The news: A coalition of major US banks is pushing for reforms to the recently enacted GENIUS Act. The banks are concerned that a loophole could give non-bank competitors advantages over more regulated traditional banks, per AInvest. Our take: The main challenge for traditional banks is that they have to compete on a new front with different rules. But it’s also a major risk to their customers, who could not only move their money over to competitors’ accounts—but also lose it. While a 4% reward rate is highly attractive and far exceeds most traditional savings account interest, these stablecoin holdings are not necessarily protected by FDIC insurance. Without this insurance, a platform failure could mean consumers lose their entire investment—a risk that does not exist with a federally insured bank deposit.

Real-time payments adoption is still in its infancy in the US. But business and consumer demand are increasing, providing a growth opportunity for banks and customer-facing payment providers.

The news: PayPal posted net revenue growth of 5% YoY at $8.3 billion due to strong performances of Venmo, its debit card, and Braintree, per its earnings report. Our take: PayPal is leaning into its branded experience and tech innovations to power its way through 2025.

The news: Publicis Groupe has won PayPal’s global media business, building on the holding company’s winning streak and proving to rivals that its momentum in securing major accounts shows no signs of slowing. WPP Media previously handled PayPal’s media account but resigned the account in April, citing the need to “pursue other opportunities,” per Ad Age. Our take: Publicis’ win of PayPal’s global media business underscores a growing advertiser shift toward integrated partnerships, where creative, media, and retail strategies merge to unlock greater performance and monetization potential.

The news: PayPal launched PayPal World, a global platform linking major international payment systems and digital wallets. Our take: While PayPal’s starting list of key partnerships represents Latin America, India, and China, the payment provider could penetrate further into European markets by tying up with the European Payments Initiative and the Wero wallet—as well as with top US wallets like Apple Pay and Google Pay or the nascent Paze.

Our midyear report revisits the top trends we named in early 2025 to see what’s shaping the market, evolving fast, or fading in the rearview mirror.

The news: Despite global cuts in ad budgets, several companies are diving head-first into their own ad offerings to diversify revenues. HP is reportedly pitching HP Media Network, an ad network highlighting laptop and desktop ads. The move includes ads on HP computers and apps, offsite ads, placements in social and email campaigns, and a free ad-supported TV service. Our take: Introducing ad offerings isn’t necessarily a lost cause—but knowing how to position new ad products is key to succeeding in a time when advertisers are increasingly hesitant to invest without measurable results.

AI is upending every aspect of marketing, from neuro-contextual ads that read emotions to autonomous shopping agents that make purchasing decisions. As tech giants consolidate control of the sector, six pivotal trends are reshaping advertising, search, and commerce.

The news: Tech company Hewlett Packard (HP) is reportedly pitching HP Media Network, an ad network focused on laptop-targeted ads and desktop streaming, per Adweek. HP Media Network will sell ads that show up on HP computers and apps, and will promote its first-party data to give adtech firms access to offsite ads. Our take: HP’s launch could capitalize on growth in the desktop and laptop ad market—but the company needs to prove its offerings as distinctly beneficial compared with competitors, or risk falling victim to advertisers’ concerns over investing in new offerings as budgets are slashed.

Retail media is not just for retailers anymore. US commerce media ad spending is projected to hit $118.4 billion by 2029, growing at a 15.3% compound annual growth rate (CAGR), per a May EMARKETER forecast.

The news: JPMorgan will charge fintechs fees to access its customers’ bank account information, per a report from Bloomberg. Our take: This fee regime would be a pivotal win for JPMorgan that would undoubtedly be emulated by other banks anxious to tap a new revenue stream.

The news: PayPal rolled out a dynamic, AI-powered scam alert system to protect consumers against fraud for “Friends and Family” transactions. Our take: Rolling out user-facing AI-powered fraud protection alerts increases PayPal’s visibility as a safe financial provider for more than just online checkout at well-known retailers.

The news: PayPal users can get 20% cash back on their Taco Bell orders if they check out with PayPal or Venmo in-app or online, per a press release. Our take: For Taco Bell enthusiasts, 20% cash back every week may be too good of an offer to refuse.

The news: PayPal partnered with the Big Ten and Big 12 conferences to enable payments for participating student-athletes. Our take: Capitalizing on young, emerging student consumers is a strong opportunity to secure long-time and loyal PayPal and Venmo users.

The news: Fiserv will launch its own stablecoin, FIUSD, by end of year to complement its existing banking and payments infrastructure. Our take: Reporting BNPL data to the credit bureaus would be a solid step toward combatting BNPL’s “phantom debt” criticism.

At Cannes Lions 2025, commerce media partnerships once again reigned supreme. Once the domain of digital shelf tactics and retail data, commerce media is now reshaping how brands show up across social platforms, connected TV (CTV), and in-store displays. This year’s festival offered a glimpse into a more integrated, AI-driven future—one where conversational ads, programmatic pipes, and real-world touchpoints blur the lines between media and purchase.

FMNs are a small but burgeoning part of commerce media, offering valuable first-party transaction data. Despite their promise, FMNs face scale limits due to data sensitivity and must find ways to shift audiences toward commerce-focused behaviors.

The news: PayPal is launching storefront-style ads that allow users to buy products directly within display ads on publisher sites, using PayPal or Venmo without leaving the page. Debuting in the US with partners like Business Insider and Vox Media, the units will later expand to include carousels and listings. This move strengthens PayPal’s financial media network footprint after its 2023 Ads launch. Our take: As FMN spend is set to reach $1.78B by 2027, PayPal is embedding commerce where consumers already are. These shoppable ads address friction, drive impulse purchases, and position PayPal as a safeguard against rising AI-driven agentic commerce.

Tariff uncertainty, billion-dollar merger and acquisition deals, and a jump in social commerce will create new dynamics in the payments industry in H2 2025. Burgeoning tech like agentic AI and stablecoins will further shake up the space.

The news: PayPal will serve as Selfbook’s commerce partner for its travel and hotel offerings, per a press release. Customers can book travel arrangements directly within the PayPal app. Our take: Consumers want travel features from their banks, which PayPal has taken up as a fintech payment provider.