In 2025, financial institutions will face increased regulatory mandates focusing on accountability, customer protection, fraud prevention, and real-time payments. To address these challenges, banks must reduce friction in customer onboarding and prevent APP scams through collaboration and information sharing.

Key strategies include leveraging federated machine learning for real-time transaction risk profiling and network intelligence to detect anomalies and prevent scams like phishing and romance scams. Additionally, banks should continue using Confirmation of Payee, AML, and KYC initiatives, and enhance these tools with ISO 20022 and open-source data to eliminate accounts created with synthetic or stolen identities.