The Payments Newsletter including Digital Assets & Blockchain, August 2026

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The Payments Newsletter including Digital Assets & Blockchain, August 2026
Chapter

• Chapter

• Chapter 1

  Regulatory Developments: Payments
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• Chapter 2

  Regulatory Developments: Digital Assets
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• Chapter 3

  Market Developments
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• Chapter 4

  Surveys and Reports
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Key developments of interest over the last month include: the U.S. Consumer Financial Protection Bureau submitting an open banking proposal to the White House for review; the UK government announcing its intention to give the Bank of England a new secondary objective to support innovation in payment systems and emerging forms of digital money; and the U.S. Department of the Treasury issuing a Notice of Proposed Rulemaking inviting public comment on its implementation of section 3 of the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act.

• 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

United Kingdom: PSR confirms new transparency requirements on Visa and Mastercard

On 30 July 2026, the Payment Systems Regulator (PSR) published a <a href="https://www.psr.org.uk/media/kajnh5wc/ps26-1-final-decision-itc-and-pg-jul-2026-v3.pdf” rel=”nofollow noopener” target=”_blank”>policy statement (PS26/1), implementing two remedies aimed at improving transparency in relation to card scheme fees.

These remedies follow the card scheme market review (MR22/1.10) carried out by the PSR in March 2025, which concluded that Visa and Mastercard had higher profit margins than would be expected in a competitive market and provided insufficiently detailed fee information to enable card acquirers to make informed decisions.

In December 2025, the PSR decided to adopt two remedies to address the issues identified:

• The information, transparency and complexity (“ITC”) remedy. This requires card schemes to provide card acquirers with better information to help them understand their fees, who can pass this on to merchants.
• The pricing governance (“PG”) remedy. This requires card schemes to produce better evidence of how they make pricing decisions, which will give the PSR better oversight.

Following consultation feedback, PS26/1 contains the specific direction to enact the ITC and PG remedies.

Specific Direction 22 (SD22) implements the ITC remedy. Visa and Mastercard must provide card acquirers with sufficient information to understand scheme fees and processing fees for UK transactions (other than fees for services that card acquirers opt in to receive). SD22 lists the specific fees that must be communicated in its annexes. Taken together, this information should enable card acquirers to understand how fees are triggered, assess the financial impact of each fee, and reconcile fees to billing periods or transactions. Visa and Mastercard are required to comply with SD22 from 30 July 2027.

Specific Direction 23 (SD23) implements the PG remedy. Visa and Mastercard must keep a written record of decisions to approve the introduction of new, or modification of existing, scheme or processing fees charged to card acquirers in relation to UK transactions. The record must set out how the decision gives “due regard to service users’ interests”, including its impact on card acquirers and on the competition, innovation and resilience of payment systems. Visa and Mastercard are required to comply with SD23 from 30 November 2026.

United Kingdom: PSR publishes consultation on proposed changes to confirmation of payee system

On 30 July 2026, the Payment Systems Regulator (PSR) published a consultation paper (CP26/2) containing proposed amendments to Specific Direction 17 (SD17) on the confirmation of payee (CoP) system.

Following the introduction of CoP in 2019 for the UK’s biggest banks, the PSR expanded its scope in October 2022 by publishing SD17, which directed all other qualifying payment service providers (PSPs) to provide CoP by the end of October 2024. SD17 is due to expire on 1 November 2026, which would end PSPs’ regulatory obligation to provide CoP.

To maintain the benefits of CoP in preventing misdirected payments and reducing APP scams across Faster Payments and CHAPS, the PSR proposes to:

• Remove the current expiry date for SD17 so that it continues in force beyond 1 November 2026. The existing level of protection and market coverage would be maintained, rather than introducing new obligations. If the PSR removes the expiry date, it intends to keep the effectiveness and proportionality of SD17 under review as the payments and fraud landscape evolves, particularly in light of the future UK retail payments infrastructure currently under development. It is also seeking views on appropriate triggers for that review, namely whether SD17 should be reviewed after a specific period (for example, five years, as proposed) or following a particular event.
• Expand the scope of SD17, making it applicable to all PSPs that are not currently required by SD17 to offer CoP but do so on a voluntary basis (“Group 3” PSPs). This proposed change would apply to Group 3 PSPs from 31 December 2026. Exemptions for PSPs that do not carry out relevant business would be maintained. The PSR does not intend to require existing CoP providers to change how they operate the service, or to make any changes to the way Pay.UK operates the system. In addition, SD17 does not contain any ongoing reporting requirements other than ad hoc requests from the PSR, and this would remain the case.

