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Top 12 trends in payments 2018

December 24, 2018


We did a YouTube video at the beginning of 2018 on the top 12 trends in the Payments domain. We took stock of how we performed.

Before we get into that, here are the trends that we predicted at the beginning of 2018.

  1. Adoption of Open APIs will change the dynamics of payments
  2. Blockchain for cross-border payment will become a reality
  3. Regulators will simplify compliance processors, reduce costs, and maintain stability
  4. FinTech and RegTech will continue to be the buzzwords
  5. Amazon, Google, PayTM, Flipkart, and Fintech companies will be the biggest challenge for traditional banks
  6. UPI and Bharat QR will grow exponentially as a payment acceptance mode
  7. Contactless and wearable narratives will gain prominence, however they won’t become mainstream
  8. Real-time payments will actually mean real-time, even in corporate scenarios
  9. Fighting fraud and data breaches will become the go-to-skill in payments
  10. Wallets, cards, and mobiles will become mainstream instruments of payments
  11. Transit ticketing with banking cards that are interoperable will be piloted
  12. Cryptocurrencies will move beyond bitcoins and become mainstream with use cases
How did we perform in our predictions?

Except perhaps the second prediction, we have hit the bull’s eye on every other prediction.

The entire payments world is now talking about open-banking APIs. Digital banks and neo-banks are mushrooming because of the API-driven applications.

Fintech’s are the flavour of every large investor’s portfolio. More and more Fintech’s are coming up in the market addressing every financial requirement of the consumers. They are currently working with large banks as a part of the ecosystem.

UPI and Bharat QR have exceeded expectations in the digital payments space. India has consistently crossed a billion transactions on a monthly basis and are marching towards billion transactions on a daily basis.

Real-time payments have become a reality. From the Kirana (grocery) stores to vegetables vendors, every one of them is accepting digital payments, as they are real-time.

Some of the world’s largest banks are talking about adopting cryptocurrencies in a massive way.

Looking at the way our predictions have performed, I guess we should come up with our predictions on a regular basis.

You can watch the video here.

Sabapathy Narayanan

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