What: The convergence of digital currencies, AI, and instant payment networks is reshaping the retail sector’s competitive and operational landscape.

Why it is important: The integration of stablecoins, AI, and real-time payments marks a pivotal shift in retail, driving new business models and operational excellence highlighted in recent Notion reports.

The payments industry is experiencing a profound transformation as stablecoins, agentic AI, real-time payments, and platform-based merchant services converge to redefine retail operations and customer experience. Stablecoins are gaining traction among major retailers and department stores, offering near-zero transaction fees and greater accessibility, which is particularly relevant as local card schemes decline and global payment providers dominate cross-border transactions. At the same time, agentic AI is automating e-commerce processes, personalizing shopping journeys, and boosting operational efficiency, compelling retailers to adapt their engagement strategies for a machine-mediated environment. Real-time account-to-account payment networks are rapidly expanding, enabling instant, seamless transactions and opening new revenue streams, while platformization and embedded finance are fostering innovative business models and intensifying competition with traditional banks. The integration of AI and advanced analytics is further redefining productivity, with leading retailers achieving notable improvements in margins and customer acquisition costs. Collectively, these shifts are setting new benchmarks for customer experience, operational agility, and profitability, fundamentally altering the competitive dynamics of the retail sector.

IADS Notes: The adoption of stablecoins is accelerating, with major retailers and department stores embracing near-zero transaction fees and improved accessibility, as seen in January 2025 (“How stablecoins will eat payments, and what happens next”). This shift is further supported by the decline of local card schemes and the rise of global payment providers, which are reshaping cross-border transactions and driving innovation in payment solutions (October 2024, “Europe's Local Card Schemes on a Steady Decline”). At the same time, agentic AI is redefining the retail landscape, automating e-commerce transactions, personalising shopping experiences, and enhancing operational efficiency, as highlighted in September 2025 (“Agentic commerce: When AI takes control of e-commerce”). Real-time account-to-account payment networks are expanding rapidly, enabling instant, seamless transactions and unlocking new revenue streams for retailers, as detailed in the September 2025 “Global Payments Report 2025.” The move toward platform-based merchant services and embedded finance is fostering new business models and intensifying competition with traditional banks, while the integration of AI and advanced analytics is redefining productivity, with leading retailers achieving significant improvements in margins and customer acquisition costs (March 2025, “Redefining productivity in retail”). Together, these developments are not only reshaping the competitive landscape but also setting new standards for customer experience, operational agility, and profitability across the retail sector.

BCG’s Global Payments Report 2025

The future is (anything but) stable - article

Agentic AI, digital currencies and real-time - press release