Know the top 10 fintech trends for 2025?
From Apple NFC to virtual cards
Juniper Research, a leading fintech and payments specialist, has revealed the top 10 trends to transform the financial landscape in 2025. The trends highlight the industry’s rapid shifts, driven by technological advancements, changing consumer demands, and evolving regulatory landscapes.
According to Nick Maynard, Juniper Research’s VP of Fintech Market Research: “Fintech and payments are evolving at an accelerated pace. Alternative payment methods are rising, fraud risks are more significant than ever, and regulations are continually changing. These trends will shape the industry in 2025, making it a pivotal year for innovation.”
Top 10 fintech and payments trends for 2025
- Apple NFC to boost competition in digital wallets
Apple’s entry into Near Field Communication (NFC) technology will intensify competition in the digital wallet space, offering more options for consumers and businesses. As major players like Apple leverage NFC, they are set to challenge existing wallet providers like Google and Samsung to enhance their services and drive innovation in digital payments. - Virtual cards to revolutionise B2B expenses and procurement
Virtual cards are poised to reshape business-to-business (B2B) payments by offering enhanced security and ease of use for managing expenses and procurement. This trend is expected to streamline businesses’ operations, reduce fraud, and improve transaction transparency, making it a significant development for enterprises in 2025. - Behavioural biometrics driving the shift to passive ID verification
The growing use of behavioural biometrics will usher in a new era of passive identity verification. This approach relies on unique behavioural patterns, such as typing speed and navigation habits, to authenticate users. It provides a seamless and secure alternative to traditional methods like passwords and PINs, which are increasingly vulnerable to cyber-attacks. - eCommerce merchants to adopt ‘glocal’ payments
With the globalisation of e-commerce, merchants will increasingly adopt ‘glocal’ payments – a blend of global and local payment methods. This trend reflects the growing demand for localised payment solutions that cater to regional preferences while maintaining the ability to process transactions across borders, ensuring a more inclusive experience for global shoppers. - Regtech to accelerate amid BaaS compliance challenges
As Banking-as-a-Service (BaaS) platforms face increasing regulatory challenges, the role of regulatory technology (regtech) is set to grow. Regtech tools, which automate compliance and reduce the cost of meeting regulations, will become indispensable for financial institutions navigating the complex regulatory environment, particularly around anti-money laundering (AML) and data protection. - Banks to invest in PSD3 and PSR1 readiness
The introduction of PSD3 (Payment Services Directive 3) and PSR1 (Payment Systems Regulation 1) will require banks to make significant investments to ensure compliance. These regulations are expected to reshape the way payments are processed, focusing on improving security, enhancing consumer protections, and fostering innovation in the payments ecosystem. - Capital One’s acquisition of Discover to challenge Visa and Mastercard
The acquisition of Discover by Capital One is poised to shake up the global payments market, challenging the dominance of payment giants Visa and Mastercard. By consolidating their market presence, Capital One and Discover are expected to create more robust alternatives, potentially reshaping the competitive dynamics of the payments industry. - Wero and instant payments harmonisation to transform European payments
Harmonising instant payments across Europe through initiatives like Wero will lead to faster and more efficient transactions. By 2025, this transformation is expected to significantly improve the payments landscape, enhance cross-border payment systems, and support the shift towards real-time transactions. - AI hype to diminish as fraud and identity drive innovation
While artificial intelligence (AI) continues to be a buzzword in fintech, its overhyped potential will give way to more practical applications in fraud prevention and identity verification. With increasing cyber threats, financial institutions will leverage AI’s capabilities to develop more robust fraud detection systems rather than relying on speculative advancements. - Sustainable fintech becomes a vital differentiator for banks
Sustainability is expected to emerge as a critical differentiator for banks in 2025. Consumers and investors increasingly prioritise environmentally and socially responsible financial practices, prompting banks to integrate sustainability into their services. This will involve adopting green technologies, offering sustainable investment products, and reducing their carbon footprints.
Hero image: The fintech and payments sector is experiencing rapid shifts driven by technological advancements, changing consumer demands, and evolving regulatory landscapes. Credit: Karolina Grabowska
