#USA #Montreal #Visa #Nuvei #agentic payments

A New Era of Retail Payments

In a groundbreaking development for digital commerce, Nuvei has successfully completed its first live agent-based payment transaction in collaboration with Visa and Arvato Systems. This innovative proof of concept demonstrates a significant advancement in how merchants can leverage technology to facilitate payments through AI agents, where purchases can be initiated and completed without the need for redirecting to separate payment platforms.

The transaction featured a scenario where a merchant's AI agent executed a product purchase on behalf of a consumer directly within the agent's infrastructure. Notably, this system operates using a tokenized access record within Visa's Intelligent Commerce, adhering to conditions set by the buyer such as spending limits and approved categories, thereby enhancing security and compliance.

Phil Fayer, Chairman and CEO of Nuvei, emphasizes the transformational potential of this technology. He states, "Agent-based commerce marks the next evolutionary step in digital transactions, where AI not only locates products but also initiates purchases. This proof of concept illustrates how payments can evolve to a level that allows any agent on any protocol to process a transaction seamlessly."

Merchants have voiced strong support for first-party agent capabilities, identifying them as a vital priority during discussions at Nuvei's Global Customer Advisory Board meeting. This feedback underscores a growing demand for control and functionality among merchants as market dynamics evolve, envisioning the extension of these capabilities to public third-party agents as well.

Building an Ecosystem for Agent-Based Payments

The proof of concept involved collaboration with various European issuers including Alpha Bank, Piraeus Bank, and Bank of Cyprus, among others. Mathieu Altwegg, Head of Product Solutions at Visa Europe, remarked on the significance of this initiative, stating, "With 'Visa Agentic Ready', we are enhancing existing functions, including tokenization and network-level controls, to enable trustworthy agent-initiated payments. This demonstration showcases how these foundational elements can facilitate new experiences in commerce today."

Carsten Bruning, Vice President of Digital Commerce at Arvato Systems, echoed this sentiment, noting that the implementation of AI-driven purchases while maintaining trust, control, and transparency is crucial. The collaboration validated the interoperability across the payment process and established that transactions can be concluded within the agent's platform instead of being routed to the merchant's site.

Prospective Market Growth

Market analysts project that agent-based commerce could generate a staggering global transaction volume of $1 trillion by 2030 and potentially reach $3 to $5 trillion by 2035, according to McKinsey. As payment experiences gradually transition into agent embeddings, this proof of concept represents a pivotal step for Nuvei toward establishing Agentic Payments, reinforcing their strategy of enabling "Every Payment, Everywhere".

Key elements underpinning this initiative include a protocol compatibility layer that allows merchants to integrate once and accept payments across various standards—providing flexibility for both Visa Intelligent Commerce and Mastercard Agent Pay certifications.

Additionally, a framework known as 'Know Your Agent' (KYA) will maintain identity governance by registering and authorizing agents, validating consumer mandates, and ensuring transparency in actions taken by agents. This approach offers merchants a singular interface leveraging Nuvei’s existing platform without necessitating a complete overhaul of their payment processes.

Nuvei aims for an initial rollout in the latter half of 2026, introducing the compatibility, KYA registry, risk assessments for agents, and developer Sandbox—all within a PCI Level 1 certified infrastructure, supported by robust risk and fraud management tools.

As Fayer articulates, "Agent-based commerce is fundamentally a platform challenge, not merely a function. Merchants require a centralized hub that connects them with every agent, protocol, and network while retaining control. The real challenge lies in managing verifiable mandates, understanding real agent risks, and processing through diverse payment channels, which we are now integrating into our existing infrastructure serving thousands of merchants."

In light of these advancements, the future of retail payments looks promising as Nuvei and its partners pave the way for a more efficient, AI-driven marketplace.

For more information on Nuvei's vision for agent-based commerce, visit their official website.