Payments Leaders' Summit’s Post

Key points of the UK government’s National Payments Vision, outlining its ambition for a world-leading payments ecosystem. A significant focus of the Vision is the modernisation of the UK’s payment infrastructure. The committee will be supported by the Vision Engagement Group, which will bring together representatives from financial institutions, fintechs, merchants, and consumer advocacy organisations. The Faster Payments System (FPS), which has been a global benchmark for instant payments since 2008, is due for a substantial upgrade. The New Payments Architecture (NPA) initiative aims to transform the FPS by introducing real-time settlement capabilities, enhancing data interoperability through the adoption of ISO 20022 messaging standards, and integrating distributed ledger technology (DLT) to improve transaction efficiency and security. These advancements will not only bolster the resilience of the UK’s payment infrastructure, but also support the growth of innovative payment methods, such as seamless account-to-account transactions and advanced e-commerce solutions. Open Banking and Open Finance are at the heart of the Vision’s innovation agenda. Since its introduction under the Competition and Markets Authority (CMA) order in 2017, Open Banking has enabled consumers to securely share their financial data with third-party providers, fostering a wave of innovation in financial products and services. The government now aims to expand Open Banking into Open Finance, creating a more comprehensive framework for data-driven financial innovation. This will include the development of Variable Recurring Payments (VRPs), which offer greater flexibility and control for recurring transactions, and the enhancement of API standards to support more seamless and secure data sharing. The exploration of a Central Bank Digital Currency (CBDC), known as the digital pound, is another pivotal aspect of the Vision. This digital currency is envisioned to complement cash and other digital payment methods, providing a state-backed, risk-free digital payment option. Security and consumer trust are fundamental pillars of the Vision. New LinkedIn Group for National Payments Vision launches, why not join: https://lnkd.in/eMKSc_Ut for all updates on NPV.

Real-time payments: efficient and fast Did you know real-time payments are leading in countries with government-led initiatives? RTP, then, are a scheme-plus-network purpose-built for real-time (i.e., parallel) processing rather than batch processing. Payments still follow the same broad auth, clearing, and settlement steps—enabled by the scheme and, critically, supported by the network. Once new technology enabled it, several factors catalyzed real-time payment networks (RTPN). One is consumer demand. When consumers began to see their money 24/7 on the internet, they began demanding to be able to move it 24/7 too. Governments were another big catalyst. Especially in less developed economies like Brazil and India, governments promoted RTPN to help citizens access financial services for the first time. RTPN and increasing digitization had the added benefit of making more transactions visible to and taxable by governments. Today there are 70+ RTPN. Some countries have one; some have multiple. Some are decades old, but most launched in the last few years. The global growth is impressive – 266 billion transactions and 42% y/y growth in 2023. However, 80% of real-time transactions occur in a handful of countries. Two interesting points jump out from the chart. First, 4 of 6 networks are less than a decade old. Second and related, 5 of 6 networks were created by governments, which also mandated private financial institutions' adoption. This explains why RTPN took so long to launch but saw rapid adoption once launched. The bottleneck wasn’t technology or demand but the coordination to jumpstart a network. In most cases, only a government mandate could provide such a catalyst. Regions with a market-driven approach or a government-sponsored but not mandated approach typically have lower adoption. The government-mandated approach to RTPN is a double-edged sword: it allows rapid domestic adoption but focuses the networks domestically, unlike the more international focus of market-driven networks, such as in card payments. The next few years will see much interesting work stitching together domestic RTPN to support cross-border RTP. Tech wasn’t sufficient for RTPN, but many networks leverage their modern tech to enable powerful and/or novel features not found in traditional payment networks, such as Pix’s multiple portable aliases or RTP’s messaging. The market clearly prefers fast payments. So many non-real-time networks have launched real-time features to compete, like Visa’s push-to-card or SEPA Instant. Speed will go from a differentiator to a commodity—something consumers expect for low or no cost. RTP is an exciting global phenomenon for consumers, fintechs, and financial institutions alike. It’s also an interesting lesson in how technology enables new behaviors. 👉 Subscribe for more insights https://lnkd.in/d94JgWBU Source Matt Brown's Notes #fintech #payments #wallet Thomas Leda Florian Alex Ali

