Toronto: Canadian fintech leader KOHO has officially become a registered Payment Service Provider (PSP) under the Retail Payment Activities Act (RPAA), making it one of the first fintech companies in Canada to receive this designation from the Bank of Canada.
The milestone, announced via Business Wire, represents a major advancement toward a more transparent, secure, and consumer-first financial system in the country.
By achieving PSP registration, KOHO is now operating under a nationally recognized regulatory framework that enhances the security of user funds, strengthens operational risk management, and enforces ongoing compliance and accountability.
Commitment to Security and Trust
KOHO’s registration signifies a deepened commitment to customer protection and regulatory transparency. Operating under the RPAA framework requires significant investments in people, processes, and technology, ensuring that KOHO maintains the highest standards in financial safety and operational resilience.
“We are incredibly proud to be one of the first registered Payment Service Providers in Canada, marking a pivotal moment in our journey and for the broader fintech industry,” said Daniel Eberhard, founder and CEO of KOHO.
“This registration is the strongest possible testament to the robust tools we’ve built to protect our users and strengthen trust in Canada’s financial system.”
Under the new framework, accountability at KOHO extends directly to its board of directors, reinforcing a culture of responsibility that aligns with the Bank of Canada’s oversight.
Shaping the Future of Regulated Fintech
This development marks a new era of accountability and oversight within Canada’s rapidly evolving fintech ecosystem. By voluntarily embracing federal regulation, KOHO is positioning itself as a pioneer in responsible financial innovation, setting a standard for transparency and consumer confidence in the digital finance sector.
Industry experts see this as a key moment for Canada’s fintech landscape, demonstrating how firms can balance innovation with compliance while contributing to a more resilient national payments infrastructure.
About KOHO
Founded in 2014 and headquartered in Toronto, KOHO offers Canadians a no-fee spending and savings account, accessible via the KOHO app and koho.ca. Its financial tools include:
Cover: short-term overdraft protection,
Credit Building: tools to help users improve credit scores, and
RoundUps: automated savings through micro-investments.
With a mission to empower financial well-being and simplify money management, KOHO continues to transform how Canadians spend, save, and grow their finances.
(Source: Business Wire | www.koho.ca)
