[co-authors: Sofie Gowran, Nurangis Sobirkhonova]
Key developments of interest over the last month include: the UK government publishing a pro-growth Action Plan for regulators and regulation, including pledges from the FCA of relevance to payments and digital assets firms; the signing of a U.S. Presidential Executive Order establishing a Strategic Bitcoin Reserve and a U.S. Digital Asset Stockpile; and the German Federal Financial Supervisory Authority (BaFin) releasing a consultation paper outlining the responsibilities of depositaries and capital management companies managing investment funds that invest in cryptoassets.
In this Newsletter:
- Regulatory Developments: Payments
- Regulatory Developments: Digital Assets
- Market Developments
- Surveys and Reports
For previous editions of the Payments Newsletters, please visit our Financial Services practice page.
Chapter 1 - Regulatory Developments: Payments
North Macedonia and Moldova: North Macedonia and Moldova added to SEPA Payment Network
The European Payments Council (EPC) announced on 6 March 2025 that the Republic of North Macedonia and Moldova have joined the Single Euro Payments Area (SEPA) payments schemes. This allows existing SEPA participants to send and receive SEPA Credit Transfers (SCT), SEPA Instant Credit Transfers (SCT Inst), and SEPA Direct Debits (SDD) with financial institutions in these countries once they adhere to the schemes.
Financial institutions from North Macedonia and Moldova will be able to join the SEPA schemes from April 2025, with full operational readiness expected by 5 October 2025. The SEPA payment schemes now cover 40 countries.
United Kingdom: Government announces consolidation of PSR within FCA as part of 'central growth mission'
On 12 March 2025 (press release dated 11 March), the UK government announced its intention to consolidate the Payment Systems Regulator (PSR) and its functions primarily within the FCA. The Economic Secretary to the Treasury has also written to the Treasury Committee (and the House of Lords Financial Services Regulation Committee) to provide further detail on the announcement.
This is part of the government's Plan for Change, aiming at 'a more streamlined regulatory environment' with 'minimal overlap between regulators’ responsibilities'. The idea is that, as a result of the consolidation, payments firms will be able to 'focus more of their resources on delivering valuable services and innovations that will deliver on the government's central growth mission'.
The government will consult on the details of the proposal over the summer, and will legislate as soon as possible. In the meantime, the PSR and the FCA will take steps to work closely together, building on the recent recruitment for a joint PSR/FCA payments executive director. Statements have also been released by the FCA and the PSR.
Following the announcement about the consolidation of the PSR within the FCA, on 17 March HM Treasury published a related policy paper containing an Action Plan for “A new approach to ensure regulators and regulation support growth”. See the below separate item for more on the Action Plan.
United Kingdom: FCA engagement paper on potential changes to contactless payment limits
On 14 March 2025, the FCA published an engagement paper seeking feedback on potential changes to contactless payment limits. Currently, the limit is £100 per transaction or £300 across multiple payments (or no more than 5 consecutive contactless transactions) before authentication is required.
The review has been expedited by the government’s pro-growth agenda (see the separate item on its recently published Action Plan), and the FCA makes reference to its secondary international competitiveness and growth objective. Among other things, it suggests that enabling more contactless payments could have positive secondary impacts on growth, through smoother consumer payment journeys resulting in more sales and higher productivity.
The FCA is looking for views on the following options for change (but also allows for the possibility of keeping things as they are):
- Introducing a new risk-based exemption for in-person transactions;
- Increasing or removing the limits in the existing contactless payments exemption; or
- Relying on the Consumer Duty following legislative change.
The FCA is also open to considering any alternative options that have not been raised in the paper.
In addition, the FCA sets out how this work fits in with its wider review of strong customer authentication (SCA) in accordance with the 2024 National Payments Vision (NPV). Take a look at this Our Thinking article for more on the NPV.
The deadline for feedback on the engagement paper is 9 May 2025, with consultation on any revised standards, rules or guidance to follow.
Take a look at this Our Thinking article for more on this development.
