Legal and Regulatory Developments

SPOTLIGHT: Retail, Crypto Groups Converge to Back Stablecoin Legislation
Payments Dive – March 14, 2025

Retail and cryptocurrency trade groups converged Thursday to air their shared interest in supporting legislation to create a regulatory regime for stablecoins, and they did so on a day when the Senate Banking Committee approved a bill attempting to do just that.

The Merchants Payments Coalition and the cryptocurrency interest trade group Payment Choice Coalition issued a joint press release Thursday to say they’re working together to promote “innovation, competition and choice in U.S. payments.”

The MPC, which represents the National Association of Convenience Stores and the National Restaurant Association, among others, has lobbied for bills that they argue would benefit major and smaller retailers when it comes to payments, including the Credit Card Competition Act. . . .

Bank Groups Push for Permanent Block on Ill. Swipe Fee Law
Law 360 – March 18, 2025

Banking industry groups moved late Monday to deliver a final blow to an Illinois state law that bans swipe fees on tax and tip portions of payment card transactions, asking a Chicago federal judge to go ahead and finish off the ban before it takes effect this summer.

U.S. District Judge Virginia Kendall has already tentatively blocked Illinois from enforcing the disputed law, known as the Interchange Fee Prohibition Act against federally chartered banks and thrifts on preemption grounds. State banks chartered outside Illinois have also been shielded.

These preliminary injunction orders were a significant victory for the plaintiff trade groups, which allege the IFPA is overreaching and threatens havoc for payment processing. The groups include the American Bankers Association and America’s Credit Unions and their Illinois counterparts, the Illinois Bankers Association and Illinois Credit Union League. . . .

Industry Developments

SPOTLIGHT: Buy Now, Pay Later Lender Klarna Files for U.S. IPO
CNBC – March 14, 2025

Klarna, a provider of buy now, pay later loans filed its IPO prospectus on Friday, and plans to go public on the New York Stock Exchange under ticker symbol KLAR.

Klarna, headquartered in Sweden, hasn’t yet disclosed the number of shares to be offered or the expected price range.

The decision to go public in the U.S. deals a significant blow to European stock exchanges, which have struggled to retain homegrown tech companies. Klarna CEO Sebastian Siemiatkowski had hinted for years that a U.S. listing was more likely, citing better visibility and regulatory advantages. . . .

Credit & Debit Card Swipe Fees Reach New Record in 2024
Convenience Store News – March 18, 2025

Credit and debit card swipe fees reached a new high of $187.2 billion in 2024, further driving up prices for consumers, reported the Merchants Payments Coalition (MPC).

“With no competition to hold them in check, price-fixed swipe fees rise every year and shot up again last year,” said Christine Pollack, MPC executive committee member and vice president of government relations at FMI – The Food Industry Association. “As Main Street small businesses and American families continue to face economic uncertainty, the giant card networks and Wall Street banks continue to take more money out of their pockets every day.”

Combined swipe fees for credit cards and debit cards rose more than $15 billion from $172 billion in 2023, per the Nilson Report trade publication. This also marked a 70% increase since the pandemic. . . .

Read Payments News Update – March 21, 2025 at constantinecannon.com