Category Archives: Fundraising, Investing, Trading

NCFA Weekly Fintech Intelligence Sep 12-18, 2026

Sep 12, 2026 | Last Updated Sep 22, 2026 | Artificial Intelligence And Data, Capital Markets Infrastructure And Funding, Regulation And Policy, Digital Assets Blockchain And Tokenization, Digital Banking And BaaS, Open Banking Open Finance And Data Sharing, Payments Infrastructure And Money Movement, Cross Border Payments And FX, Lending Consumer Credit And BNPL, Cybersecurity Fraud And Financial Crime

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This live weekly NCFA intelligence page tracks financial technology developments that significantly affect how fintechs build, sell, raise capital, and operate under scrutiny. Coverage prioritizes Canada and includes global events that directly influence competitive conditions, market access, and execution realities across fintech sectors. This page will be updated throughout the week with market movers in a live format and then each week we'll close the prior week's contents in prep for the upcoming week, and continue on a rolling basis. (Missed prior week's Fintech Whisperer? (December 6-12, 2025, December 13-19, 2025, January 1-9, 2026, January 10-16, 2026, January 17-23, 2026, January 24-30, 2026, January 31-February 6, 2026, February 7-13, 2026, February 14-20, 2026, February 21-27, 2026, February 28-March 6, 2026, March 7-13, 2026, March 14-20, 2026, March 21-27, 2026, March 28-April 3, 2026, April 4-10, 2026, April 11-17, 2026, April 18-24, 2026, April 25-May 1, 2026, May 2-8, 2026, May 9-15, 2026, May 16-22, 2026, May 23-29, 2026, May 30-June 5, 2026, June 6-12, 2026, June 13-19, 2026, June 20-26, 2026, June 27-July 3, 2026, July 4-July 10, 2026, July 11-July 17, 2026, July 18-24, 2026, July 25-July 31 2026, August 1-August 7, 2026, August 8-August 14, 2026, August 15-August 21, 2026, August 22-August 28, 2026, August 29-September 4, 2026, September 5-September 11, 2026).

Weekly Fintech Market Intelligence Sep 12 - Sep 18, 2026

Capital Markets Infrastructure And Funding

CFTC Broadens Registration Relief for Passive Trading Software

September 17, 2026, United States
  • The CFTC Market Participants Division issued a no action position for providers of passive software that facilitates trading with registered futures commission merchants, introducing brokers and designated contract markets.
  • Subject to specified conditions, staff will not recommend enforcement for failure by qualifying providers or relevant personnel to register as introducing brokers or associated persons.
  • The position is similar to relief granted earlier in Staff Letter 26-09 but is now broadly available to passive software providers that meet the conditions.

The relief gives trading apps, software developers and wallet interfaces a clearer way to connect users with regulated derivatives markets without automatically entering the introducing broker registration perimeter. Firms still need to test their activities against the letter's conditions, especially where software takes a more active role in solicitation or execution.

SEC Opens Five Year Pathway for Tokenized U.S. Stock Trading

September 17, 2026, United States
  • The SEC granted temporary conditional relief allowing Tokenized Securities Venues to trade tokenized National Market System stocks through permissioned automated market makers and liquidity pools.
  • Eligible venues receive conditional relief from the Exchange Act definition of an exchange, while qualifying liquidity providers can receive temporary relief from the dealer definition.
  • Conditions include equivalent shareholder rights, issuer notification for certain third party tokenization, public and auditable smart contracts, synchronized trading halts and limits on trading activity. The exemptions expire five years after publication.

Tokenized U.S. equities now have a defined regulatory route for limited onchain secondary trading. Venues, liquidity providers and infrastructure firms can assess whether their technology, custody, smart contracts and market controls meet the conditions rather than waiting for a complete rewrite of securities market rules.

Portage Closes US$600M Fintech Ventures IV

September 16, 2026, Canada / Global
  • Portage closed Ventures IV at US$600 million, adding another large dedicated pool of capital for fintech and financial services companies.
  • The fund includes commitments from existing institutional investors and new strategic limited partners including Broadridge and Fifth Third Bank.
  • Portage invests across financial services categories including banking, insurance, consumer and SME finance, wealth management and fintech infrastructure.

A US$600 million final close gives one of Canada's largest fintech investors substantial capital to deploy while venture markets remain selective. The size of the fund also keeps Canadian based investment capacity relevant in financing fintech companies that may need several rounds of private capital before reaching an acquisition or public market.

Canada Investment Summit Mobilizes Nearly C$500B

September 15, 2026, Canada
  • The federal government says the first Canada Investment Summit resulted in nearly C$500 billion in new investment commitments, including almost C$325 billion of financing from major Canadian banks and nearly C$100 billion from pension funds, insurers and institutional investors.
  • CPP Investments and Brookfield launched the C$50 billion Maple Fund, while TD committed C$150 billion, Scotiabank more than C$100 billion and BMO C$70 billion for Canadian businesses, infrastructure and strategic sectors.
  • The government also announced a Productivity Mega Deduction that expands immediate deductions for business assets and says Canada's marginal effective tax rate on new investment will fall from roughly 13% to 6.4%.

Canada is putting much larger pools of private financing beside more aggressive investment tax treatment. The question for fintech and technology companies is how much of that capital reaches growth businesses, AI, cybersecurity and commercialization. NCFA's RBCx scaleup analysis shows why Canadian companies still need more late stage domestic capital to scale at home.

Regulation And Policy

FCA Finalizes Crypto Perimeter Guidance Ahead of 2027 Regime

September 16, 2026, United Kingdom
  • The FCA published final perimeter guidance explaining which cryptoasset activities may require authorization under the UK's new regulatory regime, including stablecoin issuance, trading platforms, dealing, arranging, safeguarding and staking.
  • The expanded regulatory perimeter takes effect October 25, 2027. Existing FSMA authorizations, MLR registrations and payment or e-money permissions will not automatically cover newly regulated cryptoasset activities.
  • The authorization application window opens September 30, 2026 and closes February 28, 2027 for firms seeking access to the savings provisions.

UK crypto firms now have a defined test for which activities require permission and a live timetable for entering the new regime. Firms need to map each product, custody arrangement, trading function and technical role to the perimeter before the application window closes, rather than relying on existing registrations to carry forward.

U.S. Senate Fails to Advance CLARITY Act

September 15, 2026, United States
  • The U.S. Senate voted 50-49 on the procedural motion to advance the CLARITY Act, short of the 60 votes required to end debate and proceed.
  • The legislation would establish a federal market structure for digital assets and divide regulatory responsibilities between the Securities and Exchange Commission and Commodity Futures Trading Commission.
  • The failed procedural vote leaves the bill stalled unless Senate leaders bring it back for reconsideration or pursue another legislative approach.