Following the publication of the FCA’s engagement paper, on 17 March HM Treasury published a related policy paper containing an Action Plan for “A new approach to ensure regulators and regulation support growth”. The engagement paper is one of the FCA’s short-term (ie implementable within the next 12 months) pledges under the Action Plan. See the below separate item for more on the Action Plan.
United Kingdom: HM Treasury publishes pro-growth Action Plan for regulators and regulation
On 17 March 2025, HM Treasury (HMT) published a policy paper containing an Action Plan for “A new approach to ensure regulators and regulation support growth”. The Action Plan sets out the next steps to the government’s approach on regulation and regulators, and contains three main action points:
- Action 1: Tackle complexity and the burden of regulation – here there is mention ofthe previously announced decision to consolidate the PSR, primarily within the FCA (see the separate item above on the PSR announcement);
- Action 2: Reduce uncertainty across the regulatory system- the paper includes the government’s planned next steps on the reform of the Financial Ombudsman Service (FOS); and
- Action 3: Challenge and shift excessive risk aversion in the system – among other things, the government highlights the work of the Regulatory Innovation Office (RIO) which was set up in 2024 to “position the UK as the best place in the world to commercialise technologies and innovation”.
The Action Plan includes a range of pledges from key regulators – including the FCA and the PRA - to support the growth effort. Some of the FCA’s pledges of particular relevance for payments and digital assets firms are to:
- Provide a dedicated case officer to every firm within the FCA’s regulatory sandbox;
- Provide 50% more dedicated supervisors to early and high growth firms, to help them navigate the regulatory system and support their growth;
- Extend pre-application support to all wholesale payments and crypto firms;
- Indicate more often that it is “minded to approve” start-ups to help them secure funding; and
- Work to review the contactless payment limits, including removing the £100 limit on individual payments (see the separate item above on the FCA’s related engagement paper).
The aim is to enable a regulatory system that supports innovation and economic growth while ensuring accountability for the quality of regulations introduced, as well as the way in which independent regulators implement and enforce them.
Take a look at this Our Thinking article for more on the financial services aspects of the Action Plan.
In this Our Thinking article, our Digital Assets and Blockchain team set out some thoughts on what the recent UK policy announcements mean for digital assets and blockchain.
United Kingdom: UK Finance publishes ‘Plan for Growth’
On 17 March 2025, UK Finance (UKF) announced the publication of its 'Plan for Growth', setting out reforms that it considers are needed to help the UK's financial services sector make an even stronger contribution to the government’s growth agenda, while also delivering real benefits for consumers, businesses and society.
There are some immediate, near-term and long-term reforms that UKF believe should be prioritized. Some of these are summarised below:
- Immediate steps to signal the UK is open for business:this includes social media, tech and telco companies having to share in the cost of combatting fraud; andthe government’s work on issuance of a digital gilt being expedited.
- Reforms in 2025 to unlock the growth driving potential of financial services, with renewed impetus from the upcoming Financial Services Growth and Competitiveness Strategy: this includes agreeing a clear pathway, co-created by industry, for the upgrade of the UK’s account-to-account payments infrastructure.
- Transforming financial services into a long-term growth engine over the course of the current Parliament: this includes delivering new regulatory frameworks for consumer credit, digital wallets, and new digital assets and money.
United Kingdom: The Payments Association releases recommendations for UK growth in 2025 manifesto
On 3 March 2025, the Payments Association released its Payments Manifesto 2025, urging the UK government to implement 66 policies recommended by payments professionals to drive growth in the UK’s payment systems.
Key points include:
- Developing digital verification frameworks and expanding regulations to include AI-driven analyses;
- Enhancing data sharing to reduce APP fraud;
- Promoting financial inclusion by diversifying payments services and improving cash accessibility;
- Accelerating open banking adoption and reducing cross-border payment costs;
- Establishing regulations for digital assets and stablecoins;
- Encouraging sustainable payment products and practices; and
- Regulatory bodies like the FCA and PSR should drive innovation and foster competition within the sector.
