Payments Weekly · 2026-W42Weekly
PAY.NEWS
Stablecoin Payment Expansion and Tightening Regulation
This issue covers October 12 to October 18, 2026. Several major U.S. financial institutions face fines, enforcement actions, and investigations over anti-money laundering, sanctions, or customer-service policies, while further warnings have been issued about sanctions risks in cross-border payment chains. The EU is advancing regulation of stablecoins and electronic money tokens under MiCA, with USDC becoming the first significant electronic money token; relevant institutions have successively obtained payment, banking, and crypto-asset licenses. Visa, Mastercard, Stripe, SAP, and other companies are expanding stablecoin payment, card issuance, payout, and corporate settlement capabilities across more countries and merchants. Tokenized Treasury repo transactions, DLT market infrastructure, and offline bank-card payments have also progressed, while the digital-asset industry faces stricter requirements for custody, trading, and customer-fund protection.
AML Enforcement Continues to Intensify
Section overviewU.S. regulators are intensifying scrutiny of large banks and payment institutions over anti-money laundering and sanctions compliance responsibilities. Bank of America faces more than $1.21 billion in fines, while American Express was fined $350 million and issued a cease-and-desist order; the OCC and CFPB are also focusing separately on restrictions on customer services and related policies, while OFAC warns that sanctions risks may be transmitted through correspondent banks and intermediary institutions.
Bank of America Fined Over $1.21 Billion for AML and Sanctions Compliance Deficiencies
The U.S. Treasury Department fined Bank of America more than $1.21 billion for anti-money laundering and sanctions compliance deficiencies; the bank admitted violating the Bank Secrecy Act. Of this amount, Bank of America will pay $750 million to the OCC, while OFAC separately reached an $11.6 million settlement over sanctions violations. The OCC said the bank’s monitoring systems had serious deficiencies, resulting in delays in filing suspicious activity reports related to transactions worth billions of dollars.
OCC and Federal Reserve Take Enforcement Action Against American Express over AML Deficiencies
The OCC and Federal Reserve simultaneously took enforcement action against American Express and its subsidiaries over deficiencies in their AML programs. American Express National Bank was fined $350 million in civil penalties and issued a cease-and-desist order.
OCC Report Alleges Nine Banks Canceled Customer Financial Services over Political or Religious Views
The OCC released a 47-page follow-up report alleging that the policies or practices of JPMorgan Chase, Bank of America, Citi, Wells Fargo, U.S. Bank, PNC, Capital One, TD, and BMO between 2020 and 2025 may have affected the cancellation of banking services based on customers’ political or religious orientation.
PYMNTS10.08OFAC Warning: Sanctions Risks May Be Hidden Deep within Cross-Border Payment Chains
OFAC warned that foreign financial institutions continuing to transact with sanctioned entities may be targeted at any time without prior notice, and that sanctions risks may be transmitted through correspondent banks and intermediary institutions to cross-border payments. The article notes that companies need to review not only recipients but also payment routes, dollar-clearing relationships, and alternative channels; richer payment data such as ISO 20022 can help reduce opacity in the chain.
Stablecoin Payment Expansion
Section overviewStablecoins are moving from digital-asset trading into cross-border payouts, merchant spending, corporate payments, and treasury management. Mastercard and BVNK connect fiat and stablecoins through a single API, Visa Direct supports USDC prefunding, Stripe is expanding stablecoin payouts and card issuance, and SAP is embedding stablecoin settlement into enterprise ERP.
Fintech News Singapore10.16Mastercard and BVNK Launch Fiat and Stablecoin Payments Platform
Mastercard and BVNK launched the Mastercard Global Money Platform, which uses a single API to enable banks, fintech companies, and businesses to hold, convert, pay, and spend fiat currencies and stablecoins.
