Plus: David Dodge says Canada’s open banking complacency due to “lack of political will.”
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Neo Financial launches secured credit card to help Canadians build credit (BETAKIT)
Following Neo Financial’s bet on embedded finance, the FinTech startup has launched a secured credit card designed to help Canadians build a history of borrowing and boost their credit scores.
The launch of Neo Secured Credit, Neo’s latest consumer product, takes place amid a tough consumer-banking market fuelled by high inflation and interest rates.
Robinhood Eyes Banking Market With $95M Credit Card Acquisition (CRUNCHBASE)
Robinhood, the stocks trading platform that was once geared for novices, is slowly making its way into banking.
The company announced on Thursday it acquired X1, a credit card startup, for $95 million in cash. The deal is expected to close by the third quarter of 2023.
Shopify makes checkout solution Shop Pay available to enterprise retailers not using Shopify (BETAKIT)
Shopify is making its one-click online checkout solution, Shop Pay, available to enterprise retailers not currently using Shopify.
This Shop Pay expansion marks the latest move on one front of the battle for e-commerce supremacy, as Shopify, Amazon, and other players compete to own the checkout experience.
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Canada’s outdated banking and payments system costs consumers greatly (THE GLOBE AND MAIL)
David Dodge, former governor of the Bank of Canada and deputy minister of finance, says Canada’s slow implementation of an open banking system is due to a “lack of political will,” regulatory silos, and the incumbent interests entrenched in Canada’s evolving economy.
Wealthsimple co-founder Michael Katchen also took to LinkedIn to voice the company’s anticipation for the system, calling it as “meaningful public utility as a highway or broadband internet.”
Chexy raises $1.3 million for platform that lets tenants pay rent with credit cards (BETAKIT)
Toronto-based startup Chexy, which offers a rewards platform for renters, has launched its platform and raised $1.3 million CAD in pre-seed funding.
Through Chexy, tenants can collect rewards by spending with brands like Nike, Apple, and Sephora, allowing them to reduce their rental payments by redeeming their cash back.
Properly hires investment bank Raymond James, mulls buyout offer (THE GLOBE AND MAIL)
A few months after Properly shifted away from its home sale guarentee citing “unprecedented volatility,” the real estate tech startup has hired an investment bank to consider options including a sale.
Collision will remain in Toronto for 2024 (BETAKIT)
Collision has officially announced that Toronto will host its tech event in 2024.
The one-year extension of the original 2019 deal comes after BetaKit reported the future of the conference was in question due to the departure of Mayor John Tory and increased financial asks.
Apple restarts talks for Apple Pay launch in India (TECHCRUNCH)
Apple has engaged with many Indian authorities and officials in recent weeks and plans to soon hold conversations with NPCI for the launch of its payments service Apple Pay in the South Asian market.
2022 angel investment in Canada mirrored VC dip, dropping 37 percent year-over-year (BETAKIT)
According to NACO, despite record demand, total angel investment in Canada during 2022 fell 37 percent year-over-year to $166 million CAD. Last year, angel organizations facilitated 653 investments in 379 companies.
While deal count rose slightly in 2022 compared to 2021, NACO noted a trend towards follow-on angel investments.
Volt, an open banking fintech for payments and more, raises $60M at a $350M+ valuation (TECHCRUNCH)
Volt, the UK open banking startup that recently partnered with Shopify, has raised $60 million in a Series B round of funding, money it will be using for international expansion and to expand its product.
Rollout of Canada’s Real-Time Rail payment system delayed again as project undergoes second review this year (BETAKIT)
Payments Canada has announced that the launch of the country’s forthcoming Real-Time Rail (RTR) payment system has been delayed once more.
The organization cited “current delivery delays, unrelated to the exchange technology components,” adding that it is also conducting another review.
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