Karsten Wenzlaff, Advisor
August 26th, 2025
Karsten Wenzlaff is a Crowdfunding and Fintech Expert from Germany. He is Secretary-General of Digit[...]
Category Archives: Web3, Decentralization, DAOs
Coincheck Completes 3iQ Deal In Canada Crypto Expansion
Mar 2, 2026 | NCFA Fintech Market Activity | Digital Assets And Market Structure
Cross Border Digital Asset Consolidation
On February 28 2026, Coincheck completed its 3iQ acquisition, taking about 99.8% beneficial ownership of the Ontario based digital asset manager and turning an announced January 3iQ agreement into a finished cross-border ownership change with direct Canadian relevance.
Coincheck Group is the holding company of Coincheck, one of Japan’s largest crypto asset exchanges. Monex Group remains the controlling shareholder of Coincheck Group and was also the seller in the 3iQ transaction. That fact makes this deal more than just a portfolio add, and moves a Canadian digital asset manager into a larger international platform that already spans exchange access, brokerage, staking, and institutional client distribution.
Why This Deal Counts
3iQ brings a regulated product track record that already has market credibility in Canada. 3iQ product history includes becoming Canada’s first regulated digital asset investment fund manager in 2017, launching one of the first diversified crypto funds in 2018, and bringing major exchange listed Bitcoin and Ether funds to the Toronto Stock Exchange in 2020. More recent expansion added managed accounts, Ethereum staking products, a Solana staking ETF, and a spot based XRP ETF. That mix gives Coincheck immediate reach into regulated investment wrappers that already matter to institutional allocators.
Coincheck’s institutional buildout now includes 3iQ in Canada, Aplo in France (Oct 2025), and Next Finance in staking infrastructure (Apr 2025). Digital asset firms are consolidating beyond single product competition and toward control of a wider institutional stack. Distribution, regulated wrappers, staking capability, and client relationships carry more strategic value when the market shifts from retail access to institutional scale.
See: Terraform Lawsuit Puts Jane Street In Crypto Spotlight
For Canada, this is a reminder that proven digital asset platforms continue to attract global buyers. Leading digital assets companies may be the groups that control more of the full client path, from exchange access and staking to regulated investment products and institutional distribution.
Talking Point
As crypto firms consolidate across exchanges, staking, brokerage, and regulated funds, does long term value move to the groups that control more of the institutional stack?
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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Kalshi Fines MrBeast Editor In Insider Trading Case
Feb 27, 2026 | NCFA Fintech Market Activity | Capital Markets And Market Structure
Two Cases and 200 Probes Test Exchange Controls
On February 25 2026, prediction market Kalshi disclosed two closed insider trading cases, including one tied to a YouTube editor linked to MrBeast content and one tied to a California political candidate. The same post records 200 investigations in the past year, with more than a dozen active cases.
The CFTC’s enforcement division confirmed the penalties, stating that illegal trading on prediction markets listed on designated contract markets falls within federal derivatives enforcement. Insider trading, misuse of non-public information, and market abuse now sit inside a framework that looks much closer to mainstream market oversight than novelty betting.
See: Coinbase Prediction Markets Face State Gaming Challenge
1. The MrBeast YouTube editor case carries a $20,397.58 financial penalty and a 2 year suspension from direct or indirect access to Kalshi.
The enforcement post describes trading tied to a popular creator’s videos. Kalshi’s surveillance tools flagged near perfect results in low odds markets, and user reports flagged the same account. The record concludes there was enough evidence to close the matter as an insider trading case and freeze the account.
2. The political candidate case carries a $2,246.36 financial penalty and a 5 year suspension
The second case covers a California political candidate who traded on his own election. The enforcement record treats that conduct as a direct rule breach. Public promotion of those trades made the violation even more visible.
What Platforms Need To Control
For operators, the takeaway is direct. Once a platform lists contracts tied to events, information control becomes core infrastructure. Monitoring, escalation, account freezes, documented penalties, and regulator coordination all move from compliance overhead to essential operating systems.