Digital Transactions News10.15Visa and Mastercard Launch Stablecoin Payment Services Covering Cross-Border Payouts and Global Merchant Spending
Visa launched a commercial service incorporating stablecoins for Visa Direct and, through Inyo Global, supports businesses in sending domestic and international payouts to more than 180 countries; Mastercard, meanwhile, launched the Global Money Platform with BVNK. The platform allows users to spend stablecoins at hundreds of millions of Mastercard-accepting merchants worldwide. Initial users include Nuvei, Marqeta, Ontop, Beem, and Almond Fintech.
Stripe BlogFirst party10.16Stripe Expands Global Payouts and Stablecoin Card Issuance, and Launches Unified API Stack
Stripe introduced three global updates for fintech companies, including expanding Global Payouts, launching stablecoin card issuance in 27 EU countries, and providing a unified API stack. Global Payouts now supports sending instant stablecoin payments to 160 markets and traditional-currency payments to more than 100 markets; stablecoin cards cover more than 65 countries worldwide, with plans to expand to 100 countries by the end of 2026.
PYMNTS10.17Visa Direct Launches Stablecoin Prefunding, with Inyo Global as First Integrator
Visa Direct began offering stablecoin prefunding to cross-border payment businesses, allowing eligible customers and partners to use USDC to prefund Visa Direct cross-border payment funds in near real time. The first integrator, Inyo Global, has integrated the capability into its platform, enabling businesses to manage cross-border payments through existing Inyo APIs across more than 180 countries.
SAP Launches SAP Pay Embedded in SAP Cloud ERP, Supporting Bank Transfers and Stablecoin Settlement
SAP launched SAP Pay, embedding payment execution and transaction reconciliation into SAP Cloud ERP, while supporting ACH payments, wire transfers, checks, and cross-border stablecoin settlement. The service is officially available in the United States and the United Kingdom for supplier payments and treasury management, and is intended to reduce delays in bank-file processing, external payment processing, and manual reconciliation.
Licensing Drives Market Localization
Section overviewMiCA and payment regulatory licenses in various jurisdictions have become important foundations for the expansion of stablecoins and crypto services. The EBA will directly supervise certain prudential matters concerning the issuer of USDC; Noah, KPay, Ant International, and Qivalis have obtained relevant licenses; Visa has begun preparations to establish a domestic bank-card clearing institution in China, while Kraken has obtained a full VARA license in the UAE.
Fintech News Switzerland10.15EBA Designates USDC as the First Significant E-Money Token under MiCA
Under MiCA, the EBA designated USDC as a significant electronic money token. Among the 45 EMTs currently notified in the EU, USDC is the first to receive this status. From 12 November 2026, the EBA will be directly responsible for the issuer’s own funds, reserve assets, liquidity, and recovery and redemption plans, while France’s ACPR will continue to oversee governance, qualifying holdings, suitability reviews, outsourcing, and conflicts of interest.
Payments Cards & Mobile10.16Noah Obtains MiCA and PSD2 Licenses, Expanding Stablecoin Payments to All 27 EU Markets
Stablecoin payments provider Noah obtained a MiCA crypto-asset service provider license and a PSD2 payment institution license, enabling it to provide stablecoin and fiat payment services in all 27 EU member states. The licenses support holding, converting, and transferring stablecoins on behalf of customers, as well as executing fiat payments through credit transfers; Noah also said it would seek direct access to the SEPA network. The company said its service network already covers more than 150 markets and 60 currencies, allowing customers to complete KYC and KYB through a single regulated service provider.
Fintech News10.14Visa Approved to Begin Preparations for Establishing a Domestic Bank-Card Clearing Institution in China
Visa received approval from the People’s Bank of China for its Application to Prepare, formally beginning preparations to establish a domestic bank-card clearing institution in China. The approval only permits Visa to advance the preparations in accordance with PBOC requirements; Visa must still complete the relevant procedures before it can conduct domestic bank-card clearing business in China.
Fintech News10.15Ant International Obtains RPSCS and SVF Licenses from the UAE Central Bank
Ant International obtained a Retail Payment Services and Card Schemes Category II (RPSCS) license and a Stored Value Facilities (SVF) license from the Central Bank of the UAE.
