Technology Trends in 2026
To stay competitive, financial institutions need to stay informed and proactive in their approach to emerging technologies. AI grabbed headlines and the top survey spot, but respondents also identified several other trends they expect to shape 2026.
Artificial Intelligence (AI)
AI was named the most significant technology trend for the third consecutive year. Up 17 percentage points from 2025, AI is increasingly top of mind for executives as they explore ways to transform operations, drive efficiency, fight fraud and sharpen decision-making.
Digital Assets (e.g., Stablecoins, Tokenized Deposits, Cryptocurrencies)
With one-fifth of the vote, digital assets are the second-largest tech trend for 2026. Tokenized deposits and stablecoins are emerging areas that institutions are monitoring closely as regulatory frameworks take shape.
Stablecoins are digital currencies designed to maintain a stable value, typically by being pegged to traditional assets like the U.S. dollar. They are increasingly discussed as potential alternatives for certain payment and settlement use cases.
By contrast, tokenized deposits are traditional bank deposits represented in digital form, allowing them to move and settle more efficiently while remaining within the regulated banking system.
Digital Transformation
Digital transformation will remain a top focus, underscoring the need for streamlined digital channels that create stronger account holder experiences.
Real-Time Fraud Detection
The emergence of AI and digital assets may help explain shifts in emphasis across technology priorities, but the importance of real-time fraud detection shouldn’t be underestimated. Faster payments and more sophisticated attacks will continue to elevate the need for advanced monitoring and response.
Instant Payments
Since its 2023 launch, the Federal Reserve's FedNow service has expanded rapidly, from 331 participating institutions to over 1,500. Adoption continues to accelerate as demand for faster, always-on payments grows.5
APIs/Open Banking
While interest dropped sharply from last year’s 11% result, APIs and open banking still offer financial institutions major opportunities, from automated workflows to fully integrated digital platforms.
Industry Insight
Stablecoins and tokenization are drawing heightened attention across the industry, even though the regulatory landscape is still taking shape. At the end of 2025, the FDIC published its first rules for the recently passed Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act6. This could create opportunities over time as use cases develop, though most near-term applications remain limited, primarily in cross-border transactions. Any strategic engagement will require careful analysis and strong compliance frameworks.
Expert Perspective
Several CSI experts note that the novelty and visibility of AI may be overshadowing areas of more urgent operational concern to community financial institutions. This imbalance can leave institutions exposed if they direct disproportionate attention to AI exploration while underinvesting in risks that already affect daily operations.
At the same time, experts caution against accelerating AI initiatives without the governance structures needed to manage them. Without clear regulatory guidance and with real risks of biased or inconsistent outputs, institutions should prioritize governance, controls and policy frameworks before pushing new AI projects forward. Institutions should also take care to fully understand the risks and workload required for implementation, which they may understate or not fully grasp.
Fraud appears to rank lower in the survey than its day-to-day operational impact would suggest. Community financial institutions are seeing more impersonation schemes, relationship-based attacks and misuse of tools like ATM limits. Experts recommend evolving fraud strategies now, especially as instant payments scale and new NACHA rules go into effect in April 2026. They also note that the survey audience mix may have pushed fraud lower on the list, even though it remains top of mind for operations and security teams.
Payments disruption and digital assets may also be receiving less emphasis than their potential impact warrants. With interest in stablecoins rising, tokenized deposit models emerging and real-time payment rails expanding, experts caution that shifts in how money moves could affect liquidity, deposits and competitive dynamics more quickly than many institutions anticipate. Experts noted that instant and real-time payment capabilities, in particular, are becoming a baseline expectation for many business customers, increasing competitive pressure on institutions that cannot support faster, always-on money movement. As with fraud, the attention surrounding AI may be obscuring the scale and urgency of these developments.
The general sentiment on digital assets is mixed, however, and depends on the time horizon. Some CSI experts noted that stablecoins could pose a long-term threat to traditional fee-driven payment and transaction revenue, particularly if more money movement shifts outside the banking system. Others emphasized that near-term interest is often board-driven and exploratory, with today’s most practical use cases remaining limited, mostly in cross-border transactions.
Our experts’ guidance for 2026 is clear: keep exploring new technologies, but don’t lose sight of the foundational risks, revenue pressures and consumer protections that will shape the year ahead.
“Balancing technology, innovation and risk management will define success in banking 2026.”
Source: Survey Participant