Welcome to Innovating Payments Top 3 News Headlines. ACH volume on The Clearing House's (TCH) electronic payments network (EPN) increased by 9.6% last year, outpacing the broader ACH market as customers continued the shift to electronic payments. Meanwhile, the next generation of small business owners, freelancers, and gig workers are turning to FinTechs to enable instant payments. And so far this year, cryptocurrency continues to make headlines, but not always for favorable reasons.
Read on to learn more.
1. ACH Volume on The Clearing House's EPN Outpaced Industry in 2021 (PYMNTS.com)
The number of transactions on the electronic payments network (EPN), the automated clearing house (ACH) for electronic funds transfers (EFT), increased by 9.6% last year, The Clearing House (TCH) announced Monday (March 7). The rise outpaced the broader ACH market as customers continued the shift to electronic payments that accelerated during the pandemic, the company reported. Read more.
2. Gig Economy Businesses Turn to FinTechs to Enable Instant Payments (PYMNTS.com)
The next generation of small business owners, freelancers and gig workers have grown up using platforms like Venmo and other instant payments, giving them some expectations when it comes to the payments experience. "This new generation of workforce talent has grown accustomed to instant payment transfers in their personal lives, and now they want those same fee-free, fast services for their businesses," Reed Switzer, CEO and co-founder of Hopscotch, told PYMNTS. Read more.
3. How Regulators are Tackling the Wild West of Cryptocurrency (PaymentsJournal)
2021 was a major year for cryptocurrency. We witnessed all-time-highs and steep plummets, but one clear trend amongst the volatility is that public discussion on the topic reached hitherto unseen levels. This was fueled by such diverse factors as bitcoin upgrades, NFT artwork, China's September ban, and Elon Musk's SNL antics. The spotlight has carried on into 2022, and not always for favorable reasons. Read more.
The increasing ACH volume on TCH's network reflects an overall shift to electronic payments over the past few years. How is the shift to electronic payments playing out in your financial institution? What is your financial institution doing to attract gig workers with instant payments? And finally, what role do you think regulators should have in cryptocurrency?
Check back soon for our next issue, which will again highlight the industry's most pressing and need-to-know developments. Until then, visit us online at Innovating Payments.
AUTHOR: Joe Casali, AAP, NCP
Executive Vice President
As the EVP of Payments Innovation for NEACH, Joe focuses on exploring innovative solutions and technologies that will help position members for success, both now and in the future. Connect with Joe to read more of his blogs, articles, and posts.