Q1: One of the most significant disruptions of our time will come from emerging markets to developed countries via the adoption of account-to-account (A2A) payment systems that allow for real-time payments without going through a traditional bank or card network. In Brazil and India for example, products like PayPal's Pix and India's UPI are showing that very fast (almost instantaneous) payments (settlement) between bank accounts can be done successfully as well as creating substantial levels of financial inclusion by making it easy for people and businesses to exchange cash. As consumers in western countries continue to request and demand a quick and easy payment experience, they are beginning to "leapfrog" their current payment systems just as emerging market customers have done. This will begin to take effect over the next two years as the banks transition to being a non-visible entity (almost like a utility) by providing the infrastructure needed for seamless payment transactions through non-financial applications. However, the transformation to real time payments will disproportionately benefit those that work in the gig economy and those considered to have "thin" credit files given that their credit-worthiness is more often determined by behavioral data versus a traditional static credit bureau score. As western banks begin to implement new payment systems such as the FedNow network, those who will clearly benefit the most will be the lenders that use the new speed of fund availability with real-time payments as an opportunity to develop improved trust-based lending models for employees that do not fit into a traditional workday. Adopting a real-time payment model and moving away from multi-day settlement times and a legacy fee-laden business model may create psychological limitations for management as opposed to technical. The managing team will need to recognize that the transition to a high speed/high transparency environment creates the potential for not only taking on risk, but also losing customers as society expects similar standards between various markets worldwide and therefore, not having comparable access to other markets will ultimately result in missed opportunities or lost revenues for organizations that do not adopt to real-time payment systems and accept risk with the growth of their industry
The new trend in the financial technology industry that will soon begin to have a big effect on Western markets is called "embedded finance." Non-bank platforms are taking advantage of the framework provided by the Qatar Central Bank to develop new digital wallets and provide instant payments and financial services based on APIs directly to retailers, telecommunications companies, and logistics providers. The change is subtle yet very powerful. Financial services are now built into the apps people use for everyday transactions rather than needing to be accessed through a bank branch. There are many Western companies that have already experimented with "embedded finance," but the Gulf region has been faster to adopt this type of financial infrastructure through regulated digital payment systems and open API initiatives. I believe that by the end of the next two years, this type of finance will be viewed as a "utility" like water or electricity. Whereas, traditionally, banks have been thought of as a destination for people to go for their banking needs, banking is going to be looked at as a utility. Like plumbing is efficient, invisible, and unavoidable.
A major trend is the rise of alternative data-based underwriting tied to mobile behavior and cash flow, rather than traditional credit files. In emerging markets, this is enabling small-ticket lending and insurance for people with limited credit histories. Western lenders are likely to adopt the same approach as open banking coverage improves and more income becomes variable. Underwriting will increasingly rely on verified transaction streams, merchant sales and recurring obligations. This shift will shorten the time to decision and expand access for freelancers and newer immigrants. The key is to build consent-based data collection that clearly explains the value. Additionally, models should be created that can be challenged and corrected by the customer. The teams that pair automation with a human appeal path will likely succeed, as trust will determine who gets access to financial data.
A growing trend in emerging markets is wallet-led ecosystems, where cards are no longer the primary payment method. Users can pay, save, borrow, and manage bills all in one place. The strength of this system lies in the habit loop, as payments are made daily, and trust builds through constant use. As this grows, users develop stronger connections with the wallet app. Western markets will see this shift as wallets evolve from simple tap-to-pay to full financial operating tools. This will change how businesses acquire customers, moving from large one-time campaigns to continuous engagement. Companies should focus on customer education and provide in-app reminders to prevent abandonment. Turning a payment into a lasting relationship helps reduce churn and improve profitability.
I'm seeing mobile-first property transaction platforms take off in emerging markets--places like Kenya and India where entire real estate deals happen through smartphones without ever stepping into a bank or title office. In the next two years, I expect Western markets to adopt similar end-to-end digital workflows that let buyers verify title, secure financing, and close properties from their phones. In my business evaluating thousands of properties, I've seen how title issues and slow closings can kill deals, so this shift toward frictionless, mobile-based transactions will be a game-changer for sellers who need speed and certainty.
A big emerging-market fintech trend I think hits the West next is cash-flow based underwriting--using bank transactions, rent and utility payments to approve credit in minutes instead of leaning so hard on traditional credit scores. In places like LATAM and parts of Africa, that model is already unlocking lending for people with thin credit files, and I expect we'll see it reshape U.S. housing deals fast--think quicker pre-approvals for first-time buyers and more accurate pricing for "non-traditional" borrowers. In my world, it means sellers and buyers will have more real options outside big-bank mortgages, especially on entry-level homes.
I'm watching embedded finance closely--specifically, how emerging markets are integrating payments and lending directly into non-financial platforms like e-commerce or gig economy apps. In places like Southeast Asia and Latin America, this has become the norm, and I believe Western markets will follow suit within two years. For my world of private mortgage notes and real estate financing, this means alternative lending options will become more accessible through everyday platforms, giving investors and property sellers more creative exit strategies beyond traditional banks.