The Senate vote leaves U.S. digital asset firms without the federal market structure framework the bill was intended to establish. Exchanges, issuers and other market participants remain exposed to existing SEC and CFTC rules while Congress decides whether the legislation can be revived.

Canada Fast Tracks Tax Rulings For C$1B Investments

September 14, 2026, Canada
  • The Canada Revenue Agency is prioritizing Advance Income Tax Ruling requests tied to investments of C$1 billion or more, effective September 14.
  • Advance rulings give taxpayers a binding CRA determination on how Canadian tax law applies to proposed transactions before capital is committed.
  • The measure implements the Spring Economic Update commitment to prioritize rulings for large projects, productivity enhancing investment and projects in critical sectors.

Tax certainty is becoming part of Canada's large investment toolkit. Faster binding rulings can affect financing structures, project economics and investment approvals when tax treatment needs to be settled before significant capital is committed.

FCA Seeks Views On Tokenized Gold

September 14, 2026, United Kingdom
  • The Financial Conduct Authority is seeking views on whether tokenized gold could improve how gold is traded, transferred, pledged and held in UK markets.
  • The FCA is examining whether regulatory treatment could support efficiency and competitiveness while maintaining market integrity and consumer protection, with feedback due October 23.
  • The work follows the FCA and Bank of England's wholesale tokenization review, where market participants raised gold as a potential tokenized asset and collateral use case.

The FCA has taken tokenized gold beyond the exploratory stage covered in NCFA's earlier wholesale collateral analysis. Market participants now have a defined regulatory input window on ownership, transfer, pledging and potential market treatment before authorities decide whether more specific rules are warranted.

Digital Assets Blockchain And Tokenization

OCC Conditionally Approves Bastion National Trust Bank Conversion

September 18, 2026, United States
  • The OCC conditionally approved Bastion Platforms Trust Company's conversion from a New York state trust company into Bastion Platforms National Trust Company, an uninsured national trust bank.
  • The approved business plan includes white label stablecoin issuance, fiduciary custodial wallets, conversion services for custody customers and issuer services for other regulated stablecoin issuers.
  • The bank will not take deposits or carry FDIC insurance. Bastion must complete the OCC's conversion requirements before operating under the national charter.

Bastion now has a federal route for bringing stablecoin issuance, custody and conversion infrastructure under one OCC supervised trust bank structure. Enterprise clients evaluating white label stablecoin programs gain another federally supervised infrastructure provider, while Bastion still needs to complete the conversion requirements before operating under the national charter.

OCC Gives Agora Preliminary National Trust Bank Approval

September 18, 2026, United States
  • The OCC granted preliminary conditional approval for Agora National Trust Bank, a proposed uninsured national trust bank owned by Agora Atlas Corp.
  • The proposed bank would support dollar backed stablecoin issuance and reserve maintenance, digital asset custody, payment and settlement services, cross border transactions and fiduciary investment advisory services for institutional customers.
  • Agora plans to transition AUSD issuance from Agora Bermuda to the bank after establishment. Final approval and authorization to commence business remain subject to OCC preopening requirements.

Agora now has a federal charter route for moving AUSD issuance, custody and transaction services into an OCC supervised trust bank. The approval gives institutional stablecoin infrastructure a clearer federal operating structure, but Agora cannot begin business through the proposed bank until it satisfies the OCC's preopening conditions.

Hong Kong Sets Digital Asset and Tokenization Priorities for 2026

September 16, 2026, Hong Kong
  • Hong Kong's 2026 Policy Address calls for enhanced virtual asset licensing regimes and more specific regulatory guidance for virtual asset service providers.
  • The government plans to improve the regulatory framework for tokenized investment products, including gold and other suitable real world assets on licensed platforms, and promote regulated stablecoin trading and their use in settling tokenized money market funds.
  • The Hong Kong Monetary Authority plans to implement central bank digital currency settlement and 24/7 operations under EnsembleTX around the end of 2026 while continuing work on additional tokenized deposit use cases.

Hong Kong is coordinating licensing, tokenized securities, stablecoins and settlement infrastructure within one policy program rather than treating them as separate initiatives. Financial institutions and digital asset firms can plan against a clearer sequence of regulated distribution, tokenized cash settlement and round the clock infrastructure as the individual measures are implemented.

Standard Chartered Adds LMAX Digital Asset Custody

September 16, 2026, Luxembourg / United Arab Emirates
  • Standard Chartered has been appointed digital asset custodian for LMAX Group through Standard Chartered Luxembourg and its DFSA regulated DIFC branch.
  • LMAX is the first client onboarded to Standard Chartered Luxembourg's digital asset custody platform following the bank's MiCA authorization.
  • The custody relationship expands a partnership that already includes live institutional digital asset prime brokerage trades completed by Standard Chartered and LMAX in July.

LMAX is now using Standard Chartered for regulated institutional custody in both Europe and the Middle East. The arrangement gives the bank a live client for its Luxembourg custody platform and extends the pair's relationship from trading and credit intermediation into asset safekeeping.

Lending Consumer Credit And BNPL

Credit Acceptance Settlement Imposes New Subprime Auto Lending Controls

September 17, 2026, United States
  • A coalition of 41 states secured a settlement with Credit Acceptance Corporation providing US$694 million in cash and debt relief connected with consumer auto loans.
  • The agreement includes US$60 million in cash restitution, US$388 million in debt relief for certain borrowers whose vehicles were repossessed and US$246 million for qualifying borrowers whose vehicles were not repossessed.
  • Operating requirements include loan risk disclosures, protections for certain loans that fail quickly, vehicle price limits for specified borrowers, dealer monitoring and controls around vehicle service contract and GAP product sales.

The settlement reaches directly into loan design, pricing, disclosure and dealer oversight rather than ending with a financial penalty. Auto lenders and lending platforms serving higher risk borrowers should review affordability controls, dealer incentives, add on products and post origination relief processes against the practices targeted by the agreement.

Artificial Intelligence And Data

OCC Gives Catena Preliminary National Trust Bank Approval

September 18, 2026, United States
  • The OCC granted preliminary conditional approval for Catena Trust Bank, N.A., a proposed national trust bank owned by Catena Labs.
  • The proposed bank would provide custody, investment management, trust, conversion, clearing and execution services across fiat currency, investment securities and digital assets, including payment stablecoins.
  • Catena is building the institution around financial activity by AI agents, with controls for credentials, authority and policy enforcement. Final approval and authorization to open remain subject to OCC preopening requirements.

Catena puts an AI agent focused financial model inside the federal trust bank charter process. If it completes the OCC requirements, businesses could combine agent permissions with custody, investment management and transaction services under one supervised institution, creating a regulated test case for how autonomous software can be given financial authority without removing business control.