The manifesto stresses the need for urgent action to maintain the UK’s leadership in payments and prevent falling behind the U.S. and EU in emerging technologies.
Ireland: Central Bank sets out its regulatory and supervisory priorities for 2025
On 28 February 2025, the Central Bank of Ireland (CBI) announced the publication of its Regulatory and Supervisory Outlook Report 2025(Report). The Report outlines key risk topics which the CBI deems to be most material from a supervisory perspective across the banking and payments sectors.
Key risks identified for the Payments and E-money sector include:
- Safeguarding of user funds: Weaknesses continue to be observed in safeguarding arrangements across the sector, which heightens the risk that users’ funds are not appropriately identified, managed and protected on a day-to-day basis.
- Culture, governance and risk management:Poor business practices and weak processes, in addition to a lack of an embedded consumer focused culture, giving rise to deficiencies in a firm’s strategic and operational effectiveness leading to the risk of consumer detriment.
- Operational risks and resilience: The number of major incidents and service outages experienced across the sector are at an elevated level. Many are a result of outsourced service provider failures, coupled with weaknesses in monitoring and oversight. These factors result in increased risk of operational disruption and of harm to customers.
Key supervisory activities for the Payments and E-money sector include:
- Continuing inspections on safeguarding arrangements, review of board attestations on safeguarded funds and completion of 2023 audit remediation actions and industry communications on sectoral findings; and
- Ensuring firms have appropriate strategies, risk management, governance and internal controls as well as the operational and financial capacity to deliver their strategy or business plan; and
- Supervisory intervention where elevated risks or breaches of regulatory requirements are identified, including financial crime risk, using the CBI’s full suite of supervisory powers where required.
Take a look at this Our Thinking article for more on this development.
European Union: ECB announces launch of verification of payee service for payment service providers
On 11 March 2025, the European Central Bank (ECB) published an announcement regarding the launch of a verification of payee (VoP) service for payment service providers (PSPs). This service will assist PSPs in the Single Euro Payments Area (SEPA) to meet the requirements of the Instant Payments Regulation (IPR), which mandates that payers be informed of any discrepancies between the payment account number and the intended payee's name before initiating a payment.
The VoP service, developed by Banco de Portugal and Latvijas Banka, aligns with the European Payments Council's (EPC) VoP scheme. It will be available for both instant payments and SEPA credit transfers.
United Kingdom: PSR publishes final report on market review into card scheme and processing fees
On 6 March 2025, the Payment Systems Regulator (PSR) published its final report on its market review into card scheme and processing fees.
Key findings include:
- Mastercard and Visa raised their fees by more than 25% in real terms between 2017 and 2023.
- Insufficiently clear information on fees has resulted in higher costs for acquirers and merchants, preventing them from negotiating better deals.
- The PSR found that the market is not working well due to ineffective competitive constraints, leading to higher costs for businesses and impacting their ability to invest and grow.
In terms of next steps, the PSR will shortly consult on potential remedies to address the issues that it has found, including measures to improve transparency and competition in the market.
In parallel, the PSR has been conducting a market review into cross-border interchange fees. A final report and remedies consultation were published in December 2024. Take a look at the January 2025 edition of the Newsletter and this Our Thinking article for more information.
United Kingdom: PSR policy statement on publication of 2024 APP scams data
On 11 March 2025, the Payment Systems Regulator (PSR) published a policy statement (PS25/3) and accompanying webpage regarding the publication of 2024 authorised push payment (APP) scams data, along with considerations for future reporting. This follows the introduction of the mandatory APP fraud reimbursement requirement on 7 October 2024. The PSR plans to publish two updates for 2024:
- Cycle 3 pre-reimbursement update:This will cover APP scams where the fraudulent transaction occurred via Faster Payments before 7 October 2024, with cases closed between 1 January and 31 December 2024. Data will be collected from the 14 largest banking groups in Great Britain and Northern Ireland across Metrics A (the proportion of reported APP scam losses that are reimbursed), B (sending PSPs’ APP scam rates, as a measure of scam incidence at the PSP) and C (Receiving PSPs’ APP scam rates (not including any money that has been returned to the victims)). Data will be reported against individual firms. The PSR will publish this update in October 2025 and is giving the 14 directed firms additional time to submit their data. This is in recognition of the time that firms may need to provide accurate data submissions and to include only cases that occurred before 7 October 2024.