See: Stablecoins Power Prediction Market Settlement
For investors, the numbers point to the real test. Volume can scale fast, but conduct failures can damage credibility even faster. The platforms that manage to sustain long term value will be required to run a fair market, enforce their own rules, and stay inside a clear regulatory perimeter. Prediction markets already price geopolitics. The next hurdle is showing they can police information risk with the same seriousness as any other exchange.
Talking Point
When a prediction market issues fines, suspensions, and CFTC backed enforcement over insider trading, does it still trade as a betting product, or does it start operating like exchange infrastructure?
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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Terraform Lawsuit Puts Jane Street In Crypto Spotlight
Feb 27, 2026 | NCFA Fintech Market Activity | Digital Assets And Market Structure
Plan Administrator Compliant Puts Attention On Trading Conduct
On February 24 2026, a complaint filed in the Southern District of New York (83 page PDF) by Terraform plan administrator Todd R. Snyder accuses Jane Street and named employees of insider trading, fraud, and market manipulation tied to the May 2022 collapse of the Terra ecosystem.
The filing names Jane Street Group, Jane Street Capital, Bryce Pratt, Robert Granieri, and Michael Huang as defendants. It alleges that Jane Street used confidential information from Terraform insiders, including communications in a group chat identified in the complaint as “Bryce’s Secret”, to gather material non-public information and trade ahead of the UST depeg.
Do Kwon’s guilty plea on fraud charges thrust Terraform in the legal spotlight and forced the scale of the TerraUSD collapse. This lawsuit goes beyond Terraform’s own conduct and asks whether outside trading activity also helped deepen the damage.
See: Terraform Labs’ $4.55 Billion SEC Settlement
The plan administrator was appointed through Terraform’s wind down to pursue recovery claims and maximize value for creditors. The complaint states that the administrator has authority to bring claims on behalf of Terraform, the wind down trust, Luna Foundation Guard, and certain individual victims who assigned claims tied to the collapse. This is a recovery action. The plaintiff is seeking disgorgement and other remedies from parties alleged to have profited from, and contributed to, Terraform’s collapse.
This case now tests whether a major trading firm used information and timing to reduce its own risk while the broader market absorbed the losses.
What The Complaint Alleges
The complaint alleges that Jane Street sold UST on May 7 2022 after gaining an information edge, then benefited as UST lost its $1 peg within hours and the Terraform ecosystem entered a death spiral. It says those trades allowed Jane Street to unwind hundreds of millions of dollars of potential exposure at a critical point in the collapse.
The filing also points to the scale of emergency support during the crisis. It says Terraform bought more than 250 million UST on May 7, more than 200 million UST on May 8, and more than 1.9 billion UST between May 8 and May 10. It also says Luna Foundation Guard and third parties acting on its behalf used reserves to buy additional UST as the peg failed.
Why This Matters
This case puts one of the best known trading firms in global markets into a fresh crypto market integrity fight tied to one of the sector’s biggest failures. If the case moves forward and more evidence enters the public record, scrutiny may increase around how large market makers operate in digital assets, how private information moves between token issuers and trading firms, and how courts apply insider trading and market manipulation theories to crypto markets.
The complaint also underlines the scale of the defendant it targets. It describes Jane Street as responsible for more than 10% of all equity trades in North America and says net trading revenue rose above $24 billion in the first three quarters of 2025. Those figures are allegations in the filing, not court findings, but they help explain why this lawsuit will draw attention well beyond crypto.
See: When Fraud Controls Freeze Millions of Bank Accounts
For exchanges, brokers, lenders, and digital asset platforms, the immediate issue is control. A case built on alleged private chats, relationship networks, and trade timing puts information barriers, surveillance, and counterparty oversight back at the center of market risk.
Talking Point
If crypto markets face more lawsuits built on insider trading and manipulation claims, does the next major pressure point move from token design to trading conduct?
For investors, the Terra collapse already changed how the market views stablecoins. This lawsuit may force more attention toward trading conduct, information asymmetry, and whether crypto market structure is ready for the same legal standards applied in traditional markets.