Annex 1 to CP26/2 sets out drafting options for the proposed amendments to SD17. The PSR has also published a separate document showing the proposed amendments to SD17 in tracked changes.

The consultation closed on 20 August 2026.

United Kingdom: FCA boosts support for high-growth firms
through the Scale-up Unit

On 10 August 2026, the FCA announced that five fast-growing firms (ClearScore, Modulr, Teya, Urban Jungle and Zilch) had joined its Scale-up Unit, marking the first cohort of firms regulated solely by the FCA to participate. The firms operate across payments, consumer finance, credit information and insurtech. Through the Scale-up Unit, the firms will receive tailored regulatory support as they develop new products, respond to policy changes and manage the challenges of rapid growth.

The announcement was made on the same day as the publication of
insights from a pilot involving 15 high-growth firms, which found that early
investment in governance, risk management and controls can help firms manage
growth-related opportunities and challenges while scaling sustainably (see the next
item). The FCA aims to support ambitious firms as they scale and reminds firms
that the Scale-up Unit sits alongside its existing programmes, including
Innovation Pathways, the Pre-Application Support Service (PASS) and the Early
and High Growth Oversight function, creating a clear pathway from start-up to
scale-up.

The FCA stated that applications for the next cohort of the
Scale-up Unit will open soon.

United Kingdom: FCA publishes findings from Early and High Growth Oversight pilot

On 10 August 2026, the FCA published its findings, including examples of good and poor practice, from its Early and High Growth Oversight pilot involving 15 high-growth firms across the asset management, wealth management and payments sectors. The pilot assessed whether firms’ governance, risk management and control frameworks were keeping pace with growth. The FCA set out its key findings across six areas:

• Governance and senior management oversight: Stronger firms ensured governance, risk management and control frameworks evolved alongside business growth, supported by defined responsibilities, effective oversight and high-quality management information;
• Risk management frameworks: Stronger firms adopted more mature risk management practices, including enterprise-wide risk monitoring, board escalation processes, defined risk appetites and key risk indicators;
• Resourcing, capability and scalability: Stronger firms invested in specialist talent, staff training and technology, and prepared early for legal and regulatory developments;
• Systems, controls and management information (MI): Stronger firms maintained robust cyber security and operational resilience arrangements, including penetration testing, third-party oversight and governance frameworks for AI;
• Financial resilience: Stronger firms proactively monitored liquidity, capital and counterparty risks, while some also used stress testing to assess their resilience; and
• Consumer and market outcomes: Stronger firms actively reviewed products and services, helping to deliver the outcomes expected under the Consumer Duty.

The FCA encourages firms experiencing growth to assess whether their governance and control arrangements remain appropriate, and to address any identified gaps in a timely and proportionate way. It states that insights from the pilot will inform its future supervisory approach to high-growth firms, including the use of data-led approaches to identify emerging risks earlier and support more targeted supervisory interventions.

United States: CFPB submits revised open banking proposal to
White House for review

On 4 August 2026, the Consumer Financial Protection Bureau (CFPB) submitted a proposed rule, Personal Financial Data Rights Reconsideration, to the White House’s Office of Information and Regulatory Affairs (OIRA) for review.

On 22 October 2024, the CFPB issued the final rule of the Personal Financial Data Rights to implement section 1033 of the Dodd-Frank Act. The rule requires data providers to make covered data relating to covered financial products and services available to consumers and authorised third parties, subject to various requirements. It also establishes criteria that third parties must satisfy to qualify as authorised third parties, including obligations relating to the collection, use and retention of covered data. According to news reports, implementation was delayed by litigation, political changes and industry opposition, and by mid-2025 the CFPB had effectively paused implementation and reopened the rulemaking process. On 22 August 2025, the CFPB issued an Advance Notice of Proposed Rulemaking, which attracted nearly 14,000 public comments.

