Mirela Ciobanu, Lead Editor at The Paypers, explores the critical themes discussed at Money Motion 2025, including the rise of instant payments, the evolving role of digital wallets, the implications of AI in fintech, the progress of the digital euro, and more.
The third edition of Money Motion, held on March 27-28 in Zagreb, Croatia, brought together over 126 speakers and 2,000 attendees from across Europe and even the US. While content was at the heart of the event—more on that later—MoMo2025 was just as much about networking, meaningful dialogue, and having fun. From playing darts and ping-pong for prizes to dancing, enjoying great food, and tasting rakia, the event had an energy that reminded me of Money20/20, but with its own unique local flair. As the organisers put it, ‘We took inspiration from film festivals—our goal was to create an experience where people not only gain valuable insights but also feel good, have fun, and truly experience Croatia’.
The agenda was packed with panel discussions and fireside chats covering the latest payment trends in Europe, emerging technologies (AI, blockchain, etc.), and regulatory developments. Key themes included the rise of innovative payment methods, AI’s role in retail banking and commerce—enhancing personalisation, automation, and supply chain efficiency—and the evolving regulatory landscape shaping the future of financial services.
Cash usage in Europe is steadily declining, driven by the rise of instant payments, digital wallets, and evolving consumer preferences. Instant payments have expanded rapidly—from just four countries in 2010 to over 80 today. While emerging markets like India, Brazil, and Thailand have pioneered real-time payments, Europe is seeing Alternative Payment Methods (APMs) gain traction. The key driver? User experience (UX).
Discussions around payment sovereignty have cast traditional card schemes in a negative light, often criticised for their American origins, high processing fees, and perceived redundancy in the face of European alternatives like wero, Bizum, and Blik. However, a recent Worldpay study suggests that cards still play a crucial role; decades of optimisation have perfected the card payment flow, ensuring security, dispute resolution, and regulatory adherence.
Despite predictions of their decline, card schemes continue to evolve. Today, 69% of retail transactions still rely on cards, with A2A payments often running on card networks. Innovations such as virtual cards, network tokens for enhanced security, and card schemes’ collaborations with stablecoin and crypto providers are ensuring that cards remain relevant.
While instant payments are often seen as the future, Europe tends to focus heavily on the underlying infrastructure—rails like SEPA Instant—without addressing the need for improved functionality. But a fast rail alone isn’t enough; payments need to be frictionless and versatile. Comparing payments to transportation, having instant payments without added functionality is like prioritising electric vehicle infrastructure without enhancing the driving experience itself.
Learning from systems like Brazil’s Pix and India’s UPI, European players like Blik and iDEAL offer valuable functionalities, but there’s still no unified approach across the continent. Europe’s fragmented payment landscape makes the creation of a single European instant payment scheme a challenge. Until instant payments offer more compelling, user-friendly functionalities similar to Pix and UPI, widespread adoption may remain slow.
While stablecoins were widely acknowledged as a valuable tool for enabling faster, cheaper transactions across borders, the digital euro sparked intense debate. Many critics argue that a central bank digital currency (CBDC) does not directly address European citizens' needs but is instead driven by political motivations and Europe’s push for financial sovereignty. Some panellists questioned whether there is too much noise around CBDCs and the digital euro—seeing it as more of a reaction to crypto rather than a well-defined necessity.
Artificial Intelligence (AI) is rapidly transforming industries, but its implementation comes with challenges and responsibilities. In banking, the adoption of Large Language Models (LLMs) requires strict regulatory oversight, as financial institutions remain liable for any AI-driven errors. Meanwhile, retailers recognise that AI success isn’t just about technology—it’s about strategic alignment, management buy-in, and clear communication.
For AI projects to take off in retail, companies need a well-defined AI strategy. This means ensuring alignment between C-level executives and operational teams while addressing both technical and soft skill gaps. Some Croatian retailers are already developing AI-powered location assessment tools to determine optimal store locations. Others are introducing AI usage manuals in compliance with the AI Act, ensuring responsible AI deployment.
One of AI’s most impactful applications is Optical Character Recognition (OCR), a technology that converts documents into searchable, editable formats. When combined with AI and machine learning, modern OCR systems can recognise text, interpret context, and continuously improve accuracy. Key industries benefiting from AI-powered OCR include:
Logistics & supply chain – automating invoice processing, shipment tracking, and customs documentation to reduce delays and streamline operations.
Financial services – extracting data from receipts, invoices, and bank statements to minimise errors, improve compliance, and boost efficiency.
Retail & ecommerce – enhancing inventory management by automating invoice and supply chain document processing, leading to faster order fulfilment and improved customer service.
AI is also revolutionising retail media, helping brands maximise their presence on marketplaces like Amazon. AI-powered solutions can identify high-performing keywords, optimise ad placements, and adjust bids dynamically. According to 84.51° data, brands using AI-driven ad personalisation have seen a 1.3x increase in incremental return on ad spend (ROAS)—a testament to AI’s role in driving marketing efficiency.
MoMo2025 was a deep dive into the evolving landscape of fintech, banking, and retail across Europe and the CEE region. The discussions provided fresh insights, challenged industry assumptions, and sparked new questions for further exploration. Some key topics that stood out include:
The role of card schemes vs. European payment sovereignty – can initiatives like EPI and wero successfully establish a truly European payment network, or will global card schemes continue to dominate?
The future of cards – beyond tokenisation, fraud prevention, disputes, and A2A payments, what innovations will redefine cards?
The digital euro debate – is the European public sector's push for a digital euro enough, or must policymakers align with private-sector insights to ensure consumer adoption and relevance?
In our next instalment (tomorrow), we’ll dive into the evolving role of AI—how far it should go and how to ensure it enhances human capabilities rather than replacing them. This was another exciting topic I had the privilege of exploring at MoMo.
Stay tuned for more insights on balancing innovation with responsibility in AI development!
About Mirela Ciobanu
Mirela Ciobanu is Lead Editor at The Paypers, specialising in the Banking and Fintech domain. With a keen eye for industry trends, she is constantly on the lookout for the latest developments in digital assets, regtech, payment innovation, and fraud prevention. Mirela is particularly passionate about crypto, blockchain, DeFi, and fincrime investigations, and is a strong advocate for online data privacy and protection. As a skilled writer, Mirela strives to deliver accurate and informative insights to her readers, always in pursuit of the most compelling version of the truth. Connect with Mirela on LinkedIn or reach out via email at mirelac@thepaypers.com.
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