Digital Banking And BaaS

Revolut Secures Colombia Banking Licence

September 15, 2026, Colombia
  • Revolut received its licence to operate from Colombia's Superintendencia Financiera, completing the final regulatory requirement before it can launch banking services in the country.
  • The approval brings Revolut's banking licences to six markets worldwide, alongside the United Kingdom, France, Australia, Lithuania and Mexico.
  • Revolut says around 200,000 Colombians have already joined its waitlist ahead of launch.

Colombia gives Revolut another market where it can operate through its own regulated bank rather than relying only on partner institutions. The approval follows its recent conditional U.S. bank approval, showing how the company is assembling local banking permissions market by market while retaining one global product and technology platform.

Open Banking Open Finance And Data Sharing

AIB Enforces Open Banking API v4.0.1

September 14, 2026, Ireland / United Kingdom
  • AIB ROI and AIB UK updated their Open Banking APIs to Open Banking Limited specification v4.0.1 on September 14.
  • Requests submitted from September 14 must align with v4.0.1, and AIB warns that requests that don't comply with the latest specification may be rejected.
  • The API endpoints remain unchanged, while the update includes changes to the Referred Document Amount schema and regex requirements.

Open Banking API versioning is now a production dependency for firms connected to AIB. Third party providers need current payloads and validation rules in production because specification mismatches can translate directly into rejected requests and disrupted customer flows.

Payments Infrastructure And Money Movement

Saudi And Qatar National Cards Begin Cross Border Acceptance

September 15, 2026, Saudi Arabia / Qatar
  • The Saudi Central Bank and Qatar Central Bank began a gradual rollout allowing Saudi mada cards to be accepted in Qatar and Qatar's HIMYAN cards to be accepted in Saudi Arabia.
  • The rollout follows completion of technical and operational integration between the two national payment systems.
  • The connection builds on GCC-NET, which supports ATM withdrawals and point of sale payments using national debit cards across Gulf Cooperation Council markets.

Two national card systems are becoming directly usable across each other's markets without requiring a separate international card product. For banks, payment providers and merchants in the Gulf, deeper national network interoperability can lower reliance on additional payment layers while giving customers more ways to use domestic cards when travelling across the region.

Pidgin Opens FedNow and RTP Access to Nearly 300 Credit Unions

September 15, 2026, United States
  • Millennium Corporate Credit Union is giving nearly 300 member credit unions access to FedNow, The Clearing House RTP network and stablecoin capabilities through Pidgin's unified payments platform.
  • Pidgin connects core processing, digital banking applications and multiple payment networks while keeping funds at the financial institution rather than in a fintech controlled holding account.
  • More than 1,000 community financial institutions now have access to Pidgin's instant payment capabilities through its clients, including more than 100 institutions using the platform directly.

Instant payment access is reaching smaller financial institutions through shared infrastructure rather than individual rail integrations. Credit unions can add FedNow, RTP and future digital payment capabilities while retaining their core systems and control of member funds, reducing one of the technical barriers that can separate community institutions from larger banks.

ECB Opens Digital Euro Pilot to Online and Mobile Merchants

September 15, 2026, Euro Area
  • The Eurosystem opened applications for ecommerce and mobile commerce merchants operating in the euro area to participate in the digital euro pilot.
  • The merchant call follows the selection of participating payment service providers and will use a beta version of the digital euro.
  • The pilot will test technical functionality, operational processes and user experience through payments involving a limited group of individual and business users.

The digital euro program is entering practical merchant and payment provider testing rather than remaining a design exercise. Participating firms can now test integration, checkout, payment acceptance and operational workflows, giving the Eurosystem direct evidence on how a potential digital euro would function inside everyday commerce.

HKDAP Runs Through Live Enterprise Settlement Workflows

September 14, 2026, Hong Kong
  • Payment Asia, OSL and Anchorpoint implemented B2B settlement using HKDAP, a regulated Hong Kong dollar backed stablecoin, across real logistics and hospitality transactions.
  • The workflow covered fiat funding, token minting, business payment, same day reconciliation, redemption and burn, linking each settlement to verified commercial records.
  • Payment Asia used HKDAP to settle completed logistics services with ShipAny and eligible hotel, day stay and workspace services booked through Flow.

Regulated stablecoin infrastructure is entering ordinary business settlement rather than stopping at issuance and transfer tests. The workflow adds operating evidence to NCFA's question of whether stablecoins are becoming payment infrastructure, with treasury value now depending on reconciliation, redemption and commercial recordkeeping as much as token transfer.

Cross Border Payments And FX

Banking Circle Expands OSL Settlement to Six Major Currencies

September 15, 2026, Europe / Asia Pacific / Global
  • Banking Circle expanded its OSL relationship beyond EUR by adding AUD, GBP, HKD, SGD and USD settlement coverage.
  • OSL institutional clients can receive, convert and settle funds through BC-Now, Banking Circle's 24/7 instant payment network, across the expanded currency set.
  • The arrangement gives OSL one regulated banking infrastructure connection for multi-currency settlement rather than requiring separate banking relationships in each market.

OSL can now handle funding and settlement across six major currencies through one banking relationship instead of assembling separate connections market by market. For institutional digital asset clients, that can simplify fiat access, treasury operations and liquidity management while keeping settlement connected to regulated banking infrastructure.

Thunes Adds Payout Access Across Six Middle East Markets

September 14, 2026, Middle East / Global
  • Thunes expanded its Direct Global Network into Bahrain, Lebanon, Oman, South Yemen, Syria and the United Arab Emirates.
  • Network members can now process local currency payouts to bank accounts, mobile wallets and cash pickup locations depending on the destination market.
  • Members can access the new payout coverage through direct API integration or existing Swift connectivity, extending a network that Thunes says reaches more than 140 countries and 90 currencies.

The expansion gives Thunes customers more ways to reach recipients across six additional markets through one network connection. That reduces the number of local payout relationships a cross border provider needs to manage while extending access across bank accounts, wallets and cash pickup channels.

Risk Compliance And Regtech

EBA Finalizes Third Party Risk Guidelines for Non ICT Services

September 18, 2026, European Union
  • The European Banking Authority published final guidelines for managing third party risk involving non ICT services, with particular focus on arrangements supporting critical or important functions.
  • The guidelines cover the full lifecycle of third party relationships, including risk assessment, due diligence, contracting, subcontracting, monitoring, documentation and exit strategies.
  • A two year transitional period will support implementation. Once applicable, the guidelines will replace the EBA's existing Guidelines on outsourcing arrangements.

European financial institutions will need to extend structured third party risk controls beyond ICT services into other critical outsourced functions. Banks, payment firms, investment firms and cryptoasset businesses should review how they identify material providers, document due diligence, monitor subcontracting and plan exits as the new framework replaces the existing outsourcing regime.

