Payment authentication for cards (could be debit or credit); The Infrastructure Inversion: How Stablecoins Are Silently Rebuilding Global Finance; The past, present and future of payment innovation;
This week, I’m diving into Visa’s transformation beyond cards, the explosive growth of digital payments in Southeast Asia, and the quiet rise of stablecoins reshaping global finance.
Insights & Reports:
1️⃣ Deep Dive: Visa — Beyond the Card
2️⃣ Growth in Newer Digital Payment Options Shapes Southeast Asia’s Payments Landscape
3️⃣ Payment authentication for cards (could be debit or credit)
4️⃣ The Infrastructure Inversion: How Stablecoins Are Silently Rebuilding Global Finance
5️⃣ Visa taps into global payment opportunities with Visa Direct
6️⃣ The past, present and future of payment innovation
7️⃣ How do different types of DLT shape security, access, and scalability in a decentralized world?
TL;DR:
In this week’s edition of Fintech Wrap Up, I took a deep dive into how Visa is evolving way beyond the card. With its “Network of Networks” strategy and $200 trillion in untapped flows, Visa is setting itself up as a global payments tech infrastructure — not just a card network. Visa Direct alone has scaled from 1.6B to 10B transactions in five years and now supports 11B+ endpoints across 195+ countries. From B2B to P2P, cross-border to gig economy payouts, it’s covering a huge chunk of the $80T money movement opportunity. Plus, Visa’s unbundling its stack with AI-powered fraud tools, Tap to Everything experiences, and open banking services. It’s wild how embedded they’re becoming.
Zooming out, I looked at Southeast Asia’s digital payments boom. The region’s ecommerce market is expected to hit $325B by 2028, and non-digital payments like cash are fading fast — down to just 6% of ecommerce transactions soon. Domestic RTPs and mobile wallets are stealing the spotlight, and SEA governments are accelerating this with regional initiatives like RPC for interoperability. Huge opportunities here for merchants and PSPs.
I also shared a helpful explainer on how payment authentication actually works — whether it’s 3DS for cards or UPI PINs in India. Ever wondered what really happens when you enter that OTP? There’s a whole dance between merchants, directory servers, and issuing banks going on behind the scenes.
Another piece I loved this week explores stablecoins and their quiet revolution. They’re acting like the new digital rails of finance — faster, programmable, and borderless. From DeFi to remittances, we’re seeing mainstream institutions take them seriously, even as regulators try to catch up.
Also, if you’re keeping tabs on market shifts: digital wallets now make up 53% of online payments and are on track to hit 65% by 2030. Even at the POS, mobile wallets are surging — from just 3% in 2014 to 32% in 2024. Meanwhile, cash? It’s disappearing fast.
On the tech side, I broke down the different types of Distributed Ledger Technologies (DLT) — permissionless, private, and public-permissioned networks. Each comes with its own tradeoffs between scalability, access, and control. If you’re navigating Web3 or enterprise blockchain, it’s worth a look.
Europe’s crypto scene, however, is facing a reality check. With MiCA coming into effect, 75% of crypto firms might lose their registration, compliance costs have jumped sixfold, and debanking issues are rampant. Venture funding is down 70% since 2022, and blockchain job postings have dropped 90%. A massive talent exodus is underway, as founders and grads look to friendlier markets like the U.S. and Asia.
And to wrap up with some headlines you may have missed: UAE-based NymCard secured $33M to fuel expansion across MENA and strengthen its payment infrastructure. Adyen and Affirm are teaming up to bring BNPL to the UK, offering flexible pay-over-time options at checkout. And Kraken just made a $1.5B move by acquiring NinjaTrader, blending crypto and traditional finance even further.
That’s it from me! As always, hit reply or drop me a DM — curious to hear what stood out to you most. Where do you see Visa going next?
Insights & Reports
Deep Dive: Visa — Beyond the Card
Visa isn’t just about cards anymore — it’s evolving into a global payments tech powerhouse, and in this Deep Dive edition of Fintech Wrap Up, I break down exactly how. Visa’s Network of Networks strategy connects over 11 billion endpoints across 200+ countries, making it the largest payments ecosystem in the world. With nearly $200 trillion in untapped payment flows, Visa is expanding beyond consumer card payments into B2B transactions, remittances, government disbursements, and P2P transfers. The company is also unbundling its payments stack, offering services like fraud detection, tokenization, and risk management as standalone products — helping banks, fintechs, and businesses secure payments beyond just Visa cards.
AI has been a game-changer for Visa, and it’s doubling down on GenAI-powered tools to enhance fraud prevention, streamline transactions, and even automate customer support. Visa Direct, its real-time money movement platform, has grown sixfold in five years, enabling faster gig economy payouts, cross-border remittances, and business payments. Meanwhile, Visa’s “Tap to Everything” initiative is driving new payment experiences, from Tap to Pay and Tap to Phone for merchants to Tap to Confirm for secure online purchases.
With its growing focus on value-added services, Visa is embedding itself deeper into financial institutions, merchants, and fintech ecosystems, offering analytics, cybersecurity, and even open banking solutions. In short, Visa isn’t just processing transactions — it’s shaping the future of payments. This edition takes a closer look at Visa’s transformation, where it’s headed next, and what this means for the fintech landscape.
Let me know what you think — where do you see Visa heading next?
Growth in Newer Digital Payment Options Shapes Southeast Asia’s Payments Landscape
Home to 675 million residents, Southeast Asia (SEA), as a bloc, counts as the fifth largest economy in the world. With GDP growth at 4.3% in 2023 and predicted to rise to 4.6% in 2024, the region holds great promise. Key growth drivers include its rapidly expanding ecommerce market and fast-developing industries such as travel and hospitality.
👉 SEA’s Ecommerce Market Growth Will Outpace Surrounding Regions
• From a base of $137 billion in 2023, ecommerce in the region will see rapid growth. By 2028, SEA’s ecommerce market is projected to reach $325 billion, overtaking Australia, Japan, and South Korea.
• Non-Digital Payments Will Make Up Only 6% of Total Ecommerce Payments by 2028
• Offline payments such as cash-on-delivery (COD) and ATM transfers were once popular among Southeast Asian consumers for ecommerce transactions. However, this is rapidly changing. In 2023, those offline payment methods accounted for only 13% of ecommerce payments, and by 2028, they will account for just 6% of such payments.
👉 Implications for Businesses
• Across SEA, ecommerce is increasingly driven by digital payment transactions made through options such as cards, domestic payments, mobile wallets, and buy now, pay later (BNPL).
• The most significant growth can be seen in domestic payments (real-time payments [RTPs] and local bank-based payment schemes) as well as in mobile wallets. These have been key to expanding the reach of ecommerce in a region that traditionally relied less on cards.
Curated News
Adyen and Affirm Expand Partnership to the UK
Adyen’s U.K. merchants looking to provide their customers access to flexible, pay-over-time plans can now seamlessly integrate and offer Affirm at checkout. Affirm provides consumers with a wider range of interest-free and interest-bearing installment options. Approved customers can select the customized payment plan that best suits their needs, and they will never incur any hidden or late fees.
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