The trend I'm watching most closely is embedded credit infrastructure built on alternative data- the kind pioneered in markets like India and Southeast Asia, where traditional credit scores were never the default. In those markets, lenders learned to underwrite using GST filings, UPI transaction patterns, and supply chain behavior. Western fintechs are starting to pay attention now, especially as embedded finance expands and legacy credit models struggle to serve gig workers, micro-businesses, and new immigrants with thin bureau files. Over the next two years, I expect this alternative underwriting logic to quietly reshape how SME lending and BNPL products are structured in the US and Europe. The infrastructure already exists, the regulatory appetite is growing, and frankly, the credit gaps are too large to ignore. What was built out of necessity in emerging markets is becoming a competitive advantage when transplanted to a market that still over-relies on FICO scores and bank statements.
Being the one, having direct contactwith capital raising and startup industry, I would say, one emerging marketwe are seeing in fintech trend that might affect is the maturation of embedded credit and payments ecosystems tied to real-time transaction data. In markets like Southeast Asia and Africa, lenders have been underwriting micro and SME credit directly off historical mobile wallet and POS data, which has driven far higher approval rates, lower default losses, and faster funding cycles. Due to that, Western incumbents are increasingly taking note because this model accelerates credit velocity, reduces reliance on traditional credit scores, and unlocks revenue from invisible lending at the point of sale or service. As data sharing frameworks and open finance standards expand in Europe and the US, we should see more integrated lending experiences, where small business financing, point-of-sale loans, and dynamic credit limits are embedded directly into operational software rather than offered as separate products.
The trend is that salary-linked financial tools are being built for people with irregular income. In many emerging markets, people manage money based on weekly payouts, gig work, and seasonal earnings. Fintech companies there have learned to forecast cash flow from behavior and automate small, safe actions. These actions may include reserving money for bills or smoothing out expenses. Western markets are moving in a similar direction as gig work grows and traditional payday cycles weaken. Fintechs should shift from static budgeting to dynamic predictions. By using transaction patterns, they can anticipate tight weeks and prompt earlier bill planning. This approach helps avoid overdrafts and improves retention because the product feels more in tune with real-life timing.
Embedded finance is no longer a luxury for Western fintechs—it is a survival requirement under PSD3 and Open Finance (FiDA) mandates. As "super-app" logic migrates West, successful firms are moving beyond simple payments to integrate high-margin credit directly into B2B workflows. The most explosive trend for 2026 is Real-time B2B Embedded Credit. Instead of forcing SMEs to apply for traditional loans, SaaS platforms—like accounting software or procurement tools—use real-time transaction data to offer "click-to-accept" supplier terms. By utilizing API-first orchestration, fintechs can offer liquidity at the exact moment a business faces a cash gap. The business impact is transformative: early pilots show 3x faster payment cycles and up to 25% revenue growth per customer. By embedding credit hooks early, you redefine cash flow for your users without the high cost of new customer acquisition. In the PSD3 era, the winner isn't the one with the best app—it's the one whose financial services are so well-embedded they become invisible.
Embedded finance is an emerging trend set to influence Western markets by integrating financial services into non-financial platforms. This seamless user experience allows consumers to access banking, payment, or investment services within their existing apps, enhancing convenience. It also democratizes financial services, making them more accessible, and is especially impactful in emerging markets where such integration can drive broader financial inclusion.
Embedded finance is a growing trend in emerging markets that is set to influence Western markets in the coming years. This involves integrating financial services into non-financial platforms, enabling seamless access to banking, insurance, and payment solutions. Driven by technology and consumer demands, this trend is particularly significant for e-commerce and retail, as companies seek to boost customer loyalty and revenue by offering tailored financial solutions.
"Super-app style" finance is the emerging-market trend I expect to hit Western markets fastest: one place where payments, lending, savings, insurance, and even shopping live together, stitched into daily life instead of scattered across ten apps. In a lot of emerging markets, fintech won because it felt like a shortcut to dignity and ease--tap, send, borrow, breathe--without the paperwork theater. In the West, I see this showing up as banks and wallets turning into lifestyle hubs (and big platforms adding more regulated money features), especially for younger users who don't emotionally separate "money" from "life." The impact will be less about flashy features and more about consolidation: fewer logins, more embedded credit and payouts, and a real fight over who owns the customer's everyday rhythm.
Account-to-account (A2A) instant payments built on real-time rails and open-banking-style bank connectivity is the emerging-market fintech pattern I expect to materially reshape Western markets over the next two years. In markets like Brazil (Pix) and India (UPI), consumers learned to pay merchants directly from bank accounts with immediate confirmation and very low fees, which pushed adoption faster than card-first ecosystems. The key lesson is behavioral: when checkout is fast, trusted, and works inside familiar apps, people don't miss cards for many everyday transactions. In Western markets, I expect the impact to show up as more "pay by bank" options at checkout, especially for recurring bills and higher-ticket purchases where merchants care about fees and chargebacks. From an operator's perspective, the practical consequences are lower payment acceptance costs, fewer disputes due to authenticated bank flows, and a shift in loyalty/UX toward the app that owns the customer relationship rather than the card in the wallet.
I'm keeping a close eye on alternative credit scoring models that factor in things beyond just traditional credit history, like utility payments or even mobile usage data. In many emerging markets, these models are helping unlock access to capital for a much broader segment of the population. For my real estate investment business here in Wilmington, this means we could soon see a shift in how we assess who qualifies for various financing options, especially for less conventional deals, opening up more opportunities for both buyers and sellers outside standard banking channels.