Cybersecurity Fraud And Financial Crime

S&P Global Agrees to Acquire OpenZeppelin

September 17, 2026, United States / Global
  • S&P Global agreed to acquire OpenZeppelin, whose smart contract security services and open source contract libraries support infrastructure used across stablecoins, tokenized funds, DeFi protocols and institutional digital asset markets.
  • OpenZeppelin Contracts underpin more than US$37 trillion in value transferred, and the company has completed more than 900 security engagements for protocols and institutions.
  • S&P Global plans to combine OpenZeppelin's onchain security expertise with its risk assessment, benchmarks and institutional distribution capabilities. OpenZeppelin will continue operating as a separate business unit after closing.

The acquisition places widely used smart contract security infrastructure inside a major institutional ratings and market intelligence group. Banks, asset managers and tokenization firms could gain broader access to onchain security assessment and benchmarking, while control of a key security provider shifts closer to the institutions building regulated digital asset products.

Weekly Close

Capital is available, but access is being defined more tightly through licences, exemptions, APIs, settlement rails and operating controls. For Canadian fintechs, the way forward is to stay abreast of these changes early and building around the permissions, infrastructure and compliance requirements before they become standard market expectations.

Get the weekly Whisperer and related market intelligence through NCFA's newsletter, view the latest fintech insights, industry research, or launch into emerging financial innovation opportunities.


NCFA Canada logoThe 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

NCFA Financial Innovation MapNCFA Innovation Opportunity BriefsNCFA Fintech Insights
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SEC Grants 5 Year Exemption for Tokenized Stocks

September 18, 2026 | NCFA Insight | Blockchain, Crypto, Digital Assets, Tokens, CBDCs, Stablecoins, Metaverse, NFTs, Capital Markets Infrastructure And Funding, Regulation And Policy, Trading And Market Structure

AI Image – Regulated onchain trading network for tokenized U.S. stocks

Real U.S. Shares Can Trade Onchain Under Strict Limits

On September 17, 2026, the U.S. Securities and Exchange Commission granted a tokenized stock exemption for five years, allowing eligible tokenized U.S. listed stocks to trade through a new category of Tokenized Securities Venue, such as permissioned automated market makers and liquidity pools without registering as national securities exchanges, provided they meet the SEC's conditions. Certain firms supplying their own capital to those pools also receive limited relief from the Exchange Act definition of dealer.

The exemption applies to tokenized National Market System (NMS) stocks that carry the same rights and privileges as the conventional shares they represent, including dividends and voting rights. A token that only follows a company's share price does not qualify, and synthetic products that provide price exposure without the same shareholder rights are excluded.

See: BGC Launches Compute Infrastructure Markets

SEC Chair Paul Atkins said the exemption is intended to help “bring America's capital markets into the digital age,” while the agency considers whether permanent rules are needed for onchain securities trading.

The relief doesn't remove existing securities law protections. Anti fraud and anti manipulation rules still apply, and tokenized trading remains connected to the underlying listed market. Investors may use different trading and settlement technology, but the security itself remains the same legal share.

The SEC Is Limiting How Far the Test Can Go

The SEC has placed firm limits on how large tokenized trading can become during the five year test.

  • Tier 1 venues can offer up to 75 stocks, with trading limited to 0.25% of each stock's prior month average daily share volume
  • Tier 2 expands that to 250 stocks, with tokenized trading capped at 2.5% of each stock’s normal daily trading volume

For example, if a stock normally trades 10 million shares a day, those limits would equal about 25,000 shares under Tier 1 and 250,000 under Tier 2. Repeated breaches can force a tokenized stock off the venue for three months, while trading must stop whenever the underlying listed stock is halted or suspended.

The technology also has to remain visible to regulators. Smart contracts must be publicly auditable and deployed on a public permissionless distributed ledger, even though access to the trading pool itself remains permissioned. If an unaffiliated third party wants to tokenize a company's shares, the issuer must receive at least 30 days notice before trading begins and can object to the stock being offered on the venue.

The SEC is also working on the ownership and recordkeeping side of digital securities. On September 1, it proposed updated transfer agent rules that address blockchain based records and uncertificated securities. Trading therefore forms only one part of the regulatory work. Transfer records, shareholder ownership and settlement still have to remain accurate when securities move onto distributed ledger infrastructure.

The tokenized stock market is still small compared with conventional U.S. equities. Reuters Breakingviews estimated the market at roughly US$3 billion in value and less than US$30 billion in monthly trading volume earlier this week.

The SEC says tokenization may support longer trading hours, faster settlement, fractional ownership and self custody, but those benefits still have to be demonstrated in practice. On the same day it issued the exemption, the agency also held a roundtable on 24 hour equities trading covering settlement, liquidity, cyber resilience, staffing and market data. Traditional exchanges are extending trading hours while tokenized venues are testing different trading and settlement infrastructure around the same underlying securities.

Canada Is Testing Tokenization From a Different Direction

Canada is already testing tokenized capital markets through a different mix of projects. The Canadian Securities Administrators say more than 240 organizations have participated in Project Tokenization, including issuers, fintechs, custodians, marketplaces and clearing agencies. The work is examining practical use cases, regulatory barriers and whether temporary exemptions may be needed for live testing.

Canada is also testing tokenized debt and settlement through Project Samara. RBC, TD Securities, the Bank of Canada and Export Development Canada tested a C$100 million tokenized EDC bond, secondary trading, coupon payments, redemption and settlement using wholesale central bank deposits. The U.S. is now testing tokenized secondary trading in listed equities, while Canada is testing bonds, settlement and other parts of market infrastructure.

See: Canada Tests Tokenization Across Capital Markets

For Canadian exchanges, dealers and fintechs, the SEC exemption provides a live example of how tokenized trading can be introduced without removing issuer rights or existing market controls. The five year test will generate evidence on liquidity, settlement, custody, investor demand and operating risk that Canadian regulators and market participants can compare with results from domestic projects.

The competitive risk for Canada is less about an immediate loss of stock trading volume and more about where tokenized market infrastructure develops first (not to mention retail attention, capital & talent and issuer & exchange competition). The U.S. now gives firms a five year window to build venues, liquidity, custody and investor products around real listed shares. If that attracts developers, capital and users, Canadian exchanges and fintechs could end up adopting models proven elsewhere rather than building them first at home.

Talking Point

If tokenized shares can keep the same shareholder rights while using different trading, custody and settlement infrastructure, which parts of today's capital markets stack will still earn their place in the future?


NCFA Canada logoThe 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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NCFA Fintech WhispererNCFA Fintech Fridays PodcastNCFA Weekly Newsletter

 

Scotiabank Joins US$22B AI Chip Financing

September 18, 2026 | NCFA Market Activity | Artificial Intelligence And Data, Capital Markets Infrastructure And Funding, Banking And Financial Institutions

AI Image – AI data centre hardware and financial analytics for large scale compute financing

Ten Banks Finance Google TPUs and Customer Contracts

On September 16, 2026, a group of ten banks including Scotiabank agreed to provide a US$22 billion AI infrastructure loan to Crux AI, a new U.S. based cloud venture backed by Blackstone and Alphabet. Goldman Sachs, Sumitomo Mitsui Banking Corp., Barclays and BNP Paribas are also among the lenders, according to Reuters. The US$22 billion applies to the full lending group rather than Scotiabank individually. Scotiabank's own commitment and economics haven't been disclosed, and the bank didn't comment publicly on the transaction.