The CFPB has considered further revisions to the framework, with
news reports suggesting that discussions may focus on fee-based access for
third parties, continuity of consumer data access rights, recalibrated privacy
and security obligations, revised implementation timelines, and scope and
standard-setting. Once cleared by the OIRA, the CFPB is expected to publish the
revised proposal for public comment before finalising the rule and planning for
implementation.

Brazil: Central bank explores international expansion of Pix

On 10 August 2026, it was reported that Brazil’s central bank is assessing links between its instant payment system, Pix, and similar platforms abroad.

Pix enables real-time transfers through banking applications and offers free person-to-person payments and lower-cost merchant transactions, bypassing much of the traditional card-payment chain. Since its launch in late 2020, it has transformed Brazil’s payments landscape, becoming the dominant electronic payment method and reducing the use of debit and credit cards. According to Reuters, Pix was cited by U.S. President Donald Trump’s administration in a trade investigation concluded in July, and the central bank’s approach reflects a more concrete push towards cross-border integration as the system comes under scrutiny from the United States.

It was
reported that Brazil’s central bank had signed information-sharing agreements
relating to Pix with 65 foreign counterparts, including those in Germany,
Canada, South Africa and Turkey. The central bank reiterated its view in a
recent report that Pix is critical public digital infrastructure and stated
that connecting instant payment systems could lower costs, accelerate
transactions, broaden access and improve transparency in cross-border payments.

India: Parliament proposes legislation paving the way for UPI
merchant fees

On 4 August 2026, India’s Parliament introduced the Taxation and Other Laws (Amendment) Bill 2026. While the legislation does not itself impose merchant fees or specify which transactions may be affected, news reports indicate that it could pave the way for changes to the country’s zero-merchant-discount-rate policy for Unified Payments Interface (UPI) transactions, including the potential introduction of charges on certain UPI payments.

According to news reports, there have been years of debate
between the finance ministry, India’s central bank and payment companies over
how to sustain UPI’s infrastructure costs. Since January 2020, merchants have
not paid fees to accept UPI transactions, with the government relying on
incentives to support the operation and expansion of the network. The proposal
follows the expansion of UPI as India’s dominant digital payments system, which
processed a record 23.66 billion transactions worth 29.88 trillion rupees in
July 2026 alone.

United Kingdom: Government to give Bank of England new
secondary objective to support payments innovation

On 27 August 2026, HM Treasury announced that the government intends to give the Bank of England (BoE) a new secondary objective to support innovation in payment systems and emerging forms of digital money.

The BoE supervises critical financial market infrastructure (FMI), including systemic payment systems, central counterparties (CCPs) and central securities depositories (CSDs).

The new secondary innovation objective will be subordinate to the BoE’s primary objective to protect and enhance UK financial stability and will not require the BoE to support innovation where doing so would undermine financial stability.

The BoE already has a secondary innovation objective for CCPs and CSDs, introduced through the Financial Services and Markets Act 2023. This reform will extend the same approach to systemic payment systems, including those using digital settlement assets. The BoE will report annually to Parliament on how it is advancing the innovation objective.

The government expects to implement the change through amendments to the Financial
Services and Markets Bill 2026-27, which will next be debated in the House
of Lords on 7 and 9 September 2026 (Report stage).

United Kingdom: CMA consults on provisional decision on strategic review of 33 markets remedies

On 12 August 2026, the Competition and Markets Authority (CMA) published for consultation its provisional decision in its strategic review of 33 markets remedies introduced under the Fair Trading Act 1973 or the Enterprise Act 2002 which was launched in January 2026.