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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Flow Burns 50M Tokens And Commits To Buy 50M More
Feb 27, 2026 | NCFA Fintech Market Activity | Digital Assets And Token Economics
3% Burn Puts Token Supply in Focus
On February 24 2026, Flow Foundation completed a 50,343,896.87 FLOW buyback and burn, equal to about 3% of total supply (approx CAD $2.7M), and committed to buy at least another 50,000,000 FLOW over the coming months for treasury holdings.
The burn took place on February 23 at 12:00 PM PT. The tokens came from a mix of open market purchases and treasury funds collected between December 27 2025 and February 22 2026. The Foundation says the burn is permanent, irreversible, and verifiable on chain.
The next part of the plan is just as important. Flow says it will keep buying tokens in the open market and is working on better liquidity support and market making partnerships across multiple platforms. So, this isn't a one time burn. The Foundation is putting more treasury capital behind the token through 2026.
What The Numbers Mean
Three figures drive the story. First, roughly 3% of total supply is removed from circulation. Second, at least 50,000,000 more tokens are now part of the stated treasury buying plan. Third, Flow says the network is built to become net deflationary at a sustained 250 transactions per second, the point where fees collected rise above new tokens issued for staking rewards.
See: DeFi Technologies Begins Nasdaq Trading in Global Expansion
Flow also says staking rewards stay unchanged at about 9% APY and that token holders do not need to take any action. It's important because the Foundation is trying to reduce supply pressure without changing the current staking setup for users.
Recent Flow Happenings
Earlier this month, 40 million users and 950 million transactions gave Flow a stronger scale story heading into this treasury move. Meaning the Foundation is supporting a token tied to a network with real usage, not just future plans.
Flow is also pushing a speed and utility case. In a recent developer update, 4 second soft finality and 10 second hard finality became part of its case for more serious onchain apps that need faster confirmation and less settlement uncertainty.
Also another update pegs Flow moving beyond earlier collectibles identity to consumer DeFi infrastructure. Taken together, the buyback, burn, liquidity support, faster settlement, and DeFi positioning all point in the same direction. Flow is trying to tighten supply while backing a larger push for deeper usage.
Why This Matters
It is a direct treasury move backed by clear numbers and a longer runway. Flow is reducing circulating supply now, adding another minimum purchase target, and pointing to a fee model that aims to lower inflation as network usage rises. That gives the market a clearer picture of how the Foundation wants to support the token.
See: Ledn Bitcoin Backed ABS Deal Enters Institutional Markets
For builders and investors, the takeaway is simple. Token value does not depend only on ecosystem growth. It also depends on how clearly a foundation manages supply, supports trading conditions, and explains the path to a more durable network economy. In this case, Flow is putting real treasury capital behind that message.
Talking Point
When a blockchain foundation burns 3% of supply and commits to buy at least 50,000,000 more tokens, does treasury policy start to matter as much as product growth?
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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Jupiter DAO Vote Targets Net Zero Emissions
Feb 23, 2026 | NCFA Market Activity | DAOs
Net Zero Emissions Vote and Buyback First Treasury
On February 22 2026, Jupiter DAO closes the Net Zero Emissions option vote, moving JUP toward a supply tightening direction and a buyback first treasury posture. On chain reporting shows about 75% support for the Net Zero Emissions option and states the vote concluded at 7:00 PM ET. During the voting window, on chain analysis reports more than 24.5k votes recorded within the first 48 hours, with more than 13k individual voters backing the Proceed with Jupuary option by raw voter count, while the Net Zero Emissions option leads by voting weight at more than 73.9% during that same early period, on a voting distribution analysis that breaks down wallet counts and voting weight.
See: Planetary Health Check 2024 and Canadian Climate Tech
The proposal says net new emissions move from about 1.2B JUP to effectively zero, if the DAO approves the package. The proposal also states it postpones Jupuary and returns 700M tokens to the Community Cold Multisig, and it states Jupiter routes 50% of on chain revenues to open market buybacks. Jupiter already burns 3B tokens and it states founders lock tokens, including a founder lock to 2030.
