2026 FinTech Predictions: Insights from Sean Forward of ClearBank

I'm pleased to bring you some perspective from one of Europe's leading next-generation full-service banks, ClearBank.

Let's hear from Sean Forward, ClearBank's Business Manager for Digital Currency, about the transformative shifts he expects to see across financial services in 2026.

With stablecoins projected to reach $500 billion in supply and regulatory frameworks maturing globally, Sean shares his perspective on how banks and fintechs can navigate the opportunities and challenges ahead.

Over to you Sean - my questions are in bold:

What's the biggest shift you expect across financial services in 2026?

I anticipate that institutional adoption of digital assets will accelerate in 2026 as traditional finance begins integrating them into its core operations. This represents a fundamental shift in how the industry operates, and the services offered to consumers. Furthermore, while we can expect to see sovereign entities starting to hold Bitcoin reserves, more broadly, it won't be surprising if Bitcoin starts to gradually lose its prominence, giving way to a more stable, regulated, and sustainable growth model.

Which emerging technology will have the most practical impact on banks and the FinTechs that support them?

I expect to see stablecoin's impact on the global financial system to continue to grow. Stablecoins are the strongest path for digital assets to enter mainstream transaction banking and treasury operations, and their supply is projected to double, hitting $500 billion by the end of 2026 and potentially reaching $2 trillion by 2030. Regulatory clarity, particularly in the U.S. with the GENIUS Act and in Hong Kong, which mandates 100% reserve backing, is expected to boost institutional confidence.

This will provide banks and fintechs with more opportunities to embrace stablecoins and use them to modernise their payments systems, allowing them to develop into a natural extension of existing payments infrastructure. In the long-term, this will help to transform cross-border payments, enabling instant settlement internationally at lower costs with greater transparency.

What customer behaviours or expectations will most challenge banks and financial service providers?

Banks will continue to face the challenge of balancing adoption of innovative new technologies with the need for regulation and security. I anticipate that customers will be keen to see banks adopt digital assets at speed and offer new services based on the technology. While this undoubtedly creates opportunities for banks and fintechs to innovate and improve their services, it is vital that we work with regulators to create a secure system for digital assets and stablecoins that ultimately protects our customers at the same time as unlocking growth.

What risks or blind spots do you think the industry is underestimating as we move into 2026?

Continuing to build a regulatory framework for stablecoins must be a priority for the industry. U.S. Bank-issued stablecoins are becoming increasingly dominant, facilitating real-time cross-border payments, corporate treasury integration, and tokenised settlements. Meanwhile, the UK will complete its stablecoin and wider digital asset regime next year, following consultation and rule development in 2025. The UK must usher in a new regime that recognises banks alongside fintechs otherwise it risks losing its position as a global leader in finance and all the opportunities stablecoins provide.

If you were advising a bank's leadership team today, what strategic priority should they focus on to stay competitive in 2026 and beyond?

There will be a number of trends that will develop throughout the year, whether they be uses of AI or the rise of embedded finance, an industry which is projected to grow from £6.47 billion in 2024 to £15.77 billion by 2029.

However, it is hard to look past the opportunity in digital assets. The future of cross-border payments will be hybrid, making use of and blending improvements to the existing payment rails and blockchain enabled settlement into a single, seamless experience.

The biggest challenge for banks will be interoperability: connecting digital and traditional systems securely across jurisdictions and regulatory regimes. As regulatory systems develop across different markets, leadership teams must work with regulators to develop efficient systems, while making sure their innovation teams are well-placed to capitalise on these changes.

Thank you Sean! You can connect with Sean on his LinkedIn Profile and find out more about the company at clear.bank.