Real-Time Payments: Efficient and Fast 💡 RTP, then, are a scheme-plus-network purpose-built for real-time processing rather than batch processing. Payments still follow the same broad auth, clearing, and settlement steps—enabled by the scheme and, critically, supported by the network. Once new technology enabled it, several factors catalyzed real-time payment networks (RTPN). One is consumer demand. When consumers began to see their money 24/7 on the internet, they began demanding to be able to move it 24/7 too ⏱ Governments were another big catalyst. Especially in less developed economies like Brazil and India, governments promoted RTPN to help citizens access financial services for the first time. RTPN and increasing digitization had the added benefit of making more transactions visible to and taxable by governments. Today there are 70+ RTPN. Some countries have one; some have multiple. Some are decades old, but most launched in the last few years. The global growth is impressive – 266 billion transactions and 42% y/y growth in 2023. However, 80% of real-time transactions occur in a handful of countries 🚀 First, 4 of 6 networks are less than a decade old. Second and related, 5 of 6 networks were created by governments, which also mandated private financial institutions' adoption. This explains why RTPN took so long to launch but saw rapid adoption once launched. The bottleneck wasn’t technology or demand but the coordination to jumpstart a network. In most cases, only a government mandate could provide such a catalyst. Regions with a market-driven approach or a government-sponsored but not mandated approach typically have lower adoption. The government-mandated approach to RTPN is a double-edged sword: it allows rapid domestic adoption but focuses the networks domestically, unlike the more international focus of market-driven networks, such as in card payments. The next few years will see much interesting work stitching together domestic RTPN to support cross-border RTP 🌍 A few last thoughts on the implications of RTPN: Tech wasn’t sufficient for RTPN, but many networks leverage their modern tech to enable powerful and/or novel features not found in traditional payment networks, such as Pix’s multiple portable aliases or RTP’s messaging. The market clearly prefers fast payments. So many non-real-time networks have launched real-time features to compete, like Visa’s push-to-card or SEPA Instant. Speed will go from a differentiator to a commodity—something consumers expect for low or no cost 🙋♂️ RTP is an exciting global phenomenon for consumers, fintechs, and financial institutions alike. It’s also an interesting lesson in how technology enables new behaviors, shifts consumer expectations, and forces areas like financial services to respond to those shifts. Source: Matt Brown - https://t.ly/cmpav #Innovation #Fintech #Banking #OpenBanking #API #FinancialServices #Payments #Messaging #RTP

Real-time payments: efficient and fast Did you know real-time payments are leading in countries with government-led initiatives? RTP, then, are a scheme-plus-network purpose-built for real-time (i.e., parallel) processing rather than batch processing. Payments still follow the same broad auth, clearing, and settlement steps—enabled by the scheme and, critically, supported by the network. Once new technology enabled it, several factors catalyzed real-time payment networks (RTPN). One is consumer demand. When consumers began to see their money 24/7 on the internet, they began demanding to be able to move it 24/7 too. Governments were another big catalyst. Especially in less developed economies like Brazil and India, governments promoted RTPN to help citizens access financial services for the first time. RTPN and increasing digitization had the added benefit of making more transactions visible to and taxable by governments. Today there are 70+ RTPN. Some countries have one; some have multiple. Some are decades old, but most launched in the last few years. The global growth is impressive – 266 billion transactions and 42% y/y growth in 2023. However, 80% of real-time transactions occur in a handful of countries. Two interesting points jump out from the chart. First, 4 of 6 networks are less than a decade old. Second and related, 5 of 6 networks were created by governments, which also mandated private financial institutions' adoption. This explains why RTPN took so long to launch but saw rapid adoption once launched. The bottleneck wasn’t technology or demand but the coordination to jumpstart a network. In most cases, only a government mandate could provide such a catalyst. Regions with a market-driven approach or a government-sponsored but not mandated approach typically have lower adoption. The government-mandated approach to RTPN is a double-edged sword: it allows rapid domestic adoption but focuses the networks domestically, unlike the more international focus of market-driven networks, such as in card payments. The next few years will see much interesting work stitching together domestic RTPN to support cross-border RTP. Tech wasn’t sufficient for RTPN, but many networks leverage their modern tech to enable powerful and/or novel features not found in traditional payment networks, such as Pix’s multiple portable aliases or RTP’s messaging. The market clearly prefers fast payments. So many non-real-time networks have launched real-time features to compete, like Visa’s push-to-card or SEPA Instant. Speed will go from a differentiator to a commodity—something consumers expect for low or no cost. RTP is an exciting global phenomenon for consumers, fintechs, and financial institutions alike. It’s also an interesting lesson in how technology enables new behaviors. 👉 More insights https://lnkd.in/d94JgWBU Source Matt Brown's Notes #fintech #payments #embeddedfinance Leda Florian Alex Ali

Real-time payment helps small merchants a lot more than bigger chain stores. Usually through unified QR code, this opens up for more spending by foreigners if they can gain access to the network. As mentioned in the post shared, even Visa is launching push-to-card instant payment by consumers. Being a new network in the market, effectively the 3rd payment corridor, there're lots of opportunities in this segment. At Qrospay, we're early to the game but I believe we're standing at the gate before the explosive growth of the RTP adoption. Check in here to see what we're doing, www.qrospay.com.