Comparative DeFi Examples Buybacks And Supply Control
Legacy allocations shape why the DAO focuses on offsets. On chain analysis reports Mercurial stakeholders receive 5% of total supply or 350m tokens, with about 182m vested by February 2026 and 168m remaining to unlock, also on the voting distribution analysis that quantifies the Mercurial allocation and vesting status.
Maker uses surplus auctions where the system auctions surplus Dai for MKR and then burns the MKR received from the winning bid, which contracts MKR supply, as described in Maker Protocol documentation on the Flapper surplus auction mechanism.
Aave documentation states the Aave DAO operates a buyback program funded by protocol revenue with a $50 million annual budget and weekly purchases that range from $250,000 to $1.75 million, with tokens sent to the DAO Ecosystem Reserve rather than burned, on Aave protocol documentation describing the buyback program budget and execution.
Implications
The proposal turns token governance into capital policy that stakeholders can measure. It targets a defined dilution outcome by moving net new emissions from about 1.2B JUP to effectively zero, and it pairs that supply stance with a stated rule that routes 50% of on chain revenues to buybacks. That combination gives the market a simple scoreboard, emissions near zero plus ongoing buy pressure funded by revenue, not inflation.
Early vote analysis shows more than 24.5k votes within 48 hours and it shows a divergence where the Jupuary option leads by raw voter count while Net Zero Emissions leads by voting weight. Token weighted voting aligns outcomes with economic exposure, but it can widen the gap between how many people show up and who decides. Fintech builders can reduce that gap with delegation tooling, transparent quorum logic, and reporting practices that make governance outcomes feel earned.
See: Apex Group Pilots WLFI USD1 Stablecoin for Tokenized Funds
Offsets move sell pressure from the open market to treasury management. The proposal describes a treasury approach that aims to neutralize known future sell flows tied to vesting and distribution decisions, which creates a new execution test, the treasury must manage price, timing, and credibility in public. That's the same category of operational accountability that capital markets packaging requires.
Canada adds a practical lens because Canadian fintechs increasingly package products for institutional distribution where buyers demand explicit mechanics and predictable governance. Ledn’s Bitcoin backed ABS deal entering institutional markets shows how an institutional wrapper forces defined rules and clear investor expectations. Tokenized finance teams can apply that same discipline to emissions rules, treasury authority, and public reporting so partners can underwrite the model rather than debate it.
Talking Point
If a token stops emitting, who pays for growth and liquidity next, users through fees, builders through treasury, or the market through higher risk premiums?
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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Ledn Bitcoin Backed ABS Deal Enters Institutional Markets
Feb 23, 2026 | NCFA Fintech Market Activity | Digital Assets Blockchain And Tokenization
Crypto Secured Credit Packages Reach Rated Bond Buyers
On February 20 2026, Ledn announced the first ever investment grade asset backed securities transaction in the digital asset industry, placing Bitcoin secured consumer loans into a capital markets format designed for institutional fixed income buyers.
Reporting on presale ratings and collateral detail indicates the transaction totalled about $188M and referenced a collateral pool of 5,441 Bitcoin backed consumer loans secured by 4,078.87 Bitcoin with an aggregate presale collateral value near $330M. S&P Global Ratings assigned preliminary ratings to two tranches, signalling that crypto secured loan performance can be assessed within traditional credit frameworks.
What Is ABS Format
An asset backed security (ABS) pools loans and converts expected borrower payments into tradable bonds. In this structure, the underlying assets are Bitcoin collateralized consumer loans, which places operational emphasis on custody safeguards, liquidation triggers, valuation discipline, and reporting transparency.
See: BC Supreme Court Ends $1.2M Bitcoin Loan Dispute
For additional background on how crypto backed loans operate at the borrower level, this Fintech Fridays episode, Bitcoin backed loans and putting your crypto to work, provides context with Ledn Co-founder Mauricio Di Bartolomeo.
The Ledn issuance positions securitization as a funding diversification path. Instead of relying only on balance sheet capital or warehouse facilities, loan originators can distribute credit risk to bond investors, expanding lending capacity without requiring traditional bank balance sheet support.
Implications For Crypto Credit And Capital Markets
Structure changes market access. A crypto lending desk can fund loans directly, but a rated ABS wrapper introduces buyers who operate under fixed income mandates and portfolio risk frameworks. That development moves crypto secured credit closer to mainstream credit market infrastructure.