In relation to some of the undertakings and orders made under the Enterprise Act 2002:

• Retail Banking Market Investigation Order 2017 (varied 2019) (excluding Part 2: Open Banking): The CMA proposes a substantial but partial variation of the Order to: (i) remove Part 3 on service quality indicators, Part 4 on customer prompts, Part 7 on overdraft charging, Part 9 on the SME lending price and eligibility tool, Part 10 on the Open Up Challenge, and Part 11 on standardisation of business current account opening; (ii) retain Part 5 on payment transaction histories after account closure (among other things, the CMA relies on the FCA’s view that these histories can help former customers demonstrate their financial position when applying for financial products or loans) and Part 8 on publication of SME lending rates (the FCA has no directly equivalent rules and the Consumer Duty doesn’t require continuous publication of this information – the FCA is considering whether APRs remain useful ways to communicate borrowing costs so the CMA considers it premature to remove this remedy until the FCA’s work is further advanced), and the remaining parts of the Order.
• Current Account Switch Service (CASS) Remedies Undertakings 2017: According to this measure, Bacs Payment Schemes undertakes to complete specified reforms to CASS’ corporate governance, to extend the Bacs payments redirection period, and to complete specified measures to increase awareness of and confidence in CASS, and to facilitate the searching and switching of personal current accounts. The CMA proposes to retain the undertakings as switching rates remain modest and the FCA has said some SME businesses continue to report difficulties in accessing business current accounts. Also, while the Payment Account Regulations require switching services, they do not replicate all protections in the undertakings.
• Store Card Market Investigation Order 2006 (varied 2011): The CMA proposes to revoke the Order as the store card market has contracted significantly, consumers have increasingly shifted to alternatives such as store-branded credit cards and BNPL products, and the FCA’s Consumer Duty and high-cost-credit reforms provide protections for store card holders.

The consultation closes on 11 September 2026. The CMA expects to publish its final decisions in October 2026.

Chapter
2

Regulatory Developments: Digital Assets

United Kingdom: House of Commons publishes report on cryptoassets

On 7 August 2026, the House of Commons published a report on cryptoassets, which explains what cryptoassets are and how they work, and discusses a brief history of their use, benefits and drawbacks, and the regulatory framework.

In relation to the regulatory framework, the report notes that Parliament has passed the Financial Services and Markets Act 2000 (Cryptoassets) Regulations 2026, bringing various crypto activities, including issuing new stablecoins, selling other types of new cryptoasset and operating cryptoasset exchanges, into the FCA’s regulatory remit. From October 2027, firms providing these services will need to be authorised by the FCA. The report also provides a link to the FCA webpage on cryptoasset regulation. 

United States: Treasury seeks public comment on section 3 GENIUS Act implementation

On 17 August 2026, the U.S. Department of the Treasury (Treasury) issued a Notice of Proposed
Rulemaking (NPRM), together with a press release, inviting
public comment on its implementation of section 3 of the Guiding and
Establishing National Innovation for U.S. Stablecoins (GENIUS) Act.

Enacted on 18 July 2025, the GENIUS Act establishes a
comprehensive framework for the regulation of payment stablecoins. From 18
January 2027, a person generally may not “issue a payment stablecoin in the
United States” without an appropriate licence. The Act also restricts digital
asset service providers from making foreign-issued payment stablecoins
available in the United States unless specified compliance requirements are
met. From 18 July 2028, the Act further provides that digital asset service providers
generally may not “offer or sell” payment stablecoins to persons “in the United
States” unless the payment stablecoins are issued by a licensed issuer.

The NPRM proposes rules to implement these requirements,
including defining what it means to “issue a payment stablecoin in the United
States” and “offer or sell” a payment stablecoin to a person “in the United
States”. This would provide clarity on when an issuer must obtain a GENIUS
licence and when and how payment stablecoins may be offered or sold in U.S.
markets. Comments may be submitted within 60 days of publication of the NPRM.

Nigeria: Regulator publishes Guidelines on the Taxation of Virtual Assets

On 31 July 2026, the Nigeria Revenue Service (NRS) published Guidelines
on the Taxation of Virtual Assets (the Guidelines), providing guidance to market participants, including virtual asset service providers and peer-to-peer marketplace operators, on the tax treatment of virtual assets and related transactions in Nigeria.

