Karsten Wenzlaff, Advisor
August 26th, 2025
Karsten Wenzlaff is a Crowdfunding and Fintech Expert from Germany. He is Secretary-General of Digit[...]
Category Archives: Venture Funding and Building
Real Time Rail 2026 Q1 Update Expands Testing And Access
Feb 12, 2026 | NCFA Fintech Market Activity | Payments and Market Infrastructure
Image: Freepik
Performance Testing And Provider Onboarding
On February 11, 2026, Jude Pinto, Chief Delivery Officer at Payments Canada, published a Q1 2026 Real Time Rail update.
The update starts by locking in what the program completed in 2025:
- Moved into comprehensive testing
- Published a participation playbook for payment service providers
- Began onboarding new potential members after changes to Canada’s payment legislation and supervision
- Advanced the legal framework for the Real Time Rail
- Completed system integration testing in Q4 2025, bringing the system components together and testing them as one system
- Entered user acceptance testing in Q4 2025 to validate end to end business scenarios and operations in real world scenarios
The update references changes to payment legislation and supervision as a driver of PSP onboarding. For background on the supervision track, NCFA covers the Bank of Canada RPAA registry.
With that base in place, the update sets Q1 2026 priorities across three areas: testing, onboarding, and operational readiness.
User acceptance testing continues into 2026. That keeps the focus on whether the rail works in participant workflows, not only in lab conditions.
Performance, security, and resilience testing begins later in the quarter to push the limits of the total solution in target environments. The update also flags peak volume testing so the system can handle a high volume of transactions in real time.
See: Canada AI Strategy Confronts Capital Flight
Payments Canada states it is expanding an always on environment with centralized fraud capabilities 24 hours a day, every day of the year. For companies building on real time payments, this places operating discipline on the critical path. Instant payments raise the cost of slow investigations, messy exceptions, and unclear ownership.
Access is expanding at the same time, with Payments Canada announcing five new payment service provider members named in the update, Wise, Float, Paramount Commerce, KOHO, and Brim Financial. The update states these new payment service provider members are now eligible to apply to participate on the Real Time Rail, and it ties broader participation to innovation, resilience, and economic growth.
Peak volume testing, security and resilience testing, and always on fraud operations push companies to prove control in live like conditions. Firms that sell fraud tooling, case management, exception handling, reconciliation, and treasury automation can win early mindshare by showing how they reduce failure cost when money moves instantly.
Talking Point
When peak volume testing and always on fraud operations become the baseline, which capability becomes the first real bottleneck, investigations, exceptions, or reconciliation?
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: ncfacanada.org
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Levl Raises $7M To Connect Bank And Stablecoin Rails
Feb 11, 2026 | NCFA Fintech Market Activity | Stablecoins and Payments
Stablecoin Infrastructure Reaches Enterprise Scale
On February 11 2026, Levl raised $7M in seed funding to expand its platform that connects traditional banking infrastructure with stablecoin-powered cross border payments.
The round was led by Galaxy Ventures with participation from Protagonist, Deus X, Blockchain Builders Fund, OpenFX, FalconX, CMCC, Variant Fund, and a strategic angel network that includes leaders from Revolut, Brex, and Comun.
Levl reports that it reached an annualized global transaction volume of $1B within its first four months of operation. The company says it supports payouts in 75+ countries and serves more than 1 million end users through its client and partner network, including TerraPay, TapTap Send, and Nala.
See: Canada Releases The First Draft Of The Stablecoin Act
The company positions itself as a unified platform that allows businesses to collect, store, convert, and move currencies across borders using both fiat rails and stablecoins such as USDC and USDT. It claims same day settlement while replacing the 3 to 5 day delays typical in correspondent banking.
J P Morgan projects that cross border transaction volumes could reach about $320T by 2032. If volumes continue expanding at that scale, faster settlement and tighter FX execution become competitive requirements, not optional upgrades.
Jaisel Sandhu, Chief Executive Officer, Levl:
“Global businesses see the potential of stablecoins to make payments faster and cheaper, but they need solutions that are compliant and easy to use—ones that fit into how they already operate,”
Levl says it removes the need for businesses to build blockchain infrastructure in house, integrating digital asset settlement into existing operational workflows. The question is not whether stablecoins can move money. It is whether platforms can embed them into enterprise processes without adding compliance risk or operational friction.
