Looking toward a future generation of payment market infrastructures
The trends affecting Payment Market Infrastructures (PMIs) today could project us into a very different future. Some imagine the rapid consolidation of cashless payments in all areas of life, perhaps dominated by crypto currencies. Others see a world populated by a myriad of fintech alternatives with niche activities characterising the payments landscape. Lowering costs and low profit margins give many the idea that payments will become a mere commodity service with little to attract innovators or those interested in high value added activities. Some dismiss all these trends and complacently see the current systems dominated by legacy player’s still working within their comfortable hierarchies.
In this session three elements of this story will be presented based on new research. The first provides a new view of the current situation and the prevailing trends. The second presents an assessment of the likely scenarios over the short term. The third and final element considers likely scenarios in terms of effects on financial stability, regulation, and likely consequences for the current industry structure.