The financing will fund purchases of Google's Tensor Processing Units (TPUs) specialized processors used to train and run AI models. The debt is backed by the processors and Crux AI customer contracts, giving lenders support from both the hardware and revenue tied to demand for its computing capacity. Both can change quickly as newer processors enter the market and customers reassess how much compute they need.

See: BGC Launches Compute Infrastructure Markets

The lenders are also working to bring additional banks into the loan through syndication, which would spread the exposure across a larger group. Several banks are reportedly providing a separate US$1 billion revolving credit facility, while the main debt could later be refinanced through the investment grade bond market. That would allow more of the financing to move from bank balance sheets to institutional investors.

AI Chips Are Becoming Financeable Infrastructure

Crux AI combines large amounts of equity, debt and specialized hardware in one infrastructure business. When Blackstone and Google announced the venture in May, Blackstone committed an initial US$5 billion in equity. Google is supplying TPUs, software and services, while Crux expects to bring its first 500 MW of capacity online in 2027. Customers will be able to buy data centre capacity, networking, operations and access to Google TPUs without building the facilities or buying large quantities of processors themselves.

The US$22 billion loan shows that banks are willing to finance AI processors against both the equipment and contracted demand for the computing capacity they provide. Expensive chips can therefore support large infrastructure loans when lenders are comfortable with the hardware, customer contracts and expected demand. In June, BGC launched compute infrastructure markets for trading, price discovery and risk management around compute and memory capacity. The Crux deal adds bank credit to a market that is already developing ways to trade and price computing capacity.

The Collateral Comes With Technology Risk

Traditional infrastructure lenders can estimate the useful life and resale value of assets such as buildings, power equipment or transportation fleets. AI processors are harder to value over long periods because a chip can remain technically useful while losing economic value quickly when a newer generation delivers more computing power at a lower operating cost. Customer contracts can reduce that risk because lenders aren't relying on hardware value alone, but those contracts still depend on customer quality, pricing, duration and continued demand for the underlying compute.

See: Goldman Sachs Buys Québec AI Compute Platform QScale

Bringing more banks into the facility spreads the exposure across a larger lending group. If some of the debt is later refinanced in the investment grade bond market, pension funds, insurers and other institutional investors could also gain exposure to AI infrastructure. That would widen the pool of capital available for new data centres and processors while spreading technology and credit risk across more investors.

Scotiabank's participation puts a Canadian bank inside one of the largest reported financings built around AI compute. It does show that global banks are prepared to finance AI hardware and contracted compute demand at a scale once associated with traditional infrastructure projects.

Talking Point

If AI processors and compute contracts can support tens of billions of dollars in bank debt, what happens to that financing model when a new generation of chips changes the value and economics of the collateral before the loans mature?


NCFA Canada logoThe 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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Canada, Germany Back LawZero With Up to C$300M for Sovereign AI

September 18, 2026 | NCFA Insight | Artificial Intelligence And Data, Capital Markets Infrastructure And Funding, Public Sector Policy And Industrial Strategy, Risk Compliance And Regtech

AI Image – Concept illustration of Canada and Germany supporting sovereign AI research, compute and secure technology infrastructure

Canada Invests C$150M in AI Research, Talent and Compute

On September 16, 2026, Canada and Germany announced plans to fund Montréal based LawZero sovereign AI, with Canada committing C$150 million and Germany planning €100 million. Canada's funding comes from the Strategic Response Fund, while Germany's contribution remains subject to notification by the European Commission.

LawZero is a not for profit AI research organization founded in 2025 by Yoshua Bengio after incubation at Mila. The new funding supports research and engineering talent, computing capacity and its Scientist AI program, with an expected 360 full time jobs in Canada. LawZero also plans dedicated Canadian computing infrastructure with Hypertec and 5C, giving its researchers domestic capacity for model development and data processing.

See: Canada AI Strategy Confronts Capital Flight

Scientist AI is designed differently from autonomous AI agents that pursue goals and take actions. LawZero is developing a system that evaluates evidence and produces probabilistic predictions without pursuing objectives of its own. Researchers also want to use it to assess the behaviour of other AI systems and support scientific research. The technology remains under development, and LawZero hasn't announced a commercial product or customer base.

The LawZero funding follows months of Canada Germany AI cooperation. In February, the two countries launched the Sovereign Technology Alliance and identified LawZero as a possible area for joint work. Canada and Germany continued those discussions through the summer as they negotiated a wider strategic partnership covering AI, technology and investment. The first formal meeting of the alliance's co chairs took place in Montréal on September 17, one day after the LawZero funding announcement.

Canada Adds Compute, Models and Safety Research

Sovereign AI is about keeping more control over the technology a country depends on, including where models run, where data is processed and who owns the underlying systems and intellectual property. The aim is to make sure Canadian companies and governments have secure AI options that aren't controlled entirely by foreign providers.

Canada's AI for All strategy already commits federal support to sovereign compute, domestic cloud infrastructure, Canadian AI companies and government procurement. Ottawa is also planning a public AI supercomputer, another C$700 million Compute Access Fund and a C$500 million Canadian Tech Growth Fund while targeting an increase in business AI adoption from just over 12% to 60% by 2034.

Other announcements this week show different parts of that build taking form. Bell and Saskatchewan announced plans on September 14 for up to 1.2 GW of AI capacity and as much as C$52.5 billion in total capital investment, with Canadian ownership and data sovereignty built into the provincial agreement. Bell addresses compute and physical infrastructure, while LawZero directs capital toward models, research and AI safety.

On September 16, Cohere and Aleph Alpha finalized a deal to create an enterprise AI business based in Canada and Germany. Schwarz Group is investing €500 million and provides European cloud infrastructure through StackIT. Cohere also announced an OpenText partnership for privately deployable agentic AI aimed at governments and regulated industries.

Canada is funding more of the AI system itself, from compute capacity to model development and safety research. Bell is building infrastructure, Cohere is expanding enterprise AI with European partners, and LawZero is adding publicly funded research and domestic compute. Canada still relies on foreign chips, cloud technology and global capital, but more of the core capability is being built and financed at home.

For regulated industries, the value of this investment is less about LawZero producing a banking product and more about having more choice over where AI systems are developed, tested and run. Banks, insurers and fintechs still have to judge AI on performance, security, auditability, cost and liability, while Ottawa is also developing its approach to AI transparency and agent governance. Canadian and allied infrastructure can give regulated firms more options for handling sensitive data and deploying models under their own controls.