- Cycle 3 post-reimbursement snapshot:This update will focus on APP scams where the fraudulent transaction occurred via Faster Payments on or after 7 October 2024, with cases closed between 7 October and 31 December 2024. It will look at aggregate data across the entire industry collected from reporting Standard A. The PSR will publish this in spring 2025, ahead of its update on Metrics A, B and C to provide an early insight into its policy. It may return to individual firm reporting in future cycles.
In terms of next steps, the PSR is planning to carry out a call for views on future data reporting in spring 2025, where it will engage with stakeholders to ensure that its future reporting aligns with consumer needs, regulatory requirements, and its commitment to transparency. Key considerations will include whether it reports at the firm or industry level, the frequency of future reporting, and the potential inclusion of additional metrics that may provide further insights into the nature and impact of APP scams, such as time taken to close cases and reasons for customers being deemed grossly negligent. The PSR will communicate any changes to the reporting structure well in advance to allow stakeholders to prepare for new data and metrics.
The PSR explains that the structure and scope of future updates will depend in part on the timing and approach to the implementation of reporting standard B on which the PSR will seek input as part of an upcoming consultation planned for April 2025.
Chapter 2 - Regulatory Developments: Digital Assets
United States: SEC updates on meme coins, Crypto Task Force and regulation of crypto firms under alternative trading systems oversight regime
On 27 February 2025, the U.S. Securities and Exchange Commission (SEC) issued a staff statement where they clarified that meme coins are not considered securities under the Securities Act of 1933. This decision follows the rise of meme coins, such as the $Trump coin, which have gained attention due to their speculative nature and price volatility. The SEC explained that transactions involving meme coins do not require SEC registration, as they do not meet the criteria of the Howey Test for investment contracts. Classified as collectibles, meme coins are primarily driven by market demand and speculation, rather than any business enterprise or expectation of profit from others' efforts. However, the SEC warned that fraudulent conduct related to meme coins could still face enforcement under other laws.
On 3 March 2025, the SEC announced in a press release that its Crypto Task Force will host a series of roundtables as part of the "Spring Sprint Toward Crypto Clarity" initiative. The first session, titled "How We Got Here and How We Get Out – Defining Security Status," was due to take place on 21 March 2025. A recording will be available later. Details of panelists can be found here.
On 10 March 2025, SEC Acting Chairman Mark T. Uyeda remarked that the Commission is reconsidering its 2022 proposal to regulate crypto firms under its oversight of alternative trading systems (ATSs). Uyeda requested staff to evaluate abandoning the proposal in response to significant negative public feedback. The original plan sought to redefine ATS regulations to include crypto platforms, but concerns over expanding regulatory definitions have led the SEC to reassess the approach. The Commission will now engage with other federal agencies and market participants to determine the best course of action.
United States: OCC clarifies bank authority to engage in certain cryptocurrency activities
On 7 March 2025, the U.S. Office of the Comptroller of the Currency (OCC) issued Interpretive Letter 1183, clarifying that certain cryptocurrency activities, including crypto-asset custody, stablecoin services, and participation in independent node verification networks (such as distributed ledgers), are permissible for national banks and federal savings associations. The letter rescinds the previous requirement for these institutions to receive supervisory non-objection before engaging in such activities. The OCC emphasised that banks must still manage these activities with appropriate risk controls, ensuring compliance with relevant laws and regulations. This action aims to reduce regulatory burdens and promote innovation while maintaining a safe and sound banking system.