Fintech News Singapore10.15KPay Granted Singapore MPI License by MAS
MAS granted KPay subsidiary KPay Merchant Service (Singapore) Pte. Ltd. a Major Payment Institution (MPI) license, allowing it to provide merchant acquiring, domestic remittance, and cross-border remittance services in Singapore.
CoinDesk10.14Dutch Central Bank Grants Qivalis an Electronic Money Institution License
The Dutch central bank granted an electronic money institution license to Qivalis, which is backed by 37 European banks, bringing it closer to issuing euro-denominated electronic money tokens. Qivalis must still publish a white paper and satisfy other MiCA requirements, and plans to distribute the tokens through banks, cryptocurrency exchanges, and payment service providers in the coming months. Under MiCA, holders of electronic money tokens may redeem them at par value at any time, and the tokens may not pay interest.
Kraken Obtains Full VARA License through Payward, Entering UAE Spot and Margin Trading
Kraken obtained full crypto brokerage, management, and investment licenses from Dubai VARA through its parent company, Payward, enabling it to serve retail and institutional investors in the UAE. UAE users can trade spot and margin products in AED and deposit and withdraw directly in UAE dirhams; institutional clients can also use OTC trading services and Kraken Prime.
Digital-Asset Infrastructure Comes under Regulation
Section overviewDigital-asset trading, custody, and tokenized financial infrastructure continue to develop, while regulatory boundaries are tightening at the same time. BNY completed a tri-party repo transaction involving tokenized U.S. Treasuries, and the EU plans to raise the size limit for DLT market infrastructures; Russia will restrict individual P2P cryptocurrency transfers, while Australia plans to strengthen requirements for exchanges and custodians concerning customer funds, transparency, and financial resources.
Russia to Halt Individual P2P Cryptocurrency Trading in July 2027; 11 Institutions Licensed
The Central Bank of Russia clarified that P2P cryptocurrency transfers between individuals may be conducted only until July 1, 2027, after which digital currencies must be transferred through approved custodial wallets. The Central Bank of Russia has authorized 11 institutions to conduct cryptocurrency trading businesses, including Sberbank; at present, the only assets available for retail investors to trade are Bitcoin, Ethereum, and Tether’s USDT.
Ledger Insights10.12EU Finance Ministers Support Raising DLT Pilot Regime Cap to €300 Billion; Lagarde Opposes
The Council of the European Union reached broad agreement on its negotiating position regarding MISP, supporting an increase in the cap for an individual DLT market infrastructure under the DLT Pilot Regime from €6 billion to €300 billion, while retaining the possibility of raising it to €500 billion in the future through a delegated act by the Commission.
CoinDesk10.15ASIC Proposes Tighter Rules for Australian Crypto Exchanges and Digital-Asset Custodians
The Australian Securities and Investments Commission (ASIC) proposed new standards requiring cryptocurrency exchanges and digital-asset custodians to protect customer funds, improve trading transparency, and meet financial requirements. The rules will take effect on April 8, 2027. Existing businesses may apply for licenses by October 7, 2027, and continue operating while their applications are reviewed. The consultation will close on November 27, with final guidance and standards expected to be released in March 2027; ASIC said it has received more than 140 applications for authorization to provide digital-asset-related financial services.
BNY Completes First Tokenized U.S. Treasury Tri-Party Repo Transaction on Tradeweb
BNY and Citadel Securities completed a tri-party repo transaction using tokenized U.S. Treasury collateral on the Tradeweb platform. The tokenized securities were recorded on BNY’s private ledger, reducing settlement time to minutes rather than T+1.
Payments Cards & Mobile10.12Mastercard to Introduce Offline Payment Requirements for Bank Cards in Europe
Beginning in February 2027, Mastercard will require newly issued credit and debit cards in Europe to support offline payments, and from May will require new and replacement terminals at key retailers to support the function. When offline, terminals can locally approve transactions of up to €200 based on spending parameters preset by the issuer in the bank-card chip; once connectivity is restored, the transactions are submitted for clearing. The feature applies to essential spending scenarios such as supermarkets, grocery stores, gas stations, pharmacies, and travel or ticketing terminals.