The Guidelines divide virtual assets into six categories and set
out the applicable tax treatment for each. For cryptoassets and stablecoins,
income tax is charged on gains arising from disposal, while stamp duty applies
to eligible token transfers.

Taiwan: Regulator proposes
implementation of FATF Travel Rule for virtual asset transfers

On 4 August 2026, Taiwan’s Financial Supervisory Commission (FSC) announced proposals to amend anti-money laundering (AML) and counter-terrorist financing (CTF) rules for virtual asset service providers (VASPs) to implement the Financial Action Task Force (FATF) Travel Rule on payment transparency.

The Travel Rule will apply to all virtual asset transfers, with
enhanced information collection requirements for transfers exceeding NT$30,000.
For such transfers, beneficiary VASPs will also be required to verify recipient
information provided by originating VASPs against their own customer records.
The FSC plans to roll out the Travel Rule in phases, with the first phase
applying to transfers between domestic VASPs from October 2026 and the second
extending to transfers involving overseas VASPs by the end of 2027.

The draft amendments will be published soon for a 30-day public
consultation period.

South Korea: Government updates rules on cryptoasset transfer

On 11 August 2026, South Korea’s Cabinet approved amendments to the Enforcement Decree of the Act on the Reporting and Use of Specific Financial Transaction Information.

A key amendment is the removal of the KRW 1 million Travel Rule
threshold, extending information-sharing requirements to all transfers between
registered virtual asset service providers (VASPs) regardless of value.
Receiving platforms will also be required to obtain sender and recipient
information and may request missing information or reject transactions where
required data is unavailable. The change is intended to prevent users from
circumventing the rule by splitting transactions into smaller amounts.

The amendments also introduce risk-based anti-money laundering (AML)
requirements for transfers involving overseas VASPs and unhosted wallets. Under
this framework, VASPs will be required to assess counterparties, apply
restrictions where appropriate, and implement suspicious transaction monitoring
systems for transfers of KRW 10 million or more involving overseas VASPs or
unhosted wallets. These measures are intended to enhance the transparency of
virtual asset transfers and address AML risks associated with overseas
exchanges and personal wallets.

The expanded Travel Rule and transfer-related AML requirements
will take effect six months after the decree is promulgated.

Japan: Regulators call for
stronger measures to prevent crypto-related fraud

On 6 August 2026, Japan’s Financial Services Agency and the National Police Agency issued a joint
statement to the Japan Cryptoasset Exchange Association, urging cryptoasset exchange operators to strengthen measures to prevent fraud and related harm to customers. This is due to a continued increase in fraud, despite various measures taken so far.

The regulators
proposed a number of measures, including stronger fraud prevention and
monitoring at account opening, additional verification steps and warnings to
prevent fraud, restrictions and limits on cryptoasset transfers and
withdrawals, improved transaction monitoring, faster responses to suspicious
activities, enhanced authentication where impersonation is suspected, and strengthened
cooperation with the police.

Slovenia: Slovenia joins EU’s MiCA EMT register

On 7 August 2026, Slovenia appeared for the first time in the EU’s Markets in Crypto-Assets Regulation (MiCA) register of electronic money token (EMT) issuers. The European Securities and Markets Authority (ESMA) added Dinaro, a Slovenia-based electronic money institution supervised by the Bank of Slovenia, to its EMT register. This addition brings the EMT register to 43 authorised issuers. 

Russia: President signs law regulating crypto markets

On 6 August 2026, it was reported that Russian President Vladimir Putin had signed Bill No. 1194918-8, On Digital Currencies and Digital Rights, establishing a regulated framework for cryptocurrency markets in Russia. The legislation sets out requirements for crypto market participants, including exchanges, brokers, custodians and other cryptoasset service providers.

Under the law, crypto exchanges operators will be required to
comply with regulatory requirements and join a financial market self-regulatory
organisation. Retail investors will be limited to purchasing approved
cryptoassets through intermediaries, subject to an annual cap of 300,000 rubles
per intermediary. Qualified investors will not be subject to such restrictions.