Talking Point

Canada doesn't need to reproduce the entire global AI supply chain to gain more control over critical technology. Public funding can help build domestic capacity, but the return depends on whether that capacity develops into technology, companies and expertise that remain anchored in Canada.


NCFA Canada logoThe 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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Canada Welcomes EU Associate Member Proposal

September 17, 2026 | NCFA Insight | Public Sector Policy And Industrial Strategy, Cross Border Payments And FX, Artificial Intelligence And Data, Competition And Market Structure

AI Image – Canada EU strategy concept showing financial services, technology and trade links across the Atlantic

Financial Services, Technology and Trade Could Deepen Canada EU Ties

On September 17, 2026, Canada welcomes deeper EU ties after European Commission President Ursula von der Leyen proposes opening the door for Canada to become the European Union's first "associate member." The phrase has no defined status in EU treaties today, and neither side has set out the legal structure, rights or obligations that would come with it. Prime Minister Mark Carney says the substance of the relationship will matter more than its name and that any final agreement will face debate and a vote in Canada's Parliament.

The proposal comes as Canada U.S. trade tensions rise again. President Donald Trump separately directs U.S. officials to identify Canadian goods that could be excluded from federal government purchasing, then later threatens tariffs against Europe if he decides the proposed Canada EU relationship is hostile to U.S. interests. The procurement order comes first, and a White House official reportedly says it isn't retaliation for von der Leyen's proposal, so the two developments shouldn't be treated as cause and effect.

Canada and Europe Put a Deeper Economic Relationship on the Table

On September 16, von der Leyen delivered a State of the Union address proposing to move beyond the Comprehensive Economic and Trade Agreement (CETA) Canada has with the EU toward what she calls an "Alliance for the Future." She identified advanced manufacturing, defence production, the Arctic, energy, critical minerals, batteries, AI, quantum, cyber security and economic security as areas for closer cooperation. She also said she wants to work with Canada on becoming the EU's first associate member.

Associate membership remains a proposal rather than an established EU status. EU treaties allow association agreements with non member countries, but they don't create a category called associate member with a standard package of rights and obligations. Canada and the EU therefore have to decide what market access, program participation, regulatory cooperation, mobility and institutional arrangements they actually want before the term has practical meaning.

Carney isn't presenting the idea as Canada joining the European Union. Nothing announced so far requires Canada to adopt the euro, join Schengen, accept automatic free movement, transfer taxation authority to Brussels or become subject to all EU law. Canadian political debate is already testing those boundaries, with Conservative Leader Pierre Poilievre supporting closer trade and defence cooperation while raising concerns about taxation, EU law and immigration rules. Carney says the final arrangement will preserve Canadian sovereignty.

Canada and Europe already have much of the institutional infrastructure needed to negotiate something deeper. CETA has applied provisionally since 2017, the two sides operate a Strategic Partnership, Canada participates in the EU's SAFE defence financing initiative as its first non European member, and governments are working on digital trade, critical minerals, energy, research and advanced technology. The proposal builds on existing agreements and institutions that already connect the two markets.

Global Affairs Canada puts combined Canada EU goods and services trade at C$178.6 billion in 2025. EU foreign direct investment stock in Canada reaches an estimated C$194 billion in 2024, while Canadian direct investment in the EU reaches C$297 billion. European companies employ about 447,000 people in Canada and Canadian companies employ roughly 275,000 people across EU member states.

Canada still depends heavily on the United States. The U.S. receives 71.7% of Canadian merchandise exports in 2025, so even a much larger European relationship won't reproduce the geography, supply chains and customer concentration that connect Canada and the American economy. Deeper European ties can still give Canadian companies more customers, capital sources, technology partners and procurement options outside a single dominant market.

See: Can Canadian Fintechs Diversify Beyond The U.S. Faster?

The next major negotiating checkpoint is the Canada EU Summit in Montreal on October 29 and 30. Canada and the EU still need to define the proposed relationship, determine which existing agreements can be expanded and identify areas that require new legal authority. EU member states will have a role in approving whatever structure emerges, while Carney says Canada's final arrangement will come before Parliament.

U.S. Procurement Pressure Adds New Risk for Canadian Firms

The U.S. procurement action began on September 16, before Trump commented publicly on the European proposal. His procurement memorandum tells U.S. officials to identify Canadian goods that can legally be excluded from federal civilian purchasing. The White House says the action responds to Canada's Buy Canadian policies and some provincial procurement rules, which it argues restrict U.S. suppliers while Canadian companies still have access to U.S. federal contracts. The order applies to goods rather than services and doesn't immediately ban all Canadian products from U.S. government purchasing.

The White House says Canadian suppliers currently have access to more than US$280 billion a year in U.S. federal procurement covered by the World Trade Organization Agreement on Government Procurement. The Office of the United States Trade Representative (USTR) will monitor how Canada treats U.S. goods and can recommend further action. It can also identify conditions under which access for Canadian products could be restored.

Trump commented on the Canada EU proposal later. He called possible associate membership "laughable" and said he could regard it as a hostile act depending on its purpose. He also threatened serious tariffs or reduced trade with Europe if he concludes the initiative targets U.S. interests. Those measures haven't been imposed, and a White House official reportedly says the procurement order wasn't issued in response to von der Leyen's proposal.

Carney says Canada will choose its own international relationships and argues that closer ties with Europe can make Canada a stronger and more resilient partner to the United States. His economic argument is that diversification can reduce another country's leverage even when Canada remains heavily dependent on that market.

Canadian companies don't need to replace every U.S. dollar with European revenue before diversification starts helping. More customers, capital sources, suppliers and financial relationships can give businesses more options when tariffs, procurement restrictions or other policy changes affect one market. The United States will still remain Canada's largest commercial partner by a wide margin.

Fintech and software companies may have more flexibility than industries tied to physical North American supply chains, but expanding into Europe still costs money. Firms may need new licences, privacy controls, banking relationships, payment connections and customer acquisition spending. A deeper Canada EU agreement becomes an advantage to businesses when it lowers some of those barriers.

Financial Services Could Be One of the Biggest Opportunities

Carney proposes that Canada and Europe explore an "integrated market for financial services" that expands consumer choice, lowers costs and improves access to capital while maintaining financial resilience. He also calls for deeper cooperation in payments, digital trade, sovereign compute, secure broadband, AI safety protocols, common AI standards and transparency. These proposals are more relevant to Canadian fintech than the associate member label itself because they identify areas where regulatory and infrastructure changes could directly affect how companies operate.

Canada and the EU already have a base for that work. CETA includes a financial services chapter, and the two sides operate a Financial Services Committee covering banking, capital markets and regulatory policy. Negotiators can use those institutions to examine where different rules create avoidable duplication and where regulators are comfortable recognizing comparable requirements.

