How to transfer Apple Wallet funds to new iPhone

When you setup your new phone and “restore” from the backup of your prior device …

… most of the framework of your Wallet will transfer as well.

You will have to setup FaceID afresh, and you’ll probably need to individually re-verify each of your installed credit cards. (usually by entering the CVVs)

What is the status of the iPhone you lost? Have you marked iPhone as lost in Apple Find My app? Have you called the banks and told them to remove their cards from Apple Pay?