Karsten Wenzlaff, Advisor
August 26th, 2025
Karsten Wenzlaff is a Crowdfunding and Fintech Expert from Germany. He is Secretary-General of Digit[...]
Category Archives: Entrepreneurs, Start-ups, Small Businesses
Bank-Fintech Partnerships and Trends 2024
Fintech and Banking | Dec 7, 2023
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The Current State of Bank-Fintech Partnerships and Banking Trends and Insights
As we step into 2024, the financial landscape is undergoing a significant transformation, particularly in the realm of bank-fintech partnerships. A recent Forbes article by Ron Shevlin, titled "2024: The Beginning Of The End Of Bank-Fintech Partnerships," provides a thought-provoking perspective on bank-fintech partnerships which the importance has surged in the past few years highlighting that 70% of banks considered these partnerships crucial to their business strategies.
See: Revolut & Softbank Strike Deal to Remove UK License Barrier
These collaborations have been more than just about offering Banking as a Service (BaaS); they've aimed at enhancing lending productivity, growing deposit volumes, and increasing loan volumes. However, the results from these partnerships have been mixed. Only a third of banks have seen a significant increase in loan volume from these collaborations, and even fewer have realized gains in non-interest income.
Challenges and Misconceptions
Shevlin identifies several challenges hindering the success of these partnerships:
- Many banks, especially those with assets under $100 billion, lack dedicated staff for managing fintech partnerships.
- Mismatched organizational structure. The absence of a hybrid model combining centralized teams for IT integration and business line personnel for partnership execution hampers effectiveness.
- Fintech partnerships require specific skills and experience, which are often lacking in traditional bank staff. There is a lack of partnership competency.
Many of these so-called partnerships are, in reality, client-vendor relationships, lacking the shared risks and rewards typical of true partnerships.
See: Federal Reserve Launches Novel Activities Supervision Program Targeting Digital Assets and Non-Bank Partnerships via Banks
Shevlin predicts a decline in bank-fintech partnerships by the end of the decade. He foresees two possible paths for fintechs: either becoming established players in the banking industry or being acquired by larger bank tech firms. This prediction aligns with the trends observed in the bank tech space over the past two decades.
Implications for the Canadian Fintech Ecosystem
For Canadian fintechs and banks, this evolving landscape presents both challenges and opportunities. Banks are advised to:
- Shift from showcasing fintech partnerships as innovation to implementing tangible process improvements and revenue creation strategies.
- Banks should increase their investment in fintech startups and also actively implement their solutions.
- Innovation capacity should become a key factor in choosing fintech partners. Banks should adopt a more data-driven approach in assessing the innovation capacity of tech vendors.
Image by Freepik
2023 Banking Trends and Insights
The "What's Going On In Banking" 2023 report by Cornerstone Advisors offers a comprehensive overview of the current trends and technological advancements in the banking sector. These trends are shaping the future of banking:
- Banks are heavily investing in digital transformation, with a significant focus on adopting emerging technologies like cloud computing, APIs, robotic process automation, and machine learning. This shift is driven by the need to enhance efficiency, improve customer experience, and stay competitive.
- There's a growing emphasis on real-time payments. Many financial institutions are planning to deploy real-time payment systems in 2023, recognizing the need for faster, more efficient payment solutions.
See: Banks and API Ecosystem Strategies
- There's a noticeable shift in lending priorities. While commercial C&I loans and commercial real estate loans are gaining focus, other areas like mortgage/refi loans are seeing reduced priority.
- The banking sector faces significant challenges in staff retention and recruitment, amplified by the trend of remote and hybrid work models. Banks are adopting various strategies to attract and retain talent in a competitive market.
- Upcoming regulatory challenges, especially in areas like debit card interchange fees and routing, are poised to impact banks and credit unions, necessitating strategic adjustments.
- Despite economic challenges like potential recession and rising interest rates, there's a surprising level of optimism among banking executives. This optimism is buoyed by factors such as increasing loan rates and the potential for improved margins.
- Banks perceive Big Tech companies, megabanks, and fintechs as significant competitive threats. However, there's a notable decrease in the perceived threat from challenger banks compared to previous years.