Thailand: SEC adds USDC and USDT stablecoins to approved cryptocurrencies
On 10 March 2025, Thailand's Securities and Exchange Commission (SEC) published an announcement approving Tether's USDT and Circle's USDC stablecoins for trading on digital asset exchanges with effect from 16 March 2025. This decision expands the list of approved cryptocurrencies, which previously included Bitcoin, Ethereum, XRP, Stellar, and select tokens used by the Bank of Thailand. The move aligns Thailand with global trends as stablecoins play a larger role in crypto trading and payments.
European Union: Summary of recent MiCA developments
The following Markets in Crypto-Assets Regulation (MiCA) related documents have been published recently:
Cayman Islands: Virtual Asset (Service Providers) (Amendment) Regulations 2025 published
On 28 February 2025, the Cayman Islands introduced updates to its cryptoasset regulatory framework through the publication of the Virtual Asset (Service Providers) (Amendment) Regulations 2025. The new regulations, effective from 1 April 2025, strengthen licensing requirements for virtual asset custodians and trading platform providers. These updates are part of broader enhancements introduced alongside the Virtual Asset (Service Providers) (Amendment) Act 2024, aiming to improve investor protection and market integrity within the jurisdiction.
European Union: ECB publication explores role of the digital euro in digital payments and finance
On 28 February 2025, the ECB published Contribution to Bancaria by Piero Cipollone, Member of the ECB's Executive Board, based on remarks at the Crypto Asset Lab Conference on 17 January 2025.
Mr Cipollone underscores the importance of developing a digital equivalent to central bank money, both for retail ("digital euro") and wholesale transactions. He also highlights the Eurosystem's ongoing efforts to integrate digital solutions into Europe's financial system, ensuring the euro remains competitive and resilient in the digital age.
Key points include:
- Cipollone emphasises the pivotal role of the digital euro as a central bank-backed digital payment solution. The digital euro aims to modernise Europe’s payment systems, ensuring that the euro remains a secure and efficient currency in an increasingly digital financial landscape.
- The digital euro is designed to provide European consumers and businesses with a seamless, universally accepted digital payment method, fostering competition and reducing transaction costs across the region.
- The contribution also covers the Eurosystem’s exploration of Distributed Ledger Technology (DLT) for wholesale transactions. This innovation is part of efforts to create a more integrated European financial market, including initiatives for a “Digital Capital Markets Union.”
United States: Executive Order to establish strategic bitcoin reserve is signed
On 6 March 2025, President Donald J. Trump signed an Executive Order establishing a Strategic Bitcoin Reserve and a U.S. Digital Asset Stockpile - see this White House fact sheet. The Reserve will be capitalised with Bitcoin already held by the U.S. government, primarily from past forfeiture actions, while the Stockpile will include other digital assets such as Ether (ETH), XRP, Solana (SOL), and Cardano (ADA), all similarly acquired through forfeiture proceedings.
The Executive Order makes clear that no new Bitcoin purchases will be made for the Reserve at this stage. However, future acquisitions may be authorised, provided they do not impose additional costs on U.S. taxpayers. The Reserve is intended to serve as a long-term store of value, positioning Bitcoin as a reserve asset similar to how gold is stored in Fort Knox.
This move highlights the administration's intent to enhance the role of digital assets within the U.S. financial system and support broader adoption of cryptocurrencies while safeguarding taxpayer interests.
United States: Senate votes to overturn IRS "DeFi broker rule"
On 4 March 2025, the U.S. Senate passed a resolution to repeal the IRS’s "DeFi Broker rule," which imposed tax reporting requirements on certain DeFi participants. The move, led by Senator Ted Cruz (R-Texas), is supported by key industry players, according to a letter (dated 19 February 2025) from the Blockchain Association to Members of Congress. This development was first highlighted in our February 2025 Newsletter.
United States (New York): New bill on cryptocurrency fraud introduced to State Assembly
On 5 March 2025, Clyde Vanel, Chair of the New York Assembly’s Banks Committee, introduced Bill A06515. The bill proposes criminal penalties to combat cryptocurrency fraud, including illegal rug pulls, private key fraud, and the failure to disclose interests in virtual tokens, aiming to enhance investor protection.
