For decades, finance functions and treasury teams have struggled with tedious, manual, and repetitive workflows.
But today’s financial landscape is constantly changing. Increasing regulatory pressures, unpredictable global economic conditions and evolving business models mean finance teams are facing new, more complex challenges. Traditional tools and manual processes are quickly and increasingly proving insufficient to meet the demands of real-time reporting, fraud prevention and strategic decision-making.
Enter artificial intelligence (AI) and blockchain: two technologies that are rapidly evolving, and in blockchain’s sense, maturing, to meet the growing demands of finance teams and treasury functions across industries.
For finance teams, AI is more than just a buzzword: it’s an operational game changer. By enabling automation and data-driven insights, AI systems and applications within accounts payable (AP) and accounts receivable (AR) workflows enable CFOs and treasurers to focus on high-level strategies instead of drowning in spreadsheets and manual reconciliations.
As AI drives automation and analytics, blockchain brings an essential level of trust and transparency to financial operations. At the same time, digital assets such as stablecoins can increasingly offer treasury teams the ability to optimize cross-border payments and provide alternative payment solutions, for example for complex commercial transactions or in regions where fiat currencies are less stable.
Together, these two hot technologies strive to prove their value as strategic enablers of growth, efficiency and control in an increasingly complex financial world.
Learn more: How Blockchain Technology Can Streamline Treasury Operations
Unlock strategic advantages for finance teams
With the announcement that RLUSD, the USD-pegged stablecoin launched by Ripple, has received approval from the New York State Department of Financial Services (NYDFS) and becomes available on Tuesday (December 17), Applications of blockchain-based treasury innovations are a priority for finance teams seeking a more efficient and transparent financial future.
By combining the stability of traditional currencies with the accessibility and borderless nature of blockchain networks, stablecoins represent a transactional bridge between traditional methods and newer processes.
After all, throughout history, businesses have used computers to improve productivity. Blockchain and AI are just the latest iteration of IT processes and systems that have long been relied upon to generate operational leverage.
“In five years, we could have a blockchain or state machine that allows financial institutions involved in a transaction to look at this common state and use it as a source of truth to update their own balance sheets,” Tony McLaughlin, head of emerging payments at Citi Services, told PYMNTS.
Last month, Mastercard’s Multi-Token Network (MTN) connected to JP Morgan’s Kinexys digital payments to streamline cross-border B2B transactions.
Of course, regulatory clarity is central to the convergence of traditional crypto and financial functions.
Learn more: 3 ways AI is moving B2B technology from reactionary to anticipatory
How AI Gives a Boost to Back-Office Operations
Ultimately, as blockchain and AI reshape financial and payment processes, the role of finance leaders is also evolving.
“From the middle to the back office, they are no longer just a cost center. They are a value-added partner for everyone in the business,” Meghan Oakes, vice president of customer success at FIS, told PYMNTS. “There are many different aspects of the middle and back office that are now at the forefront of how businesses operate…Right now, 20-40% of businesses have just started to touch AI. This will accelerate and become table stakes.”
With the announcement that Google will unveil a platform on Friday, December 13 that provides businesses with artificial intelligence agents and AI-based searches, the capacity of technology as an agent of change within teams financial has only just begun.
“Many treasurers ask themselves, ‘How can I squeeze every last ounce of juice out of my financial ecosystem?’ “, Ambrish Bansal, global head of liquidity and liquidity concentration products for the Citi Treasury and Trade Solutions business, told PYMNTS.
AI helps eliminate human error and subjectivity in financial planning. By analyzing both structured data (such as income statements) and unstructured data (market reports, news), AI models can provide accurate forecasts, helping businesses plan for growth or expansion. slow down with confidence.
Among the innovations experts shared in “Outlook 2030: How Platforms and Networks Will Power the Future of Business Payments,” a PYMNTS e-book, five AI-driven advances stood out: cash flow forecasting, automation of repetitive tasks, smarter fraud prevention, personalized experiences, and unlocking data for richer insights.
As the PYMNTS Intelligence report “60 CFOs Can’t Be Wrong… AI Can Help Accounts Payable” reveals, effective and responsible AI integration in financial workflows is just beginning. And the future is bright.