Can a firm serve customers in both markets without rebuilding its entire compliance stack?

Can payment providers connect more easily across systems?

Can investment products and capital reach both markets with fewer restrictions?

Can regulators recognize comparable standards for identity, financial data, operational controls or professional qualifications while preserving domestic oversight?

Banking licences, securities regulation, insurance supervision, privacy, anti money laundering requirements, consumer protection and prudential rules remain jurisdiction specific. An integrated market only becomes valuable if negotiators identify concrete areas where recognition or common standards reduce duplication without creating new compliance layers elsewhere.

Canada is also opening more of its domestic financial infrastructure. Consumer driven banking and wider payments participation create new access points for fintechs, while Open Banking in Canada is developing around financial data, identity, payments and competition. Better compatibility with European systems could help Canadian firms scale across both markets if negotiations eventually reach data access, digital identity, payment infrastructure or regulatory recognition.

Carney also wants Canada and Europe to develop common artificial intelligence standards, AI safety protocols and stronger transparency while pooling sovereign compute capacity and improving secure digital infrastructure. Canada is already developing its approach to AI transparency and agent governance, while Europe has a more developed regulatory regime. Greater compatibility could lower market entry costs for Canadian financial technology companies, although different Canadian, European and U.S. requirements could also increase compliance work for firms operating across all three markets.

Payments deserve close attention because Carney names them directly alongside digital trade and financial services. Governments haven't proposed specific changes to settlement, payment access, digital identity or cross border financial data, so those outcomes can't be assumed. If negotiations eventually reach those areas, the details will determine whether Canadian fintechs gain easier access to European customers or face another set of regulatory requirements.

The October summit should provide the first indication of how much of this agenda governments are prepared to put into formal negotiations. Canadian firms should watch for specific commitments on financial services, digital trade, payments, AI standards, mobility and market access, while companies exposed to U.S. procurement also need to follow implementation of the September 16 memorandum.

Talking Point

Canada already has extensive trade and investment ties with Europe, but financial services integration could take the relationship into areas where domestic regulation has traditionally limited cross border scale. If Canada and the EU can reduce duplicated rules across payments, capital, financial data and technology while preserving domestic oversight, how much more practical would Europe become as a second large market for Canadian fintechs?


NCFA Canada logoThe 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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Canada Investment Summit Adds Nearly $500B in Commitments

September 15, 2026 | NCFA Insight | Capital Markets And Market Infrastructure, Competition And Market Structure, Public Sector Policy And Industrial Strategy

AI Image – Illustration of Canadian business investment, infrastructure and capital growth

Nearly $500B In Commitments And A Proposed 6.4% Investment Tax Rate

Today, on September 15, 2026, Canada's first Canada Investment Summit 2026 commitments reached nearly $500 billion across Canadian pension funds, insurers, banks, investment funds and a major AI infrastructure project. The September 14–15 summit in Toronto also brought together investors from nearly 30 countries managing more than $100 trillion in assets.

The $500 billion isn't one pool of foreign equity. It combines institutional investment, bank financing and capital mobilization, investment funds and corporate infrastructure spending. A large share comes from Canadian institutions putting more capital to work at home while Ottawa tries to attract additional global investment.

Canadian Institutions Supply Much Of The Capital

  • Canadian pension funds, insurers and other institutional investors committed nearly $100 billion
  • CPP Investments and Brookfield Asset Management launched the $50 billion Maple Fund for Canadian critical infrastructure and strategic industries
  • PSP Investments plans another $25 billion of Canadian investment
  • Ontario Teachers' Pension Plan committed an additional $10 billion by the end of 2027
  • Sun Life Financial committed $5 billion over five years for infrastructure including digital technology, energy and transportation
  • Banks account for the largest share. TD committed $150 billion in financing over five years across energy, critical minerals and resources, defence and aerospace, digital and AI, and infrastructure
  • Scotiabank committed more than $100 billion
  • BMO up to $70 billion
  • CIBC $2 billion for defence-related and dual-use small and medium-sized businesses
  • RBC nearly $1.5 billion for high-growth Canadian technology companies

These commitments work in different ways. Bank financing, pension investment, venture capital and corporate spending support different types of projects and companies. Together, they give Canadian businesses and infrastructure projects more ways to access capital.

See: Canada Has C$500B in Private Credit Exposure, But Little at Home

Canadian institutions already invest a lot of money outside Canada. The Bank of Canada recently estimated that pension funds, insurers, investment funds and banks have about C$500 billion invested in private credit, much of it abroad. The summit is trying to put more of that Canadian capital to work at home.

Investment funds added more than $14 billion. Power Sustainable committed to invest and mobilize more than $10 billion for infrastructure including power, grids, fibre, data and food supply chains. Radical Ventures plans to invest and mobilize $4 billion through its new Radical Breakouts Fund for Canadian AI scaleups.

Bell Canada and Saskatchewan also announced an AI infrastructure project of up to $52.5 billion. The proposed 1.2-gigawatt AI hub is expected to create more than 4,500 jobs across construction, operations, management and related services.

Ottawa Is Cutting The Tax Cost Of New Investment

Another September 15 announcement lowers the tax cost of making new business investments. Ottawa's proposed Productivity Mega Deduction would let businesses write off roughly two-thirds of eligible capital investments right away, up from about 15% under the earlier Productivity Super-Deduction.

Most qualifying assets bought on or after September 15, 2026 would be covered. That includes software, computers, fibre-optic cable, mining property, certain pipelines, aircraft, vehicles, patents, rail track, bridges and roads. Most buildings, goodwill and some vehicles would remain outside the main rules or receive different treatment.

Finance Canada estimates the change would cut Canada's effective tax rate on new business investment to 6.4% (from 13.0%). For comparison, it estimates the U.S. rate at 16.9% and the OECD average excluding Canada at 19.0%.

This isn't just an incentive for foreign investors. Canadian and international companies could both benefit when they make qualifying investments in Canada.

The federal government estimates the measure would reduce tax revenue by $36 billion over five years. Finance Canada also estimates that about $8.5 billion a year in investment support could eventually generate up to roughly $22 billion in additional annual economic activity. The final impact will be based on how much new investment follows and whether it lifts output and productivity.

The Canada Revenue Agency has also begun prioritizing advance tax rulings for proposed Canadian investments of $1 billion or more. Investors can seek binding tax treatment before committing capital, reducing one source of uncertainty on large projects.

Canada Needs The Capital To Show Up In Productivity

Statistics Canada productivity research found investment per worker in 2022 was nearly 20% below its 2014 level. Real non-residential business investment in early 2024 was still 22% below its peak a decade earlier, and weak capital investment has been a major contributor to slower labour-productivity growth.