Closing Thoughts
Banks must pivot from a transactional mindset to a more integrated, innovation-driven approach, focusing on mutual growth and value creation. Fintechs, on the other hand, must strive to carve out their niche, either by solidifying their presence in the banking sector or merging with larger entities.
See: A16z’s 2024 Big Ideas for Fintech, AI and Crypto
This period of transition is not just a challenge but a substantial opportunity for reinvention and growth in the banking sector. It calls for a strategic, thoughtful approach to partnerships, where the focus shifts from mere collaboration to achieving tangible, impactful results.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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FundMore x Senso AI Launch Solution to Transform Lending
Lending | Dec 6, 2023
Image by jcomp on Freepik
FundMore collaborates with Senso AI to launch an AI-driven underwriting assistant, transforming the lending industry.
FundMore, a leading mortgage underwriting software company, has recently announced its partnership with Senso AI, marking a significant step in the integration of Generative AI within its Loan Origination System (LOS). This collaboration introduces an advanced tool designed to automate and enhance data collation, creating Deal Summary Notes, and optimizing enterprise lending processes. The integration of Senso AI's Agent Fetch and Agent Echo products into FundMore's LOS promises to streamline decision-making and improve the quality of lending services.
Podcast: Taking the Mortgage Process From 40 Days to Minutes with Chris Grimes
Highlights:
- FundMore's LOS now features Generative AI capabilities, a first in a series of planned AI tools, aimed at automating lending processes and reducing human error and fraud risks.
- The collaboration with Senso AI focuses on leveraging AI to ingest and aggregate institutional knowledge, enhancing customer intelligence and opening new revenue opportunities.
- Senso AI's products, Agent Fetch and Agent Echo, will be integrated into FundMore's system, aggregating key documents and converting conversational data into actionable insights for an enhanced lending workflow.
- This AI-driven approach addresses current challenges in the lending industry, including risk, compliance, and data privacy, offering lenders a competitive advantage in a rapidly evolving market. The rise of AI in lending brings increased regulatory scrutiny. FundMore's solution helps lenders navigate these complexities, ensuring compliance, and data protection.
Chris Grimes, CEO of FundMore:
“AI is more than just a technological advancement; it’s a transformative tool for lenders to expedite lending, enhance customer interactions, and bolster compliance while supporting underwriters to reduce human error and fraud risk. Our commitment to leading the AI revolution in lending is in our name, this is just the first of a series of generative AI tools we plan to integrate into our LOS.”
Podcast: The Convergence of Data Intelligence and Money Algorithms with Saroop Bharwani, Founder and CEO Senso.ai
Saroop Bharwani, CEO Senso AI:
“Our partnership with FundMore integrates Senso’s generative AI capabilities within the LOS, delivering unparalleled value to the Canadian lending market through advanced automation and intelligent data aggregation.”
Why It's Important
By harnessing the power of AI, the partnership between FundMore and Senso AI enhances operational efficiency, accuracy, and also prepares lenders for future industry shifts. It's a forward-thinking move that positions FundMore at the forefront of technological innovation, offering a glimpse into the future of automated, intelligent lending solutions.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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EY 2024 Financial Sector Report: Navigating New Norms
Dec 4, 2023
EY's 2024 Strategic Guidance for Financial Firms Focusing on Compliance, Digital Transformation, and Operational Resilience
EY has published it's annual 2024 Global financial services regulatory outlook report highlighting the challenges and unprecedented opportunities for firms ready to adapt and excel in this dynamic environment.
As we approach 2024, markets are increasingly shaped by complex regulations, digital innovation, and a heightened focus on sustainability and consumer protection.
Report Overview
- Stay abreast of prudential developments, resolution, and recovery processes. Given the dynamic market conditions, it's crucial to be well-prepared for regulatory changes and heightened supervisory focus.
- Take a holistic approach to address a range of critical areas including consumer impact, environmental, social, and governance (ESG) factors, digital assets, the digitalization of finance, artificial intelligence (AI) integration, financial crime, and operational resilience. This comprehensive approach is key to staying competitive and compliant.