The Bank of Russia will oversee the regulated crypto market,  issue related rules and determine which cryptoassets
may be offered by licensed intermediaries. Most provisions take effect on 1
September 2026, with certain measures, including rules for non-resident digital
depositories, taking effect on 1 July 2027. The law also maintains the
prohibition on using cryptoassets to pay for goods and services within Russia.

Thailand: Government
introduces tax exemption for crypto capital gains on licensed platforms

On 9 August 2026, it was reported that Thailand had introduced a personal income tax exemption on capital gains from cryptocurrency transactions carried out through platforms licensed by the Securities and Exchange Commission of Thailand.

The exemption, published in
the Royal Gazette under Ministerial Regulation No. 399, applies to qualifying
transactions conducted between 1 January 2025 and 31 December 2029. The relief
applies only to transactions conducted through approved local exchanges,
brokers or dealers. Regular income tax rules continue to apply to income generated
through foreign or unlicensed exchange activity, as well as income from crypto mining,
staking and airdrops.

Ireland: Government publishes first National Anti-Money Laundering Strategy

On 13 August 2026, the Irish
government published its first National Anti-Money Laundering, Countering the
Financing of Terrorism and Countering Proliferation Financing Strategy (the Strategy), together with a press
release. Among other things, the Strategy outlines measures to strengthen
anti-money laundering (AML) and counter financing of terrorism (CFT) requirements
for cryptoassets and cryptoasset transfers, aiming to make it more difficult
for criminals to move illicit funds anonymously.

The Strategy provides for the extension of AML/CFT obligations
to cryptoasset transfers, requiring information on both the originator and
beneficiary to accompany transactions under the EU Transfer of Funds Regulation
(the “Travel Rule”). These measures are intended to improve the transparency
and traceability of cryptoasset transactions. In addition, the Strategy introduces
further obligations for cryptoasset service providers, including enhanced
checks on transfers involving private crypto wallets and stricter due diligence
requirements when dealing with overseas crypto firms.

Chapter
3

Market Developments

India: Google integrates Gemini AI into Google Pay

On 4 August 2026, it was reported that Google had launched Ask Google Pay in India, integrating its Gemini AI assistant into the Google Pay app. The new feature enables users to chat with the payments app about their spending patterns, receive savings tips, explore tailored offers and learn about financial concepts such as SIPs and credit scores in ten Indian languages. Gemini draws on users’ transaction history and credit report data to provide personalised recommendations and educational content. Separately, it was reported that Google is expanding its buy now, pay later (BNPL) offering through a co-branded credit card partnership with the State Bank of India.

United Arab Emirates and Egypt: Mastercard and AFS launch corporate credit and prepaid cards

On 5 August 2026, Arab Financial Services (AFS) announced a partnership with Mastercard to launch corporate credit and prepaid cards in the UAE and Egypt, integrated with the AFS Pro mobile app. The offering enables businesses to issue and manage corporate cards, set spending controls, monitor transactions in real time and streamline expense management through the app. Companies will also benefit from Mastercard’s global payment network, security features and value-added services. The solution will be rolled out first in the UAE and subsequently in Egypt, with the aim of supporting businesses in digitising their financial operations, improving oversight and adapting to evolving payment needs in the region.

United States: Klarna goes live with J.P. Morgan Payments

On 6 August 2026, Klarna announced that its first integration with J.P. Morgan Payments had gone live in the U.S., enabling merchants on J.P. Morgan Payments’ Commerce Platform to offer Klarna’s flexible payment options at checkout without requiring a separate integration. Merchants across retail sectors can offer Klarna’s full suite of payment options, including pay in full, interest-free instalments and longer-term financing, through their existing setup. The partnership combines Klarna’s conversion power with the scale of J.P. Morgan Payments’ merchant network, removing barriers to offering flexible payment options for merchants of all sizes, especially smaller merchants without the resources for complex payment integrations.