Talking Point
If stablecoin settlement becomes operationally invisible inside enterprise payments, does the advantage sit with the fastest rail, the strongest compliance wrapper, or the deepest distribution into banks and payment platforms?
See: Stablecoin Payments Have Wings – Are You Ready?
Levl now needs to prove it can scale liquidity, corridor coverage, and regulatory coordination as volumes grow. Enterprise buyers will measure performance on reliability, auditability, and FX efficiency, not marketing language.
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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Canada AI Strategy Confronts Capital Flight
AI Policy Consultation | February 11, 2026
11,300 Respondents Demand Sovereign Capital, Procurement Reform and Domestic IP retention
On February 5, 2026, Innovation Science and Economic Development Canada (ISED) released the official Engagements on Canada’s Next AI Strategy Summary of Inputs. The report summarizes a 30 day consultation that ran from October 1 to 31, 2025 and confirms that 11,300 participants submitted 64,600 responses across 26 policy questions about Canada’s next AI strategy.
The consultation addressed the full AI policy landscape, including research and talent, adoption across industry and government, education and skills, infrastructure resilience, national security, environmental sustainability, Indigenous data sovereignty and inclusion. The process ran under The Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation, supported by a National AI Strategy Task Force composed of startup operators, investors, researchers and civil society leaders.
This article focuses on what matters most for fintech founders and investors, where the strongest inputs from the consultation relate to capital formation, procurement design, intellectual property retention and domestic scaling incentives.
Who Responded
The consultation drew wide participation. 83% submitted as individuals. 17% responded on behalf of organizations, and reflected national engagement across technology, finance, academia, professional services and public institutions.
See: $7.5 Billion Microsoft AI Buildout In Canada
52% identified as interested Canadians. 19% came from business. 13% represented academia or research. The rest included government, associations and other sectors.
Ontario accounted for 39% of responses. British Columbia 20.6%. Alberta 7.8%. Québec 7.6%.
Capital Structure Is Under Review
Across submissions, one theme stood out. Canada produces AI research. It struggles to anchor AI companies at scale.
Respondents called for sovereign capital vehicles, modernization of SR&ED and IRAP, and stronger intellectual property retention frameworks. Intellectual property retention refers to keeping ownership of core technology, patents and data assets inside Canada rather than transferring them through early acquisition or foreign incorporation. Stakeholders expressed a preference for patient domestic capital tied to retention conditions, not simply additional grants. That implies potential co-investment models, domestic head office commitments and scaling tools designed to prevent early exits or foreign acquisition.
Canada ranks among global leaders in AI research output. Yet growth stage capital is still significantly thinner than in the United States. In 2025, Canadian VC firms raised just over $2.1B, with fundraising concentrating as the five largest Canadian venture funds captured 83% of all capital raised while emerging managers raised $249M. That level of concentration narrows the number of scaled domestic capital sources available to support long runway AI and fintech growth.
When companies reach scale, many incorporate abroad or raise major rounds outside Canadian markets. Capital migration reduces ownership, long term tax capacity and domestic control over strategic assets. This consultation reflects recognition that Canada’s scaling architecture requires structural reform.
For fintech founders following new AI minister prioritizes growth over rules, this reinforces the need for commercialization outcomes and ownership durability rather than additional regulatory layering.
Procurement And Market Design
Respondents pushed for standardized procurement playbooks and real pathways from pilot to deployment. Suggestions were for coordinated procurement models that create anchor customers at scale.
See: Market Forces Pressuring Fintech Plans For 2026
Predictable domestic revenue reduces investor risk perception and strengthens valuations. It also strengthens Canadian firms’ credibility when competing internationally. Procurement design therefore influences capital formation and competitive positioning.
This matters most in regulated sectors. When government adoption aligns with frameworks such as the CIRO digital asset custody framework, compliance becomes a strategic advantage rather than a cost centre. Procurement validation can reinforce regulatory credibility and accelerate scaling.
Compute, Sovereignty And Competitive Barriers
Participants identified gaps in domestic compute capacity and reliance on foreign cloud providers. Calls for Canadian controlled infrastructure go beyond just hardware investment. They imply potential changes to data residency expectations, cloud dependency exposure and compliance thresholds.