Germany: BaFin's regulatory guidelines for depositaries and capital management companies managing investment funds that invest in crypto assets
On 25 February 2025, the German Federal Financial Supervisory Authority (BaFin) released a consultation paper outlining the responsibilities of depositaries and capital management companies managing investment funds that invest in crypto assets:
Depositaries’ responsibilities
- Conduct comprehensive risk assessments before accepting crypto asset mandates.
- Ensure adequate staffing and technical measures to safeguard private cryptographic keys. Managers should gain practical experience within six months if needed.
- Implement strong IT systems and security measures for crypto asset custody.
- Assess the eligibility of crypto assets for custody, focusing on security tokens, and if ineligible, verify the capital management company’s ownership or legal position, ensuring the public key is assigned for secure access.
- Verify that crypto asset acquisitions comply with investment conditions and legal requirements, ensuring fair transactions at market prices.
Capital management companies’ obligations
- Ensure licences cover the direct acquisition of crypto assets; apply for an extension if needed.
- Maintain adequate staffing and expertise, with at least one managing director possessing knowledge of crypto assets.
- Adapt processes or create new ones to address the risks and regulatory requirements of investing in crypto assets.
- Base crypto asset valuations on prices from approved platforms and implement procedures to handle price discrepancies.
The consultation closes on 31 March 2025. Stakeholders are encouraged to submit feedback to help refine the final guidelines. Take a look at this Our Thinking article for more information.
United Kingdom: UK Jurisdiction Taskforce projects relating to digital assets and AI
On 12 March 2025, the Master of the Rolls, Sir Geoffrey Vos, delivered a speech to the LawTech UK Conference 2025, outlining three new projects on which the UK Jurisdiction Taskforce (UKJT) is engaged:
- The government has asked the UKJT to establish an expert group to produce non-binding guidance on the legal concept of "control" in relation to digital assets. The Property (Digital Assets etc) Bill currently before Parliament implements the Law Commission's recommendation that legislation be introduced to confirm the existence of a "third category" of personal property rights, capable of accommodating digital assets. One of the issues identified by the Law Commission was that the concept of "control", as opposed to "possession", was appropriate to digital assets. However, because of the complexity of the concept of control, the Law Commission recommended the appointment of an expert panel to publish non-binding guidance.
- The UKJT will produce a legal statement on liability for harm caused by AI systems and whether the law of tort is adequate to provide redress for harms caused by AI.
The UKJT is working on the formation of an International Jurisdiction Taskforce. The aim is to bring together experts from the major private law jurisdictions to explore possible private law alignment between those jurisdictions in the context of digital assets and digital trading.
Chapter 3 - Market Developments
Sweden: Central bank works on offline payments
On 10 March 2025, Riksbank, Sweden’s central bank, announced that they are prioritising work on improving the possibility of making offline payments by card in the event of major disruptions in data communications. At the same time, Riksbank governor, Erik Thedéen, encouraged the public to strengthen their payment preparedness by having both physical cards and cash available to use.
Currently, the ability to pay offline in Sweden is limited and doesn’t work at all for contactless and mobile wallet payments.
Riksbank aim to implement a solution allowing offline payments by 1 July 2026.
Europe: Wizz Air partners with Revolut to provide one-click payments
On 4 March 2025, it was reported that Wizz Air has partnered with Revolut to allow customers to buy airline tickets in one click when they use Revolut Pay in the WIZZ app. At the same time, Revolut customers will be able to turn their RevPoints into air miles. This partnership aims to make the process of buying tickets more secure, efficient, and streamline the checkout experience.
North America: Expedia Group plans to introduce Flex Pay for cruise booking
On 5 March 2025, Expedia Group announced their plans to introduce Flex Pay, a BNPL solution, to travelers booking cruises in the United States and Canada. With the introduction of Flex Pay, Expedia Group aim to offer more affordable payment options, allowing customers to book their dream cruise.