Gain insights into the future of payments technology! Liz Beggs, COO of Payments Consulting Network, recently interviewed Chris Jewell, CEO, and Co-Founder of Zepto, to discuss the rise of real-time A2A payments and the importance of modernising payment systems. To ensure success in the future, Jewell stressed the need for Australian businesses to be proactive in preparing for the changing #payments landscape. He outlined key criteria businesses should consider when evaluating payment service providers, including proximity to payment rails, technical infrastructure, customer cohort, and security measures. Learn more about the future of payment technology and the changing landscape of account-to-account (A2A) transactions here:https://lnkd.in/gd83uRNG #A2Apayments #PaymentServiceProviders

The #payments landscape is rapidly changing, and digital payments are on the rise. Jill Capicchioni chats with PYMNTS about the strategies businesses can employ to adapt to the shifting landscape. More: https://bit.ly/49HkBjM #RTP #DigitalPayments #FedNow

Real-time payments: efficient and fast Did you know real-time payments are leading in countries with government-led initiatives? RTP, then, are a scheme-plus-network purpose-built for real-time (i.e., parallel) processing rather than batch processing. Payments still follow the same broad auth, clearing, and settlement steps—enabled by the scheme and, critically, supported by the network. Once new technology enabled it, several factors catalyzed real-time payment networks (RTPN). One is consumer demand. When consumers began to see their money 24/7 on the internet, they began demanding to be able to move it 24/7 too. Governments were another big catalyst. Especially in less developed economies like Brazil and India, governments promoted RTPN to help citizens access financial services for the first time. RTPN and increasing digitization had the added benefit of making more transactions visible to and taxable by governments. Today there are 70+ RTPN. Some countries have one; some have multiple. Some are decades old, but most launched in the last few years. The global growth is impressive – 266 billion transactions and 42% y/y growth in 2023. However, 80% of real-time transactions occur in a handful of countries. Two interesting points jump out from the chart. First, 4 of 6 networks are less than a decade old. Second and related, 5 of 6 networks were created by governments, which also mandated private financial institutions' adoption. This explains why RTPN took so long to launch but saw rapid adoption once launched. The bottleneck wasn’t technology or demand but the coordination to jumpstart a network. In most cases, only a government mandate could provide such a catalyst. Regions with a market-driven approach or a government-sponsored but not mandated approach typically have lower adoption. The government-mandated approach to RTPN is a double-edged sword: it allows rapid domestic adoption but focuses the networks domestically, unlike the more international focus of market-driven networks, such as in card payments. The next few years will see much interesting work stitching together domestic RTPN to support cross-border RTP. Tech wasn’t sufficient for RTPN, but many networks leverage their modern tech to enable powerful and/or novel features not found in traditional payment networks, such as Pix’s multiple portable aliases or RTP’s messaging. The market clearly prefers fast payments. So many non-real-time networks have launched real-time features to compete, like Visa’s push-to-card or SEPA Instant. Speed will go from a differentiator to a commodity—something consumers expect for low or no cost. RTP is an exciting global phenomenon for consumers, fintechs, and financial institutions alike. It’s also an interesting lesson in how technology enables new behaviors. 👉 More insights https://lnkd.in/d94JgWBU Source Matt Brown's Notes #fintech #payments #embeddedfinance Leda Florian Alex Ali

🌊 💳 | FUTURE PAY: NAVIGATING THE INSTANT PAYMENT WAVE The digital finance market is witnessing a remarkable surge, with instant payment transactions projected to exceed $58 trillion globally by 2028 according to Juniper Research. 📈 This significant increase reflects the growing adoption of instant payment solutions and a shift toward faster, more secure transactions that redefine consumer and business expectations alike, fostering innovation in the financial industry and promising unparalleled efficiency in real-time payment management. This boom in instant payments demonstrates a move toward an increasingly digitalized and connected economy. #digitalera #userexperience #future 📰 Read the whole article on our web ⬇️ https://lnkd.in/dWfxp9BT

The #payments landscape is rapidly changing. And digital payments are on the rise. Jill Capicchioni chats with PYMNTSabout the strategies businesses can employ to adapt to the shifting landscape. More: https://bit.ly/49HkBjM   #RTP #DigitalPayments #FedNow