Sovereign compute investment could open infrastructure financing opportunities while raising entry costs for firms dependent on foreign controlled platforms. Infrastructure choices influence market structure.
Governance And Scaling Dynamics
Submissions supported proportionate, risk tiered regulatory frameworks, independent audits and clearer liability standards. Respondents generally favoured governance models where obligations scale with actual risk exposure rather than one size fits all rules.
Regulatory preference was for clarity, predictability and alignment between risk level and compliance burden. High impact AI applications would face stronger safeguards, while lower risk use cases would not carry unnecessary constraints.
See: Budget 2025 Accelerates Fintech, AI, and Capital Growth
If thresholds are calibrated carefully and compliance pathways are clear, early stage firms gain certainty and investors price regulatory exposure more confidently. If risk categories are broad or implementation complex, governance costs rise and time to market slows.
The strategic issue is how regulatory architecture affects scaling speed, capital formation and Canada’s cost competitiveness relative to larger markets. Governance design influences who scales, who consolidates and who exits.
What To Watch Next
The consultation closed on October 31, 2025. The Engagement on Canada's Next AI Strategy summary report states that the inputs will inform drafting of Canada’s 2026 AI strategy, which the federal government plans to release later this year.
The report doesn't however specify any fiscal commitments or program design details. Those decisions will appear, if at all, in the final strategy document and subsequent budget measures.
From a market perspective, founders and investors should watch for concrete triggers for a sovereign capital vehicle with defined funding, commercialization linked SR&ED reform, procurement commitments beyond pilot programs, budget allocations for domestic compute infrastructure, and enforceable intellectual property safeguards.
If those elements appear with timelines and capital attached, they strengthen Canada's domestic scaling environment. If not, capital migration and entrepreneur drain will likely persist. The final strategy with design and implementation choices will be known this year.
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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CIX Names 14 Canadian Startup Award Winners For 2026
CIX Summit 2026 | February 11, 2026
Image courtesy of CIX Summit, Powered by Elevate
Fourteen Award Winning Startups Pitch Live at CIX Summit on March 25 in Toronto
On February 10, 2026, Elevate announced the 2026 CIX Startup Award winners across fintech, climate, defence, health, and marketing technology, naming fourteen Canadian companies selected from more than 370 applications reviewed by 94 North American investors. CIX confirms that the winners present live at the CIX Summit on March 25, 2026 at the Design Exchange in Toronto, with the program bringing together 600 plus investors, founders, and tech leaders.
In the release, CIX reaffirms their commitment to the startup ecosystem as they call out a difficult funding moment, with trade tension between the US and Canada and the lowest level of Canadian VC investment since 2020.
2026 CIX Startup Award Recipients
2026 CIX Startup Award recipients across emerging, early, and growth categories.
Emerging includes PRE in marketing technology from Toronto, Sonaro in health technology from Montreal, Cashew Research in marketing technology from Calgary, Elle, MD Biotechnologies in health technology from New Minas, NS, and Xubin Aerospace in defence technology from Oakville.
Early includes Qidni Labs in medical technology from Kitchener, WeavAir in climate technology from Toronto, Pontosense in medical technology from Toronto, MedMe Health in health technology from Toronto, and LiORA in climate technology from Calgary.
Growth includes Venn in fintech from Toronto, Eavor Technologies in climate technology from Calgary, Loopio in sales automation from Toronto, and Hiive in fintech from Vancouver.
Two Scaleup Fintechs
In a year where capital remains disciplined and deployment cycles lengthen, fintech infrastructure companies continue to attract investor attention. The 2026 CIX Growth category includes two fintech scaleups, Venn and Hiive.
Venn operates in digital financial services infrastructure for businesses (embedded finance and SME operating layer). In Venn's public announcement following the award, the company confirmed that more than 5,000 businesses have chosen Venn to run their finances over the past year, highlighting product coverage across banking, payments, cards, and automation.
See: NCFA Weekly Fintech Intelligence Jan 31-Feb 6, 2026
Hiive builds marketplace infrastructure for private company share transactions. As venture timelines extend and liquidity windows narrow, structured secondary marketplaces play an increasingly important role in capital efficiency. Recognition in the CIX Growth category places Hiive among a cohort of scaleups building market infrastructure rather than consumer facing apps.