Global: Lili Connect expands internationally
On 7 March 2025, it was reported that financial technology company Lili Connect is now available to international businesses and entrepreneurs who are not U.S. residents. This expansion will allow corporate formation services partners to be able to leverage Lili’s services and streamline their banking, accounting and tax preparation products. In addition, they will be able to benefit from Lili’s international wire payments service, bill pay service, and invoicing software.
United Arab Emirates: Emirates NBD introduces Visa Commercial Pay-Mobile
On 5 March 2025, Emirates NBD published a press release announcing that they are to be the first bank in the UAE to introduce the Visa Commercial Pay-Mobile Module for their SME and corporate clients.
Visa Commercial Pay-Mobile allows corporates and SMEs to manage expenses and allows employees to make payments using Visa virtual cards on their mobile phones through digital wallets. This solution also allows virtual cards to be used for point-of-sale (POS) transactions.
Egypt: TerraPay partners with Banque du Caire to optimise remittance payouts across Egypt
On 10 March 2025, it was reported that TerraPay, a money movement company, has partnered with Banque du Caire, a financial institution in Egypt, to offer digital payouts to all bank accounts and digital wallets across Egypt.
Remittances from the Egyptian diaspora worldwide are a major source of foreign currency, estimated at around $30 billion annually. This partnership aims to offer faster, cost-efficient and more secure remittance services.
Switzerland: Nexi Group enables Swiss merchants to accept payment via WeChat Pay
On 5 March 2025, Nexi Group, a European PayTech, announced that they have collaborated with WeChat Pay to allow Swiss merchants to accept payments at point-of-sale (POS) through the WeChat Pay App.
Nexi Group explains that Switzerland is a top European destination for Chinese tourists who spend an average of €400 a day when travelling. This presents an opportunity to Swiss merchants to boost sales by offering payment services tailored to the preferences of Chinese tourists. It is also an opportunity to enhance the shopping and purchasing experience for Chinese tourists.
Singapore: Razorpay expands into Singapore
On 10 March 2025, it was reported that Razorpay had expanded its operations into Singapore, its second market in Southeast Asia after Malaysia. Businesses in Singapore can now access a range of services including payment gateway, cross-border transaction solutions, and real-time financial analytics.
A Razorpay official noted that Singapore’s advanced digital economy makes it a strategic location for their expansion. Razorpay anticipate considerable growth in Southeast Asia’s digital payments sector, with transaction volumes projected to exceed $2 trillion by 2030. Singapore is expected to be an important driver of this growth.
Global: BVNK launches an embedded wallet merging fiat and stablecoins
On 6 March 2025, it was reported that BVNK, a stablecoin payment infrastructure provider, had launched an embedded wallet that “unifies” fiat and stablecoins worldwide. The embedded wallet aims to offer scaled payment flexibility for businesses and customers allowing users to pay in and pay out in both fiat and stablecoin/crypto using a single platform. Additionally, the wallet will allow users to gain access to blockchains and payment schemes such as Swift, SEPA, and ACH.
India: Coinbase secures registration in India
On 12 March 2025, it was reported that Coinbase had secured registration with India’s Financial Intelligence Unit, allowing Coinbase to offer their crypto trading services in India. Following this, Coinbase plan to launch their initial retail services later this year, followed by additional investment and products in India.
Europe: Fireblocks launches DORA compliance package
On 5 March 2025, the digital asset security platform Fireblocks announced that they have launched a Cyber and Operational Resilience (COR) compliance package designed to help financial institutions meet the European Union’s Digital Operational Resilience Act (DORA) obligations. The COR Compliance Package is designed for institutions that designate Fireblocks as a Third-Party ICT Provider and includes a dedicated legal addendum, annual and periodic reports, an advanced ICT security kit, and an annual security pooled audit event.
