The pros and cons of AI-powered bots in payments and transactions (Part 2)

In Part 1, we looked at how AI-powered bots are revolutionising payments by enabling instant, automated and secure transactions, so integrating with blockchain and stablecoins to optimise financial operations. Whilst improving efficiency and fraud detection, this also raises concerns about market manipulation, regulatory oversight and real user adoption; AI-driven payments are set to reshape finance - but can banks and regulators keep up? In addition to enhancing speed, AI contributes to cost reduction by automating tasks that were once performed by human workers or intermediaries. This reduces the reliance on manual labour, lowers overhead expenses and decreases transaction fees, thereby making financial services more affordable. For example, Stripe utilises AI-powered automation to optimise recurring payments, enabling businesses to cut administrative costs whilst boosting efficiency. However, it is crucial to consider whether these savings come with risks - although AI can reduce c…