐎𝐩𝐞𝐧 𝐅𝐢𝐧𝐚𝐧𝐜𝐞 𝐃𝐞𝐟𝐢𝐧𝐢𝐭𝐢𝐨𝐧 & 𝐁𝐚𝐜𝐤𝐠𝐫𝐨𝐮𝐧𝐝:
Open Finance expands the scope of Open Banking by incorporating not just banking data but also insights from investments, insurance, and pensions. 𝐊𝐞𝐲 𝐈𝐦𝐩𝐚𝐜𝐭𝐬: ► Enables hyper-personalized products and services. ► Greater access to financial services, particularly for underserved markets. ► Banks and FinTechs benefit from streamlined processes and enhanced data insights. 𝐔𝐬𝐞 𝐂𝐚𝐬𝐞𝐬: ► Businesses — Cash forecasting, risk scoring, and KYC automation. ► Consumers — Loan underwriting, payroll processing, and account aggregation ► Peer-to-Peer — Social payments, bill splitting, and A2A transfers. 𝐄𝐱𝐚𝐦𝐩𝐥𝐞𝐬: 🔸 Nubank: Leveraging Open Finance for better credit assessments and financial planning tools. 🔸 Klarna: Driving flexible payment solutions in partnership with global merchants. —— #2: 𝐈𝐧𝐬𝐭𝐚𝐧𝐭 𝐏𝐚𝐲𝐦𝐞𝐧𝐭𝐬 𝐀𝐝𝐨𝐩𝐭𝐢𝐨𝐧 𝐃𝐞𝐟𝐢𝐧𝐢𝐭𝐢𝐨𝐧 & 𝐁𝐚𝐜𝐤𝐠𝐫𝐨𝐮𝐧𝐝:
Instant Payments involve real-time money transfers between bank accounts, bypassing traditional intermediaries. They’re already transforming economies by shortening settlement cycles and reducing costs. 𝐊𝐞𝐲 𝐈𝐦𝐩𝐚𝐜𝐭𝐬: ► Banks — Lower transaction costs and strengthened corporate relationships. ► Businesses — Faster cash flows and real-time treasury management. ► Consumers — Seamless, low-cost transactions. 𝐊𝐞𝐲 𝐀𝐜𝐜𝐞𝐥𝐞𝐫𝐚𝐭𝐨𝐫𝐬: 1. Standardized user interfaces. 2. Cross-border payment linkages. 3. Governance frameworks (e.g., public vs. private ownership models). 4. Advanced infrastructure such as ISO 20022 messaging standards. 𝐔𝐬𝐞 𝐂𝐚𝐬𝐞𝐬: ► A2A Payments, just-in-time supplier payments, and QR-code-based cross-border transactions. 𝐄𝐱𝐚𝐦𝐩𝐥𝐞𝐬: ► #Wero : A European wallet simplifying instant cross-border money transfers. ► #Pix: Brazil’s instant payment system, now piloted in Europe. — 🚨 This is a series of 5 posts — next up 🚨 3️⃣ — 𝐏𝐎𝐒 𝐈𝐧𝐧𝐨𝐯𝐚𝐭𝐢𝐨𝐧𝐬 4️⃣ — 𝐂𝐫𝐨𝐬𝐬 𝐁𝐨𝐫𝐝𝐞𝐫 𝐏𝐚𝐲𝐦𝐞𝐧𝐭𝐬 Get ready, it is just the beginning! —— Source: Capgemini ► Sign up to 𝐓𝐡𝐞 𝐏𝐚𝐲𝐦𝐞𝐧𝐭𝐬 𝐁𝐫𝐞𝐰𝐬 : https://lnkd.in/g5cDhnjC ► Marcel van Oost and Connecting the dots in payments...