See: OSC/EY Report: AI in Fintech Use Cases
- Proactively develop a strategy for ongoing engagement with regulatory bodies, especially regarding new prudential developments. Understanding and anticipating regulatory shifts can position your firm for more effective compliance and strategic planning.
- Strengthen your firm’s capabilities in crisis management, ensuring that capital and liquidity standards are met. This will not only comply with regulatory requirements but also build trust with stakeholders.
- As digital transformation accelerates, establish strong governance frameworks to manage risks associated with digitalization and AI. This will maximize the benefits of these technologies while minimizing potential risks.
- Recognize the growing importance of digital assets and develop strategies that account for varying maturity levels and regulatory landscapes across jurisdictions.
- Integrate ESG factors into your business strategy, governance, and risk management. This includes setting clear targets and supporting sustainability disclosures, which are increasingly important to investors and regulators.
- Adapt to regulatory shifts that emphasize consumer protection in product offerings, pricing, and overall impact. This involves understanding the implications of new products and services and exploring alternative marketing channels.
See: PayPal’s Blockchain Vision As New Financial Rail
- Utilize technology to combat financial crime and fraud. It’s vital to have robust systems for monitoring, detection, and compliance.
- Learn from recent bank failures and other financial crises to strengthen your firm’s risk oversight and resilience governance. Operational resilience should be viewed as a strategic imperative, not just a compliance requirement.
- The economic outlook and regulatory environment are both uncertain and complex. Companies and investors need to stay informed about regulatory changes and adapt their business models accordingly. This involves a firm-wide commitment to setting priorities and tailoring business models to focus on people, processes, data, and technology.
EY's 2024 outlook presents a comprehensive roadmap for financial institutions, emphasizing the need for proactive regulatory engagement, digital agility, and robust operational frameworks.
Download the 28 page PDF report --> here
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Stanford Economist Declares ‘End of the Office Era’
Remote Work | Dec 4, 2023
Image by Freepik
Stanford University economist Nick Bloom declares that the "return to the office is dead," marking a significant shift in the U.S. labor market.
A recent CNBC article highlights the persistence of remote work as a permanent fixture in the post-pandemic world. During the early days of the COVID-19 pandemic, 61.5% of paid workdays were from home. This number decreased through 2022 but stabilized around 28% in 2023, still significantly higher than the pre-pandemic level of 7%.
See: Game-changer for Remote Work? Introducing the AR Laptop by Spacetop
Key Insights
- The percentage of work-from-home days has plateaued in 2023, indicating a new normal in the labor market.
- Remote work offers advantages like no commute, flexible schedules, and cost savings, equating to an 8% pay raise for employees and reduced expenses for employers. So benefits for everyone or a classic win-win?
- About 47% of employees capable of remote work were engaged in a hybrid model as of October 2023, blending in-office and remote work suggesting that hybrid arrangements will likely prevail.
- The strong job market since early 2021 has given employees leverage to seek better work arrangements, reinforcing the remote work trend.
- Long-term trends suggest an increase in remote work beyond 2025, driven by technological improvements and younger, more adaptable business leaders.
Why It's Important
The shift towards remote and hybrid work models is more than a temporary response to the pandemic; it's a fundamental change in how businesses operate and employees work. This evolution has massive implications for everything from corporate real estate and urban planning to employee well-being and productivity.
See: Debunking the Work/Life Balance Myth with Scott Galloway
For companies, embracing this change can mean access to a broader talent pool, reduced overhead costs, and improved employee retention. For workers, it offers unprecedented flexibility and work-life balance. Understanding and adapting to this shift is crucial for businesses and professionals aiming to thrive in the evolving landscape of work.
Has the return to the office chant plateaued?
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Amazon Launches ‘Q’ AI Chatbot for Businesses
AI | Nov 29, 2023
Image: Unsplash/Sunrise King
Amazon has recently unveiled 'Q', an innovative AI-powered chatbot designed for businesses operations offering tailored solutions and advice
Q was announced at Amazon’s re:Invent conference in Las Vegas, emphasizing its potential to revolutionize how businesses interact with AI technology and is trained on 17 years of AWS knowledge, offering tailored solutions and advice for a wide range of business queries.