Both companies operate at the financial layer of the innovation economy. One focuses on modernizing how businesses manage money. The other addresses private market liquidity. Together they reflect two core pressures in today’s ecosystem: operational efficiency and capital access.
Broad Cohort Highlights Canada’s Innovation Depth
Beyond fintech, the 2026 CIX winners span climate technology, health technology, defence technology, and enterprise software across emerging, early, and growth stages. Companies such as WeavAir, LiORA, and Eavor Technologies represent climate innovation, while others address diagnostics, aerospace, marketing intelligence, and automation.
CIX states that more than 370 applications were reviewed by 94 North American investors, with a minimum of 15 judges evaluating each submission across business model, innovation, market opportunity, management depth, and leadership diversity, equity, and inclusion. In a slower venture market, that level of screening provides an important validation signal for founders seeking capital.
See: NCFA Support’s CIX Summit 2026 as Community Partner
Neha Kera, Managing Partner at Innovobot Resonance Ventures and CIX Startup Awards Co Chair:
“It is a challenging time for entrepreneurs, and so it was wonderful to see the quality of this year's CIX winners,” and adds, “We are eager to see what else they will accomplish in the years to come, and I hope everyone can learn more about them at CIX”.
Matthew Leibowitz, Managing General Partner at Plaza Ventures and CIX Startup Awards Co Chair:
“The competition was intense with over 350 applicants, and our selection committee did a stellar job in selecting the winners,” and adds, “We're thrilled to shine a spotlight on this year's recipients and can't wait to meet them at CIX Summit.”
The announcement also highlights a practical reason founders show up. It says Meeting Exchanges include over 75 investors taking 1 to 1 meetings with founders, creating over 450 meeting opportunities across the day. CIX also describes a closed door Investor Forum for VCs and LPs, plus a Founder Forum focused on seed round execution, cap table structure, and non dilutive capital.
Congratulations To All CIX 2026 Winners!
Congratulations to all fourteen teams. Canada needs more companies that keep building through hard cycles, keep hiring, keep shipping product, and keep finding customers. NCFA looks forward to tracking these founders as they turn national recognition into revenue, partnerships, and global growth.
Get Tickets Now. Register with NCFA and Save
NCFA is sharing a 20% community partner discount on CIX Summit passes for its community. Use CIXNCFA20 for 20% off. CIX runs on March 25, 2026 in downtown Toronto. CIX publishes ticket options and event logistics on its official page for CIX Summit 2026 ticket details and March 25 venue information.
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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Ayden and Uber Deepen Global Payments Integration
Feb 10, 2026 | NCFA Fintech Market Activity | Global Payments Infrastructure
Marketplace Payments Standardize Around Global Processors
On February 9 2026, Adyen and Uber announced an expanded global payments partnership that extends Adyen’s role across new markets and supports the launch of Uber kiosks in physical locations.
Key to the expansion is unified commerce. Adyen will support Uber’s payment flows across online, in app, and in person environments using its single platform model. The kiosk rollout adds a physical layer to Uber’s ecosystem, allowing customers to order and pay outside the traditional mobile app experience.
See: Klarna Launches Peer To Peer Payments Across 13 Countries
Uber operates in more than 70 countries and processes billions of transactions annually across ride sharing, delivery, freight, and mobility services. For a platform at that scale, consolidating payments into a single infrastructure partner is not just operational convenience. It is risk management, data centralization, and cost control.
Adyen reports processing more than €970 billion in payment volume in 2024, serving enterprise merchants globally. That scale allows it to standardize fraud tools, tokenization, compliance, and settlement processes across jurisdictions. For Uber, deeper integration reduces complexity across markets and supports faster product launches.
Global Scale Now Requires Unified Commerce Infrastructure
This is not a Canada specific announcement, but it directly affects Canadian payments companies.
When a global platform like Uber tightens integration with a single global processor, it reinforces a trend toward enterprise level consolidation. Large marketplaces increasingly prefer unified stacks that cover authorization, settlement, fraud management, and reporting under one roof.