Japan: USDC becomes the first dollar-pegged stablecoin approved in Japan
On 4 March 2025, it was reported that Circle, a stablecoin issuer, had won approval to offer USDC as the first dollar-pegged stablecoin approved for use in Japan. Currently, SBI is the only crypto exchange firm approved to list and distribute USDC to Japanese investors. SBI plan to enable USDC trading for a limited number of users on 12 March 2025, with a full-scale offering coming as soon as possible.
Turkey: BankPozitif partners with Taurus for crypto custody
On 4 March 2025, it was announced that BankPozitif, a Turkish investment bank, had partnered with Taurus, a Swiss FinTech, to expand its capabilities into digital assets and cryptocurrency services. This collaboration makes BankPozitif the first Turkish digital bank to implement institutional-grade digital asset infrastructure amid growing demand.
Through this collaboration, BankPozitif is rolling out a digital asset custody platform for cryptocurrencies, tokenised assets, and digital currencies. They are also implementing a blockchain node and indexing infrastructure enabling connectivity to both public and permissioned blockchains.
Chapter 4 - Surveys and Reports
Global: The Paypers publishes Global Payments and Fintech Trends Report 2025
On 3 March 2025, The Paypers published its Global Payments and Fintech Trends Report 2025. The report explores how geopolitical tensions, emerging risks, artificial intelligence, and fintech innovations are shaping the global financial landscape. Additionally, the report examines the evolution of payment infrastructure and digital identity trends.
Findings reveal that geopolitical tensions have influenced funding availability. Asia is rapidly expanding its funding sources while Europe has experienced fluctuations. This makes the decision on where to seek funding more complex.
Some other points from the report include:
- Commentary to the effect that the U.S. is likely to roll back regulations, which will open up many opportunities for AI and digital assets, whereas Europe has adopted a slower pace of change in regards to regulation on AI and digital assets;
- The total volume of cross-border B2B payments is expected to reach $43 trillion in 2025, with the volume projected to reach $56 trillion by 2030, reflecting a compound annual growth rate of 5.6%.
- According to the European Central Bank, in 2022 cash accounted for 59% of point-of-sale (POS)transactions, down from 79% in 2016. As of 2022, cards (credit, debit and network-based payment) were used in 46% of POS transactions, surpassing cash at 42%.
United States: Federal Reserve Payments Study published
In March 2025, the Federal Reserve released its latest Federal Reserve Payments Study (FRPS), covering trends in non-cash payments for the years 2015, 2018, and 2021. Key findings from the study include:
- ACH transfers:The total number of automated clearinghouse (ACH) transfers grew significantly from 2018 to 2021, reaching 34.2 billion transactions. ACH credit transfers by businesses made up 85% of the volume, with consumer ACH credit transfers growing by 34.7% annually.
- Wire transfers: U.S.-originated wire transfers, including cross-border transactions, saw robust growth, with an annual increase of 15.5% in number and 13.0% in value. Cross-border wires were particularly strong, reflecting growing international payment volumes.
- Cheques: The number of cheques continued to decline, while their value remained stable at $27.44 trillion in 2021. Consumer cheques are now used less than business cheques, marking a shift in payment preferences.
- P2P payments: Person-to-person (P2P) transfers surged by 51% in number and 43% in value, with 73% of P2P payments made available within 30 minutes.
Germany: KPMG publishes ‘Digital Assets in Germany 2025’ study
On 10 March 2025, KPMG published their ‘Digital Assets in Germany 2025’ study. The study was conducted with over 2,400 participants and examined the investment behaviour and preferences of crypto investors in German-speaking countries. Key findings from the study include:
- 76% of investors with more than 50% of their assets in digital assets plan to invest in the medium to long term.
- 90% of investors invest in Bitcoin
- There has been a sharp increase in investment in Solana with 43% of investors investing in Solana in 2025, compared to only 13% last year.
- 46% of investors would invest in tokenised securities, but only one in five investors want tokenised real estate.
- Almost half of the study participants expect the price of Bitcoin to reach $500,000 by 2030.
Around 80% of investors in their first year trade cryptoassets at least once a month whilst more than a third of experienced investors limit their trading to quarterly or less frequently.
