01Circle and Volante partner to help banks integrate stablecoins into payment operationsPayments-as-a-Service provider Volante Technologies is partnering with USDC issuer Circle to help banks integrate stablecoin payment and settlement capabilities into their existing payment operations. The partnership targets financial institutions that want to add stablecoin rails without rebuilding their core payment infrastructure.Why it matters: Volante sits inside the payment operations of banks that would otherwise need a separate stablecoin integration project, so this partnership turns stablecoin settlement into a feature many banks can switch on rather than build. It lowers the bar for mid-sized banks to offer stablecoin payments, which widens who Circle's USDC can reach beyond crypto-native players.paymentsFinextra
02Citi Expands Token Services to UAE and JapanCiti has expanded Citi Token Services, its blockchain-based liquidity product built on tokenised deposits, into Japan and the UAE, supporting USD transactions in Japan and both USD and euro transactions in the UAE. The move brings the 24/7 programmable liquidity service to seven markets, joining the US, Ireland, Hong Kong, Singapore and the UK.Why it matters: Citi is building a live, multi-currency network for instant intra-bank liquidity movement rather than waiting for a shared industry rail, which raises the bar for other global transaction banks still limited to cut-off times and correspondent chains. Corporate treasurers with Citi accounts in these markets gain a faster liquidity tool competitors can't yet match.infrastructureFintech News ME
03Senate passes Common Cents billThe US Senate gave final passage to the Common Cents Act on 28 September, sending to the White House a bill that creates a cash-rounding framework for merchants and formally phases out the penny. The bill required two votes in both chambers after a Senate amendment in August; pennies will still be minted as collectible coins.Why it matters: A federal cash-rounding standard removes the patchwork merchants and POS providers would otherwise face building their own rounding rules state by state. Payment processors and till software vendors now have a firm basis to build penny-free rounding logic instead of guessing at a rule that might not survive Congress.paymentsPayments Dive
04Mission Lane gets green light for OCC charterThe Office of the Comptroller of the Currency gave Mission Lane conditional approval on 25 September to form a nationally chartered credit card bank, the first new OCC credit card bank charter in more than 20 years. The fintech, which serves about 3 million customers across 45 states, filed the application five months earlier.Why it matters: A national charter lets Mission Lane issue its own cards instead of relying on a bank partner, removing a layer of BaaS dependency the OCC has scrutinised heavily in recent years. Its approval signals the OCC will charter fintechs built around subprime and near-prime consumers, not just prime-credit players.bankingBanking Dive
05Oracle integrates with Swift blockchain ledgerOracle said it is integrating with Swift's blockchain ledger, giving financial institutions a way to participate in payment flows orchestrated through the ledger. The integration also lets institutions connect their own tokenised-deposit infrastructure with other institutions on the network.Why it matters: A core banking and database vendor plugging directly into Swift's ledger removes a build step for banks that already run Oracle's stack, likely speeding adoption beyond banks willing to integrate from scratch. It also nudges Swift's ledger toward becoming a common rail for tokenised bank money rather than a project a handful of large banks pilot alone.infrastructureFinextra
06Jeeves raises $110m for stablecoin banking platformCorporate card and expense management platform Jeeves has raised $110m to scale its stablecoin-native banking platform for global enterprises. The round funds Jeeves' shift from a card-and-expense tool toward a broader stablecoin-based banking offering.Why it matters: A $110m round for a stablecoin-native banking platform is a sizeable bet that multinational enterprises will hold and move treasury funds in stablecoins, not just accept them at checkout. It adds another well-funded competitor to the growing field of stablecoin-based corporate banking, ahead of clearer global regulatory frameworks.fundingFinextra
07erad Secures US$22M Series A to Expand SME Financing in the GCCRiyadh-based SME financing platform erad raised $22m in a Series A round led by MEVP, with new backers including Saudi Venture Capital, 500 Global and ANB Capital. The company has provided more than $133m in financing to Saudi SMEs after eightfold year-on-year growth, and will use the round to build products for capital-intensive sectors including logistics and medical equipment.Why it matters: The round shows Gulf venture investors are still funding SME lending platforms at scale even as global fintech funding stays selective, and erad's move into capital-intensive sectors signals demand for financing beyond simple working-capital loans. It adds another well-capitalised competitor to Saudi Arabia's SME lending market as the country's SVC and other state-linked funds keep backing the space.fundingFintech News ME
08Sumsub Launches APAC Council to Develop Guidance on AI AgentsIdentity verification vendor Sumsub is forming an Asia-Pacific council to develop guidance on the identity, delegated authority and oversight of AI agents, drawing members from policy, academia, technology, industry and civil society. Its first working group will examine agentic commerce, covering identity, accountability and oversight when AI agents act on behalf of consumers or businesses.Why it matters: A KYC and fraud-prevention vendor convening its own governance council, rather than waiting for regulators, shows the industry expects agentic commerce to need identity and accountability rules before any government sets them. Whatever guidance the council produces is likely to shape how compliance teams think about verifying an AI agent versus verifying a human customer.aiFintech News SG
09FDIC clamps down on 'significantly undercapitalized' Old Glory BankThe FDIC moved toward a prompt corrective action directive against Old Glory Bank after the $279.4m-asset lender's leverage ratio fell to 2.69% and it failed to respond to a notice of intent, the regulator said. The bank has operated under an FDIC consent order since May 2024 over insufficient capital, and in August scrapped a planned merger with SPAC Digital Asset Acquisition Corp after the Federal Reserve did not approve the deal.Why it matters: A prompt corrective action directive is one of the FDIC's more serious supervisory tools, reserved for banks whose capital has fallen far enough that regulators can force changes rather than just request them. The collapse of Old Glory's SPAC-driven path to becoming a crypto-focused, Nasdaq-listed bank shows how hard capital-raising gets once a bank is already under a consent order.regulationBanking Dive
10Christine Lagarde: Hearing of the Committee on Economic and Monetary Affairs of the European ParliamentECB President Christine Lagarde told the European Parliament's economic affairs committee on 28 September that firms are set to devote around 10% of total investment to AI in 2026, and that AI-related borrowing already accounts for roughly a quarter of credit growth to firms. She said AI could significantly boost productivity but will also affect investment, labour markets and inflation, making it relevant to monetary policy.Why it matters: A quarter of euro-area corporate credit growth already tied to AI-related borrowing means banks are underwriting AI investment risk at meaningful scale, whether or not their credit models explicitly flag it as such. If the ECB starts treating AI exposure as a factor in monetary policy and financial stability, banks and lenders in the euro area should expect more scrutiny of how they're pricing and monitoring AI-linked credit.aiECB