It's priced at $20 per user per year and currently in public preview and can be integrated with various business-specific applications like Salesforce, Jira, Zendesk, and Gmail, allowing it to learn and adapt to a company's unique structure and needs.
In addition to leveraging innovative AI chatbots like Amazon's 'Q' for business operations, it's crucial for businesses to utilize comprehensive seller tools to maximize their efficiency and sales on platforms like Amazon. For those looking to optimize their Amazon selling strategies, check out our detailed guide on the Best Amazon Seller Tools.
Highlights
- The chatbot has advanced analytical capabilities and can analyze business data to identify customer pain points and suggest improvements, drawing from its extensive database and business-specific information.
- Beyond answering questions, Q can generate content like blog posts and emails, and execute tasks such as creating service tickets and updating dashboards, enhancing business efficiency.
See: Amazon’s Anthropic Investment Shaping Future Job Landscape
- Q is designed with a strong emphasis on security and privacy, ensuring that it only accesses and provides information that the user is authorized to see, addressing potential concerns about data privacy and AI ethics.
- Ties in with Amazon’s CodeWhisperer, enabling it to generate tests and draft plans for software development, further extending its utility in the tech development sphere.
Importance of 'Q'
Its ability to understand and interact with complex business environments, coupled with its emphasis on security and customization, positions it as a game-changer in the industry. Q offers businesses a powerful tool to enhance decision-making, automate routine tasks, and gain deeper insights into their operations. The integration of Q into various business functions promises to streamline processes, improve customer experiences, and foster innovation.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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ReliablyME Launches AI Accountability Coach GPT, Blending Philosophy & Tech
NCFA Member Innovation Spotlight | Nov 28, 2023
ReliablyME launches an AI-powered Accountability Coach GPT blending ancient philosophical wisdom and modern AI technology to offer a unique approach to personal and professional development.
- The ReliablyME Accountability Coach GPT is now accessible through ChatGPT Plus.
- The tool is designed for a wide range of users, including professionals, entrepreneurs, students, and anyone interested in disciplined goal-setting and ethical practices. It stands out as an accessible, flexible, and cost-effective coaching solution.
- Founded in 2018, ReliablyME has been committed to delivering innovative and effective coaching solutions. With its focus on ethical and balanced growth, the company continues to be a leader in developing tools and resources that empower individuals and organizations to reach their full potential.
Example Use Cases
1. Setting and Achieving Personal Goals
Users seek assistance in defining clear, achievable objectives using the SMART (Specific, Measurable, Achievable, Relevant, Time-bound) framework. This often involves exploring personal or professional goals, such as improving productivity, pursuing a new skill, or achieving a specific fitness target. Accountability Coach GPT guides users in formulating these goals in a manner that is aligned with Stoic principles of focusing on what is within their control and Taoist concepts of flowing with natural tendencies.
See: Entrepreneurial Spirit: How Does Business Education Affect Personality?
2. Developing Resilience and Mindfulness
Many users are interested in cultivating a resilient mindset and a more mindful approach to life, drawing upon Stoic practices for coping with adversity and Taoist principles for living in harmony with the natural world. This can include strategies for managing stress, dealing with unexpected life changes, or simply cultivating a more peaceful and focused state of mind.
3. Navigating Life Transitions and Decision-Making
Users often seek guidance during significant life changes or when facing important decisions. Here, the blend of Stoic and Taoist philosophies is particularly helpful. Stoicism provides a framework for accepting change and focusing on one’s response to it, while Taoism offers insights into intuitive decision-making and aligning actions with the natural course of events.
Image: Unsplash/Miquel Parera
Structured Approach to Accountability Coaching
Managing and encouraging commitments as the ReliablyME Accountability Coach GPT involves a structured approach that integrates philosophical principles with practical goal-setting and tracking methods. Here's how it might manage and encourage your commitments:
Step 1 - Understanding and Clarifying Motivations
Start by engaging users in discussions to understand their underlying motivations and desires. This helps in aligning their commitments with their true interests and values, which is crucial for long-term adherence and success.