China: PayPal World enables U.S. travellers to pay at Weixin
Pay merchants

On 11 August 2026, PayPal announced that U.S. PayPal users can now make in-store QR code payments at Weixin Pay merchants across mainland China through the PayPal app, without needing a separate app or a Chinese bank account. The launch is enabled through a collaboration between PayPal World and TenPay Global, Tencent’s cross-border payment platform. The service allows U.S. travellers to access China’s widely used QR code payment ecosystem, where QR codes are commonly used for payments across retail, dining, tourist attractions and other everyday transactions. The announcement comes as international travel to China continues to grow, with visitor numbers increasing by 15.5% year on year in 2025.

United States: American Express expands virtual card
capabilities

On 13 August 2026, it was reported that American Express (Amex) had expanded the capabilities of its virtual card offering for U.S. commercial customers. Eligible Amex Corporate customers can now create and manage Amex Virtual Cards directly through Amex’s @ Work platform, while Business Travel Account customers can generate virtual cards for a broader range of travel-related business expenses through an expanded partnership with Conferma. This is part of American Express’s strategy to help businesses simplify payments while maintaining greater control and visibility over employee expenses, supplier payments and business travel spending.

Brazil: R2 enters Brazilian market with Ant International support

On 27 August 2026, it was reported that R2, an embedded lending infrastructure provider, had expanded into Brazil with investment from Ant International. R2 will partner with local digital platforms to embed working capital solutions directly into products used by merchants and gig workers. Its technology allows digital platforms, marketplaces, payment providers, ecommerce companies and other businesses serving small and medium-sized businesses and gig workers to offer financing without building their own credit operations or taking on credit risk. The move marks R2’s entry into Latin America’s largest economy and forms part of its broader geographic expansion strategy.

United Kingdom: Robinhood launches crypto trading

On 10 August 2026, it was reported that Robinhood had launched crypto trading for UK investors through Bitstamp, providing access to more than 50 cryptocurrencies, including Bitcoin, Ethereum, XRP and Hyperliquid on its investment app. The new crypto product does not charge trading, account maintenance or custody fees. The launch reflects Robinhood’s strategy to build a single platform covering multiple asset classes for UK customers. Alongside the launch, Robinhood introduced Cortex Digests for Crypto, a generative AI tool that analyses news, market data and technical indicators to provide users with explanations of price movements in individual cryptoassets, giving customers additional context when reviewing market activity within the app.

Hong Kong and Mexico: Thredd powers Cashi’s stablecoin spending card

On 11 August 2026, Thredd announced that it had been selected by Cashi to power its new stablecoin spending and cashback card programme, which is now live in Hong Kong, with expansion into Mexico planned for late 2026. Cashi is a stablecoin spending app and cashback card designed to enable users to spend digital assets on everyday purchases, including groceries, subscriptions, online shopping and travel, wherever Visa is accepted. Thredd’s platform will support the launch and expansion of the programme as Cashi seeks to broaden access to stablecoin-based payments.

Europe: BlackRock launches tokenised money market funds

On 4 August 2026, it was reported that BlackRock was preparing to launch tokenised versions of selected European money market funds using JPMorgan’s blockchain platform. The offering will include pound sterling, euro and U.S. dollar share classes from BlackRock’s Institutional Cash Series. Each token will represent a share in an underlying money market fund and can be transferred at any time between approved digital wallets. JPMorgan will provide the tokenisation infrastructure through Kinexys and continue to act as transfer agent for the funds.

Europe: Zama lists $ZAMA token on Revolut

On 11 August 2026, it was reported that Zama had listed its $ZAMA token on Revolut, making the token available to Revolut customers across the EEA. The listing enables users to buy, hold and withdraw $ZAMA within the Revolut app without opening additional accounts or completing further Know Your Customer (KYC) checks. Zama’s protocol uses Fully Homomorphic Encryption (FHE), a cryptographic technology designed to enable computations on encrypted data while preserving the confidentiality of assets and transactions on public blockchains. Zama and Revolut also plan to launch a Learn & Earn campaign later in 2026 to educate users about on-chain privacy.

