Mogo Inc (NASDAQ: MOGO) is a Vancouver-based fintech company dedicated to keeping up with digital banking innovations since its launch in the 2000s. In an interview with Financial Post’s Stephanie Hughes, David Feller, Mogo founder, and CEO made the following remarks regarding Canada’s rapidly evolving fintech landscape.
Feller noted that there are a lot of regulations in Canada that apply to businesses directly. The regulation creates challenges and increases the costs of doing business. This is also becoming a barrier to entry into business as one needs a certain scale to launch a fintech.
Further elaborating on regulations, Mogo’s CEO acknowledges that regulations are slowly evolving, mostly since cryptos a becoming part of business for fintech. He believes a framework must be established to regulate cryptos as they become mainstream, just like equities.
Feller also notes how cryptos are being adopted in platforms that include Visa and MasterCard. Cryptos are also used in acquisitions and the payment platform as well globally.
Mogo was among the first platforms to buy and sell bitcoin. Feller notes that back in 2018, Mogo received a lot of criticism for getting into bitcoin. But since the company is trying to be consumer-driven, at the same time remaining in line with regulations.
Feller notes that banking services are slowly shifting towards fintech services. However, banks still have the highest percentage of customers, but companies like Mogo, PayPal, and Wealthsimple are slowly gaining market.
Mogo was the first Canadian company to launch free credit scores. The firm is also planning to launch commission-free stock trading this year to help clients learn how to manage stocks and make informed decisions. In doing so, banks will continue losing market share since they won’t lead such innovation without a pricing side.