Step 2 - Setting SMART Objectives
Guide users to define their commitments using the SMART framework (Specific, Measurable, Achievable, Relevant, Time-bound). This ensures that goals are clear, realistic, and trackable, which increases the likelihood of commitment adherence.
See: The Silent Mental Health Crisis: Leadership Burnout
Step 3 - Incorporating Stoic and Taoist Principles
- Stoicism: Emphasize the Stoic principle of focusing on what is within one's control. This helps in setting realistic commitments and developing resilience against external factors that might hinder progress.
- Taoism: Incorporate Taoist concepts of intuitive goal setting and Wu Wei (effortless action). This approach encourages users to align their commitments with their natural tendencies and flow, making them more manageable and in harmony with their life circumstances.
Step 4 - Encouraging Presence and Mindfulness
Through Stoic and Taoist practices, encourage users to be present and mindful. This helps them stay focused on their commitments and be aware of their progress and the challenges they face.
Step 5 - Journaling and Reflection
Regular journaling and reflection are encouraged to track progress, understand challenges, and acknowledge achievements. This self-reflection is a critical component of accountability and helps in maintaining commitment.
Step 6 - Adapting to Change
Guide users in developing flexibility and adaptability, crucial for maintaining commitments amidst life's inevitable changes. This includes revisiting and adjusting goals as necessary.
Step 7 - Regular Follow-ups and Accountability Checks
Conclude conversations with a commitment to a follow-up schedule. Users are encouraged to book check-in calls (using the provided Calendly link) to review progress and adapt future commitments. This regular check-in promotes accountability and continuous engagement with their goals.
Step 8 - Commitment Summary
At the end of each session, provide a summary of the conversation, including the commitments, plans, and key philosophical points. This summary is used by the user for their Calendly reservation, ensuring they have a clear record of their commitments and progress.
Image: Unsplash/Mathias Jensen
Looking Forward
By combining these strategies, ReliablyME's Accountability Coach GPT can help users not only set and manage their commitments but also develop a mindset and habits that support lifelong personal growth and development.
For more information, visit the website or Founder and CEO of ReliablyME (NCFA member) Alex Todd, contact info@ReliablyME.com.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Peloton Technologies Secures $2M in Seed Funding to Simplify SME Payments in Canada
Funding | Nov 27, 2023
Victoria-based Payments fintech, Peloton Technologies, successfully closes a $2 million late seed funding round to simplify payment processes for Small and Medium-Sized Enterprises (SMEs) in Canada.
Highlights
- The $2 million investment round, led by a group of undisclosed investors with expertise in payments, banking, and risk management, reflects strong confidence in Peloton's business model and growth potential. Peloton's platform is distinguished by its ability to integrate multiple payment methods across various financial institutions, offering a comprehensive and unified payments platform that is scalable and adaptable, growing alongside businesses.
- ISOs (Independent Sales Organizations): They provide a customizable and white-labeled solution for ISOs, ensuring a unified approach to payment processing.
- Merchants: The platform offers all the necessary tools for merchants to support their business growth.
- CEO/CFO Solution: This solution is tailored to maximize the benefits of corporate rewards cards for high-level executives.
See: CB Insights Global Fintech Q3 2023 & Canada Spotlight
- The Pacific Economic Development Agency of Canada declared a substantial investment in July 2023. This initiative, part of the Business Scale-Up and Productivity Program, led to Peloton Technologies receiving a notable $1.5 million funding, marking it as the highest-funded FinTech by PacifiCan. Building on this momentum, Peloton Technologies further expanded its capabilities by acquiring KIS Payments, a prominent Canadian payment processing firm, last month in October.
- Signaling robust expansion plans, the company is preparing for a larger capital raise in the first half of 2024.
Conclusion
Peloton Technologies' seed funding milestone signals the growing vigor of the Canadian fintech payments sector. Peloton Technologies positions itself as a versatile and growth-oriented payment platform, offering tailored solutions for a range of clients from ISOs to corporate executives, underlining their commitment to innovation in the payments industry.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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