Brazil: Itaú joins ANBIMA tokenisation pilot with OpenAssets

On 11 August 2026, it was reported that Itaú Unibanco, Latin America’s largest lender, had joined a tokenisation pilot led by the Brazilian Financial and Capital Markets Association (ANBIMA) in partnership with OpenAssets. The initiative involves testing how fixed-income securities and investment funds can be issued, traded and settled using distributed ledger technology, while also exploring the regulatory and technical standards required for banks and asset managers to use such systems. According to news reports, Itaú’s participation builds on its earlier involvement in Brazil’s central bank’s Drex pilot in 2023 and forms part of the country’s broader push towards tokenisation.

United States: X explores stablecoin payments for content
creators

On 20 August 2026, it was reported that social media platform X was having ongoing discussions regarding the potential use of stablecoins, including Circle’s USDC, to pay royalties to influencers and content providers. According to the report, the initiative would align with Elon Musk’s broader use of stablecoin-based payment solutions, as SpaceX already uses stablecoins to collect cross-border payments from customers of its Starlink satellite internet service in various emerging markets.

Chapter
4

Surveys and Reports

Global: PYMNTS Intelligence publishes Real-Time Payments Tracker

In August 2026, PYMNTS Intelligence and The Clearing House published the latest edition of the Real-Time Payments Tracker, examining how financial institutions are implementing, operating and expanding real-time payment capabilities.

Key findings and statistics include:

• Adoption is becoming the industry standard, with 76 percent of financial institutions already offering access to the RTP network and 40 percent having enabled the FedNow service. Among institutions that have not yet adopted instant payments, 92 percent expect to enable the RTP network within two years and 95 percent expect to adopt FedNow within the same period;
• Financial institutions reporting growth in business client lifetime value are far more likely to view instant B2B payments as delivering strong returns, with 92 percent assessing their return on investment as high or very high. The report suggests that the remaining question is no longer whether to adopt instant payments but how quickly institutions can implement them successfully; and
• Successfully delivering real-time payments requires not only connecting to a payment rail, but also the operational readiness to support payments at scale. Practical challenges include liquidity requirements, implementation costs, technology integration with core and treasury systems, and staffing to support always-on payments.

United States: NMI publishes research on consumer attitudes towards AI-powered shopping

On 26 August 2026, NMI published the results of its Embedded Payments: Agentic Commerce Reality Check research, which examined the use of AI in shopping and payments, consumer attitudes towards AI-powered commerce, and the factors influencing trust in agentic commerce. The research was based on a survey of 1,000 adults in the United States.

• Although consumers are increasingly using AI to begin their shopping journeys, only 11 percent of respondents had used AI to complete a transaction and just 10 percent would give AI full control over a purchase;
• Trust, control and transparency remain key barriers to adoption: 69 percent of respondents did not trust AI to process payments securely, 70 percent said they must be able to review or override an AI decision before a purchase, and 50 percent were concerned about having limited visibility into AI’s decisions; and
• Consumers were more willing to use AI for supporting functions, with more than half of respondents comfortable with AI automatically applying discount codes, recommending products and completing shipping information.

Global: Reap publishes stablecoin statistics and market data overview

On 14 August 2026, Reap published a review of the latest stablecoin market statistics and trends.

• Total stablecoin market capitalisation reached USD 308 billion as of 13 August 2026, representing a 14.3 percent increase year on year;
• Approximately 99.5 percent of stablecoin supply was denominated in U.S. dollars, with USDT remaining the largest stablecoin by supply;
• Of the estimated USD 28 trillion to USD 62 trillion in stablecoin transfers in 2025, only approximately USD 350 billion to USD 550 billion represented real-economy payments, with the majority of transaction volume related to trading and transfers between wallets and exchanges;
• Approximately 13 percent of surveyed organisations had used stablecoins, while 54 percent of non-users expected to adopt them within six to twelve months. The main drivers of business adoption were lower transaction costs and faster cross-border payments; and
• Asia was the largest region for stablecoin flows in 2025, while Latin America was the fastest-growing region for stablecoin usage.

Authored by Charles Elliott, Virginia Montgomery and Mengze
Han.

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Additional Resources

• Digital Assets and Blockchain Hub
• PISP/AISP Authorisation Tool
• Hogan Lovells Cadwalader Financial Services practice page

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Source: www.hlc.com