Contextual Solutions Blog
This page is dedicated to our original and curated content about FinTech, digital banking, LegalTech, and innovation.
Conversational Commerce: OpenAI-PayPal Partnership and LLM-Fintech Integration
In a fascinating development for the payments industry, OpenAI and PayPal have just announced a landmark partnership making PayPal the first-ever payments wallet embedded in ChatGPT. Launching in 2026, this integration will enable 700 million weekly ChatGPT users to discover, purchase, and track goods seamlessly within conversations, powered by PayPal's Agentic Commerce Protocol.
Navigating the AI Frontier: The UK's Sandbox Strategy
On October 21, 2025, at the Times Tech Summit in London, UK Technology Secretary Liz Kendall unveiled the UK’s blueprint for AI regulation, centered on the creation of "AI Growth Labs" equipped with regulatory sandboxes.
Cross-Border Payments: Recent Developments and Future Horizons
Cross-border payments, the financial lifelines enabling international trade, remittances, and global commerce, are having a moment. Traditional systems, reliant on correspondent banking networks, have long been plagued by high costs slow settlement times and opacity. However, recent innovations are addressing these pain points through technological advancements, regulatory collaborations, and infrastructure upgrades.
DORA and the Supply Chain Reckoning: Rethinking Third-Party Risk for a Resilient Financial Sector
The Digital Operational Resilience Act (DORA) is more than a regulatory milestone—it’s a mirror reflecting the financial sector’s digital dependencies. Fully applicable across the EU since January 2025, DORA is forcing institutions to confront an uncomfortable truth: the resilience of their supply chains is only as strong as the weakest link they barely see.
Europe's Push for Digital Sovereignty: The Launch of a MiCAR-Compliant Euro Stablecoin by Nine Major Banks
In a landmark move signaling Europe's ambition to reclaim control over its digital financial landscape, nine prominent European banks have united to develop a euro-denominated stablecoin. This consortium, comprising ING, Banca Sella, KBC Bank & Verzekering, Danske Bank, DekaBank, UniCredit, SEB, CaixaBank, and Raiffeisen Bank International AG, aims to introduce a blockchain-based payment instrument that complies fully with the EU's Markets in Crypto-Assets Regulation (MiCAR).
The State of European Fintech in 2025: Insights from Finch Capital's Report
In its 10th edition, Finch Capital's "State of European Fintech 2025" report paints a picture of a maturing sector poised for growth amid global uncertainties. Released amid a resurgence in fintech investments, the report highlights a shift toward concentrated funding, resilient mid-market activity, and the transformative role of AI.
Industrial Policy via Venture Capital: Unpacking the Implications for Europe
Amid calls for coordinated industrial policy, a new study by Martin Aragoneses and Sagar Saxena, "Industrial Policy via Venture Capital" (2025), dissects one promising lever: government-backed VC intermediated through private funds. By analyzing the European Investment Fund (EIF), the authors reveal how public money can amplify private expertise to bridge funding gaps.
Mario Draghi's Report on EU Competitiveness: One Year On – Developments and Perspectives
One year after the release of Mario Draghi's seminal report on "The Future of European Competitiveness" in September 2024, the European Union finds itself at a crossroads. Commissioned by European Commission President Ursula von der Leyen, the 383-page document outlined an "existential challenge" for Europe, warning of sluggish growth, technological lag behind the U.S. and China, and the need for radical reforms.
ASML's Investment in Mistral: A Step Toward European Sovereign AI?
The European artificial intelligence landscape has witnessed an important moment with ASML's €1.3 billion investment in Mistral AI, announced on September 9, 2025. This deal, part of Mistral's €1.7 billion Series C funding round, catapults the French startup to a valuation of approximately €11.7 billion, making it Europe's most valuable AI company.
The Digital Euro Opportunity
The Digital Euro represents a significant step in Europe's financial evolution, blending traditional central banking with cutting-edge blockchain technology. As the European Central Bank (ECB) accelerates its efforts, the project aims to create a retail central bank digital currency (CBDC) that complements physical cash, enhances payment efficiency, and bolsters monetary sovereignty amid rising global competition from initiatives like China's e-CNY.
The Stablecoin Revolution: How 2025 Is Redefining Money
Stablecoins have grown from niche crypto assets to a $625 billion market in 2025, and they’re on track to reshape global finance. Here’s what businesses, investors, and policymakers need to know to navigate this revolution, per the findings of the Stablecoin Revolution Report by brn.
Compliance Fatigue: Europe’s Financial Services Are Tired
European banks and fintechs face compliance fatigue—slowing onboarding, inflating costs, and creating operational drag. Discover practical, data-backed strategies to streamline processes, leverage AI, and transform compliance from a costly burden into a sustainable competitive advantage.
EU Innovation Policy: Time to Start Funding Ideas, Not Companies?
Despite €100 billion in funding, EU innovation is stagnating. A new report calls for a radical shift: stop funding corporate giants and start empowering independent innovators. Here's what needs to change.
Fintech’s Next Chapter: From Growth at All Costs to Sustainable Success
The global fintech industry is entering a new era driven by profitability, AI innovation, and on-chain finance. Discover the key trends and opportunities that will shape fintech's future in 2025.
GDPR Reform 2025: What the New EU Data Rules Mean for Mid-Sized Companies
The EU’s 2025 GDPR reform brings relief for small mid-cap businesses, reducing red tape and introducing faster, clearer enforcement. Learn how these changes impact compliance—and why now is the time to future-proof your data strategy.
Building a Sustainable BaaS Brand: Lessons from the Market Players
Discover the key lessons from Solaris SE’s rise and regulatory setbacks to learn how to build a sustainable, resilient Banking-as-a-Service (BaaS) brand. Discover key strategies for achieving compliance, governance, and sustained success in embedded finance.
Generative AI in Europe: How the EU Can Lead the Next Technological Revolution
Generative AI is transforming industries across Europe, driving innovation, economic growth, and societal change. This blog explores key insights from the European Commission’s 2025 Generative AI Outlook, highlighting the opportunities, challenges, and regulatory developments shaping the future of AI in the EU.
For Banks, AI Just Got Serious
Most banks are still stuck in AI experimentation mode while market dynamics evolve at breakneck speed. Discover how to move beyond pilots, embrace actionable AI strategies, and stay relevant in the face of Big Tech and embedded finance disruption.
The Future of Open Banking: Transforming Compliance into Competitive Advantage
Open banking in 2025 brings both challenges and opportunities. Learn how financial institutions can drive innovation, boost consumer trust, and stay ahead of compliance with Contextual Solutions.
BNPL at a Crossroads: How 2025 Regulation Will Reshape the Buy Now, Pay Later Sector?
Buy Now, Pay Later (BNPL) is transforming how consumers shop, but regulatory changes in 2025 aim to curb the rising risks of over-indebtedness. Discover how new UK rules will reshape the BNPL landscape and what businesses must do to stay compliant and competitive.
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