The transaction also reinforces operational expectations. Securitization forces clarity around collateral custody, margin maintenance, liquidation speed, valuation timing, and stress scenario performance. If these controls prove reliable in market cycles, securitized crypto credit could evolve into a recognized institutional allocation sleeve.
Ledn represents a Canadian founded crypto finance platform now operating globally. Prior milestones include Tether investing in Ledn to expand crypto credit access and Ledn receiving VASP regulatory approval in the Cayman Islands, which together strengthen its institutional positioning and reporting posture.
If institutional investors begin treating crypto secured ABS pools as a defined allocation sleeve, Canadian originated platforms that demonstrate transparent collateral management and disciplined underwriting could gain access to funding channels that operate beyond domestic banking constraints.
Talking Point
If securitized crypto credit continues to mature, the competitive edge may hinge less on yield and more on collateral governance, transparency, and investor distribution relationships.
Crypto secured lending is beginning to compete not only on returns, but on structure, reporting discipline, and institutional investability.
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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Apex Group Pilots WLFI USD1 Stablecoin for Tokenized Funds
Feb 18, 2026 | NCFA Fintech Market Activity | Tokenization and Digital Assets
Image: Freepik
Apex Group And WLFI Test USD1 Stablecoin Rails For Tokenized Funds
On February 18 2026, WLFI announced a strategic collaboration with Apex Group covering over $3.5 trillion in serviced assets, with a planned pilot to explore using WLFI’s USD1 stablecoin for tokenized asset subscriptions, distributions, and redemptions.
Apex Group operates in 52 countries and explains the work and partnership as a way to bring regulated stablecoin infrastructure into fund administration workflows, with the stated goal of streamlining settlement and improving operational efficiency for institutional clients.
See: VersaBank Becomes Banking Partner For QCAD Stablecoin
The collaboration also extends beyond cash movement. Parties will evaluate ways to make WLFI assets, including real estate and infrastructure holdings, available on the London Stock Exchange Group Digital Market Infrastructure platform, subject to applicable regulations and requirements. The Apex Group will also explore making assets tokenized using Apex Digital 3.0 available through WLFI’s planned mobile app, which the release says will support digital asset management and connections to bank accounts and wallets.
Zach Witkoff, Chief Executive Officer and Co Founder, World Liberty Financial:
“Working with Apex Group allows us to demonstrate USD1’s tremendous utility within capital markets infrastructure. This collaboration accelerates our mission to make WLFI assets accessible at the most established financial services platforms globally.”
The release also describes WLFI as inspired by President Donald J. Trump. The link to a political brand raises the stakes for how market participants evaluate governance, oversight, counterparty risk, and reputational exposure, especially when the use case touches institutional fund servicing rather than retail trading. Early WLFI token sales generated significant investor demand and capital commitments, positioning the ecosystem as both a funding vehicle and an emerging digital asset platform.
For tokenized funds, the operational promise is clear. Subscriptions and redemptions create predictable and repetitive money movement. A stablecoin rail can compress settlement timelines, tighten reconciliation loops, and reduce dependency on multi step bank handoffs, if the controls meet the standard that allocators and regulators expect.
If administrators can run clean tokenized fund flows on stablecoin rails, other administrators, custodians, and infrastructure providers will feel pressure to offer equivalent settlement options, or to partner with providers that already can. That competition will centre on who can deliver reliability, auditability, safeguards, and integration speed.
See: Stablecoin Interest and Rewards A Regulatory Fault Line
Peter Hughes, Founder and Chief Executive Officer, Apex Group:
“Our clients are increasingly interested in blockchain based solutions that deliver tangible benefits and cost savings. This collaboration with World Liberty Financial lets us examine how USD1 and stablecoin infrastructure can modernize our platform and services, while providing the edge to support our clients as digital asset integration becomes standard practice.”
Talking Point
If stablecoins start handling fund subscriptions and redemptions at scale, do administrators become the main gatekeepers that decide which stablecoin rails earn institutional trust?
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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