For Canadian PSPs and fintech infrastructure startups, this raises the bar. Competing at enterprise level now requires cross border capability, multi currency support, regulatory coverage, and strong capital backing. Niche players must differentiate through vertical specialization, orchestration tools, or embedded finance products rather than broad general processing.
The kiosk component shows that payments are converging across digital and physical surfaces. Mobility platforms are no longer app only businesses. As commerce expands into physical endpoints, payment infrastructure must handle omnichannel identity, token management, and reconciliation in real time.
Free: Profile Directory Listing for Canadian Fintechs
For founders building checkout, vertical SaaS, marketplace tools, or merchant fintech, the direction is clear.
Enterprise clients want fewer integrations, deeper APIs, and infrastructure partners that can support rapid geographic expansion without rebuilding compliance frameworks each time.
Talking Point
If global platforms continue consolidating around a small group of full stack payment providers, where can Canadian fintechs build durable advantages, vertical depth, orchestration intelligence, or specialized financial products?
This expansion is more than a partnership update. It reflects how enterprise platforms are reducing complexity inside their financial infrastructure as they scale.
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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OpenAI Tests Ads Inside ChatGPT Free Tiers
Feb 9, 2026 | NCFA Fintech Market Activity | Platform Monetization and AI Infrastructure
Conversational AI Expands Monetization With Advertising Layer
On February 9 2026, OpenAI began testing ads in ChatGPT in the United States for logged in adult users on the Free and Go subscription tiers.
OpenAI says Plus, Pro, Business, Enterprise, and Education tiers will not include ads. The company also says ads don't influence ChatGPT answers and it keeps conversations private from advertisers. Advertisers only receive aggregated performance data such as views and clicks.
See: OpenAI Revenue Surpasses US $20B, Raising Fintech Stakes
OpenAI says ads will appear as clearly labelled sponsored listings that are visually separated from the organic answer. It also says users can dismiss ads, share feedback, manage ad personalization, and delete ad data. If a user prefers not to see ads, OpenAI says they can upgrade to Plus or Pro plans, or opt out of ads in the Free tier in exchange for fewer daily free messages.
This test follows earlier commercial integrations connecting AI platforms with financial infrastructure. In 2025, OpenAI partnered with PayPal on ChatGPT Instant Checkout functionality, demonstrating how conversational AI and fintech rails are already intersecting in commerce contexts.
Implications For Distribution Economics
ChatGPT isn't just a place where people consult. It's a place where people compare options as they are already close to a decision. That's important because ads placed inside a timely decision moment can convert demand faster than ads placed in a scrolling feed.
For fintechs, this adds a new acquisition layer that sits upstream of search and downstream of intent. Founders who rely on organic discovery or comparison traffic should assume this channel will become part of the distribution stack if OpenAI expands beyond a limited test.
OpenAI says it selects ads by matching advertiser submissions to the topic of the conversation, past chats, and past ad interactions. That selection method will shape what winning looks like (similar to the power of Google search, and we know how that's turning out). If relevance depends on conversation context, product positioning and category language, it may matter as much as a strong bid strategy.
There is also a compliance edge that finance teams should watch. Sponsored placements inside a conversational interface can blur user expectations, even with clear labelling. OpenAI says it will not show ads near sensitive or regulated topics such as health, mental health, or politics, and it says it will avoid showing ads to users it predicts are under 18. If OpenAI later expands categories or geographies, regulators may examine how financial promotions work in a chat interface, how disclosures show up, and how users interpret sponsored content when they are asking for guidance.
See: Fintech Ads At Super Bowl LX Reveal Trust Playbook
The competitive response will follow quickly if engagement holds; think Google, Microsoft, Amazon, Stripe, Shopify, Fintech ad networks and more. If conversational ads convert, other AI platforms will test their own models. If users push back, competitors may try to win trust by staying ad free. Either outcome changes the market. It changes how products compete for attention and how platforms price access to users.
Talking Point
If people begin comparing financial products inside AI conversations instead of search, what becomes the sustainable competitive advantage, brand trust, distribution partnerships, or the ability to convert inside the chat itself?
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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Which Industries Are Leading Canada’s Digital Economy in 2026?