𝗠𝗮𝘀𝘁𝗲𝗿𝗰𝗮𝗿𝗱 & 𝗝.𝗣. 𝗠𝗼𝗿𝗴𝗮𝗻 𝗣𝗮𝗿𝘁𝗻𝗲𝗿 𝘁𝗼 𝗧𝗿𝗮𝗻𝘀𝗳𝗼𝗿𝗺 𝗕𝟮𝗕 𝗣𝗮𝘆𝗺𝗲𝗻𝘁𝘀 💳 🤝 Mastercard and J.P. Morgan recently unveiled a groundbreaking collaboration that integrates Mastercard’s Multi-Token Network (MTN) with J.P. Morgan’s Kinexys Digital Payments. This blockchain-powered #DeFi partnership seeks to address long-standing pains in cross-border B2B payments, setting the stage for faster, more transparent, and more efficient transactions. _____ 🔑 𝗣𝗮𝗿𝘁𝗻𝗲𝗿𝘀𝗵𝗶𝗽 𝗖𝗼𝗺𝗽𝗼𝗻𝗲𝗻𝘁𝘀 1️⃣ 𝗕𝗼𝗹𝘀𝘁𝗲𝗿𝗶𝗻𝗴 𝗕𝟮𝗕 𝗣𝗮𝘆𝗺𝗲𝗻𝘁𝘀 --> This partnership simplifies cross-border payments by empowering businesses to connect to both platforms via a single API, translating to faster payment processing and settlement. --> Also included are real-time value transfers, which eliminate delays caused by time zone differences and outdated systems. --> Businesses can now settle transactions faster, drastically reducing operational bottlenecks. 2️⃣ 𝗜𝗺𝗽𝗮𝗰𝘁 𝗼𝗻 𝗢𝗽𝗲𝗻 𝗕𝗮𝗻𝗸𝗶𝗻𝗴 --> By integrating blockchain standards with tokenized assets, this collaboration sets a new precedent for open banking. --> It demonstrates how decentralized solutions can scale for global businesses, creating a blueprint for future interoperability and innovation. 3️⃣ 𝗙𝘂𝘁𝘂𝗿𝗲 𝗼𝗳 𝗜𝗻𝗻𝗼𝘃𝗮𝘁𝗶𝗼𝗻 --> Mastercard and J.P. Morgan’s success only helps to highlight the vast potential of collaboration in the fintech industry. --> Future partnerships might explore tokenized CBDCs, AI-driven payment insights, and expanded RTP networks, building a greater interconnected financial world. 4️⃣ 𝗪𝗵𝘆 𝗜𝘁 𝗠𝗮𝘁𝘁𝗲𝗿𝘀 𝗳𝗼𝗿 𝗣𝗮𝘆𝗺𝗲𝗻𝘁𝘀 & 𝗙𝗶𝗻𝘁𝗲𝗰𝗵 --> This partnership isn’t only about infrastructure, it's about trust and transparency. --> This further signifies a shift toward efficient, secure, and scalable global payment solutions. 5️⃣ 𝗦𝗶𝗺𝗶𝗹𝗮𝗿 𝗣𝗮𝗿𝘁𝗻𝗲𝗿𝘀𝗵𝗶𝗽𝘀 𝗶𝗻 𝗢𝗽𝗲𝗻 𝗕𝗮𝗻𝗸𝗶𝗻𝗴 --> Another notable collab include Visa’s work with Tink in open banking integrations --> These partnerships underscore the shared industry goal: making global transactions seamless and accessible. _____ 𝗪𝗵𝗮𝘁 𝗗𝗼𝗲𝘀 𝗧𝗵𝗶𝘀 𝗠𝗲𝗮𝗻 𝗳𝗼𝗿 𝘁𝗵𝗲 𝗜𝗻𝗱𝘂𝘀𝘁𝗿𝘆? This partnership sets the tone for how blockchain, open banking, and cross-industry collaboration can redefine global commerce. As fintech continues to innovate, the possibilities for creating more inclusive, transparent, and efficient financial systems seem limitless. 💬 What are your thoughts on this partnership? Could this reshape the B2B payments landscape? Let’s discuss! Sources: Payments Experts, CoinJournal, Electronic Payments Int'l 🔔 Follow Jason Heister for daily #Fintech and #Payments guides, technical breakdowns, and industry insights.