See: Fintech's Role in Canada's Productivity Revival

The latest business surveys are more encouraging. Bank of Canada survey data show 43% of firms in the second quarter of 2026 identified improving productivity as an investment objective, up from 31% a year earlier. Equipment upgrades, technology adoption and AI investment give companies ways to convert financing into higher output rather than simply expanding balance sheets.

Foreign capital is also rising. Statistics Canada recorded $96.8 billion of foreign direct investment into Canada in 2025, the highest annual level since 2007. In the second quarter of 2026, inward direct investment reached $25.9 billion, up from $18.8 billion in the first quarter. Manufacturing attracted $7.0 billion and finance and insurance $6.6 billion.

Canada now has more domestic capital earmarked for Canadian assets at the same time that foreign direct investment is rising. Domestic institutions can finance assets and companies through longer investment cycles, while foreign capital adds outside balance sheets, customers, expertise and international connections.

Trade pressure adds another reason to build more productive capacity at home. Canadian companies looking beyond the United States still need capital for technology, production, regulatory work, new customers and foreign operations. Stronger financing at home gives more firms the option to build those capabilities from Canada rather than moving capital-intensive parts of their growth elsewhere. See: Budget 2025 Accelerates Fintech, AI, and Capital Growth

Video: CBC News coverage of Canada’s first Investment Summit, where nearly $500 billion in new investment commitments were announced.

The Scorecard Is Projects, Productivity And Company Scale

For Canadian founders, the most accessible commitments are much smaller than the $500 billion headline. Radical Ventures' $4 billion AI fund, RBC's nearly $1.5 billion technology commitment and CIBC's $2 billion defence and dual-use program can reach companies below major infrastructure scale. Pension and bank commitments can finance the data centres, energy systems, digital infrastructure and customers around them.

See: Can Canadian Fintechs Diversify Beyond The U.S. Faster?

Canada has plenty of capital on paper. It now needs to move the needle in funded projects, higher investment per worker, productive technology adoption, export capacity and Canadian companies reaching larger scale.

$500 billion gives Canada a large starting balance. How much is actually deployed, where it goes and what it produces will determine whether the summit becomes a capital-formation milestone or a very large collection of commitments.

Talking Point

Can Canada turn nearly $500 billion of new capital commitments and a proposed 6.4% investment tax rate into measurably higher productive investment, larger Canadian companies and stronger domestic and foreign capital flows?


NCFA Jan 2018 resizeThe 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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Navigating Market Volatility: A Realistic Strategy for Real Estate Funds and Mobility

Sep 15, 2026

Image credit – Pexels, investment

Image credit: Pexels

Market volatility remains a persistent factor in wealth management, driving investors to seek strategies that balance capital stability with strategic diversification. While physical property has traditionally served as a tangible asset class, direct ownership often carries operational friction and localized concentration risk. Real estate funds present a structured alternative, pooling capital to access larger-scale assets under professional administration. However, evaluating these vehicles requires a realistic understanding of their risk profiles, liquidity terms, fee structures, and underlying statutory frameworks.

Structural Trade-offs: Scale, Risk, and Liquidity

Managed real estate portfolios offer distinct operational benefits while introducing clear structural constraints:

  • Institutional Execution: Funds leverage pooled capital to negotiate institutional pricing, access commercial or multi-unit residential developments, and spread risk across multiple properties within the fund's mandate.
  • Inflation Pass-Through and Fee Drag: Real estate often mitigates inflation through index-linked commercial leases or periodic residential rent adjustments. However, net investor returns are directly impacted by fund fee structures—typically including a 1–2% annual management fee and potential performance hurdles—which must be weighed against the ongoing maintenance and transaction costs of direct ownership.
  • Operational Relief: Professional managers oversee tenant administration, maintenance, and legal compliance, removing the daily burdens associated with direct landlord responsibilities.
  • Realistic Liquidity Profile: Unlike publicly traded equities or REITs, private real estate funds—particularly those tied to residency frameworks—are inherently illiquid. Capital is typically subject to multi-year lock-up periods, and redemption is governed by strict fund terms rather than immediate market access.
  • Risk Profile & Macroeconomic Sensitivity: While physical real estate provides an asset-backed buffer, it does not establish an absolute price floor. Property valuations remain subject to broader macroeconomic conditions, interest rate shifts, and localized cap rate expansions.

Integrating Capital with Mobility: The Hungary Golden Visa Framework

While European Union institutions have increasingly pressured member states to restrict residency-by-investment programs, specific national jurisdictions maintain defined statutory pathways. Hungary’s Guest Investor Program offers a structured framework for international investors seeking European mobility alongside capital allocation.

Unlike former European programs that encouraged direct residential purchases—often driving up local housing prices—the Hungarian framework emphasizes institutional, regulated fund vehicles. Under this legal framework, securing a Hungary Golden Visa through real estate fund investment requires strict adherence to statutory criteria:

  • Investment Threshold: A minimum capital commitment of €250,000 into a qualifying real estate fund.
  • Regulatory & Security Approvals: The fund must be registered with the Central Bank of Hungary (MNB), and the fund manager must hold national security clearance from the Constitution Protection Office (CPO).
  • Asset Allocation Mandate: At least 40% of the fund’s Net Asset Value (NAV) must be invested specifically in domestic Hungarian residential real estate.
  • Mandatory Lock-Up: Investors must hold their fund certificates for a statutory period of at least 5 years.
  • Schengen Area Mobility: Approved applicants receive a Guest Investor Residence Permit, granting long-term Hungarian residency and visa-free travel across the Schengen Area for up to 90 days within any 180-day period.

Currency Dynamics, Taxes, and Exit Strategy Considerations

Long-term portfolio resilience requires evaluating operational realities beyond the initial statutory holding period:

  • Currency Risk: Investments are frequently denominated in Euros at entry, whereas underlying property operations act in local currency (HUF). Fluctuations between EUR and HUF can impact final net yields and capital value upon exit.
  • Taxation & Structural Leverage: Net outcomes depend on loan-to-value (LTV) ratios employed by fund management, as well as bilateral double-taxation treaties that dictate withholding tax rates on distributed income for non-resident investors.
  • Liquidity Realization: Upon completing the 5-year lock-up, investors must navigate redemption terms set out in the fund prospectus, which may rely on secondary market transfers or orderly asset liquidations rather than instant cash payouts.

Prudential Oversight and Realistic Portfolio Expectations

Regulated real estate funds operate under strict prudential oversight, with the MNB supervising legal compliance, market solvency, and reporting standards. While professional management aims to optimize operational performance and generate targeted income distributions, yields are never guaranteed and remain subject to market conditions, management fee drag, and occupancy rates.

See:  Zown Offers Up to 8% Rent Rewards in Canada

When integrated into a broader wealth strategy, managed real estate funds offer a transparent method for participating in property markets and achieving long-term mobility goals—provided investors align their liquidity expectations with the regulatory realities of the underlying vehicle.


NCFA Jan 2018 resizeThe 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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