February 10, 2026
Canada’s digital economy is on the rise, and many sectors are at the forefront of that growth and innovation. In 2025, we see certain key industries come into their own as the primary forces behind Canada’s digital transformation and global competitiveness.
Technology and Telecommunications
The telecommunications industry is the primary driver of Canada’s digital economy, which in 2024 reported a $87.3 billion contribution to the Canadian GDP. Reports from the International Trade Administration indicate that Canada’s digital economy is expected to grow at a 9% compound annual growth rate through 2025, and that telecom infrastructure is the basis for that growth.
Mobile
Mobile is at 55.2% of total telecom revenues, while fixed internet is at 28% of the market. With that strong base, Canadian businesses have been quick to adopt digital technologies, which the entertainment sector has in particular profited from. In the growth of digital entertainment, which includes the increasing online slot games market, we see how the telecom infrastructure supports a variety of digital business models across the country.
Telecom
Canadian telecom players have outperformed global competitors due to having built world-class networks that place them at the forefront of digital adoption. This strategic play will see Canada as a hub for 5G and fibre optic expansion projects, which in turn will fuel growth in 2025 and beyond.
The Fintech Revolution
Things are hot for Canada’s fintech industry, and 2025 is no exception. Global fintech markets are growing at 3% according to recent reports, and Canada is part of that growth, with AI, B2B, and new lending platforms driving the sector. What’s more, there are 84 companies in Canada operating in different subsectors with corporate partnerships and/or venture capital funding.
According to PwC’s Canadian fintech report, this means high levels of investor confidence in fintech and lots of funding going into startups in digital payments, blockchain and regulatory technology and more. This is the case with Canada’s prepaid cards and digital wallets, where it’s expected to grow 6.7% per year to $26.26 billion by 2025. This is due to shifting consumer behaviour towards digital payment solutions and the maturity of Canadian fintech globally.
Entertainment and Gaming
The digital entertainment and gaming sector is one of Canada’s fastest-growing digital economy segments. Canada’s digital gaming audience will reach 20 million users by 2025—that’s half of the country’s population.
Canadian gaming companies are using advanced tech to create experiences that appeal to domestic and international markets. The industry is supported by solid telecommunications infrastructure, and consumers are getting more comfortable with digital entertainment platforms. Gaming demographics are young and highly engaged, which means sustainable revenue and export opportunities.
The entertainment sector goes beyond gaming to include streaming services, digital media production and interactive content creation. This diversification makes Canada a major player in the global digital entertainment economy, with Toronto and Vancouver becoming major hubs for digital content production.
Digital Health
Digital health has been a game-changer for Canada’s healthcare system and economy. It includes telemedicine, health information systems, medical device connectivity and data analytics platforms that improve patient outcomes and reduce costs. Now, Canadian digital health companies are developing solutions for domestic healthcare challenges and export markets.
Artificial intelligence and machine learning in healthcare applications have accelerated in 2025, and Canadian companies are leading the way in medical imaging analysis, predictive diagnostics, and personalized treatment platforms. Government support for digital health initiatives—including funding for health technology research and development—has also created an environment for innovation and growth.
Provincial health systems are adopting digital solutions and creating demand for homegrown technology and expertise. This domestic market has become a testing ground for Canadian digital health companies to test solutions that can then be scaled for international markets and generate export revenue and leadership.
Economic Impact and Future Outlook
Combined, the top industries represent a multiplier for Canada’s digital economy. Fintech, entertainment and gaming companies have large telecommunications infrastructures’ needs for complex connectivity services. Fintech payments and strong data networks have oriented digital health solutions.
Ramping up investments in advanced manufacturing, critical minerals, and digital infrastructure will ensure Canada remains competitive. This emphasis on leveraging federal government support to drive competitiveness via investments in emerging technologies will also lead to growth.
Final Thoughts
Canada’s digital economy in 2025 is led by the telecommunications infrastructure, fintech, entertainment, gaming, and digital health sectors. They also enhance national growth and national competitiveness in the international arena.
See: Fintech Ads At Super Bowl LX Reveal Trust Playbook
These industries are part of the reason Canada’s digital economy is expected to have a 9% compound annual growth rate through 2025. Together, they are the ones that will ensure Canada’s place and success in the digital economy.
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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