From mobile payments to cybersecurity, trading analytics to blockchain, Ontario is a global leader in fintech.
Toronto, Ontario is North America’s second-largest financial hub behind New York. The province is also home to one of the largest IT clusters on the continent with a plethora of the world’s best tech talent. Ontario fintech innovators are finding success on the global stage. Whether you are considering relocating your fintech firm here or looking for the best fintech products and services to meet your business goals, look no further than Ontario.
Achieving a unicorn valuation from some of the worldʼs most respected investors is not only an exciting moment for us, but an exciting thing for the Canadian technology scene. As a business, we think it’s a huge validation of what we’ve built, and more importantly, where we’re going.
Mike Katchen, CEO, WealthsimpleSource: BetaKit, October 14, 2020
Canada recorded 241 fintech deals in 2019, bringing in $2.7 billion in investments. With 64% of Canada’s fintech firms located in Ontario, it’s no wonder the industry is not only thriving, but it’s also expanding. Canadian fintech adoption has increased from 8% in 2015 to 50% in 2019—a 4% increase over the U.S. adoption rate.
Toronto-based Blockchain Research Institute (BRI) is an independent, global think tank that brings together the world’s top researchers to undertake ground-breaking research on blockchain technology. Ontario’s major banks are currently testing out this technology for cross-border payments.
Industry growth is creating huge opportunities for financial technology companies, particularly those with offices in Ontario. Why? Because when it comes to Canadian financial services, Toronto, Ontario is where key technology decisions are made. Toronto is one of only 10 cities in the world that are considered both a start-up hub and a financial services leader. It is ranked as the most attractive centre for fintech companies and the fastest growing financial sector in North America.
The city is Canada’s financial services capital and headquarters for:
The concentration of global technology leaders, strong financial institutions and top-notch talent provides an excellent opportunity to develop, test and showcase new technologies. Ontario is already attracting world leaders in financial technology.
In the Mastercard Global Mobile Payments Readiness Index—a report that measures countries’ readiness to shift from plastic to interactive mobile devices—Canada ranks second only to Singapore among countries worldwide.
From ATMs to online banking, Canadians have been early adopters of financial technologies. In 2019, the total payments market in Canada grew to 22 billion consumer and business transactions worth US$7.6 trillion. Within Canada, non-cash payments account for 90% of the total value of consumer payments.
The mobile payments industry in Canada is expected to record a compound annual growth rate (CAGR) of 9.1% to reach US$117,670.7 million by 2025.
The future of the industry is bright, and Canadians are embracing mobile payments now more than ever:
The COVID-19 pandemic has also created a shift worldwide to ultimately creating a cashless society: “Cash and cheque payments have declined dramatically, having been replaced with contactless payments and other types of electronic payments [during the COVID-19 pandemic]. While we have seen a continued shift towards digital payments over a number of years in Canada, there’s no doubt that the prevailing pandemic has accelerated this shift—and will likely act as a catalyst in transforming the Canadian payment landscape forever,” says Tracey Black, President and CEO of Payments Canada.
As banks and other Canadian financial institutions reimagine their mobile capabilities, opportunities are being created for companies like yours.
Time-to-market for mobile-commerce innovations has gotten shorter, which creates a significant advantage when rolling out products first in Canada and then internationally.
World leaders in mobile payments have operations here, such as global solutions providers Square, MasterCard, VISA, Gemalto (acquired by Thales Group), Ingenico and Giesecke+Devrient. The list of top companies continues to expand.
