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In a statement last week, Payments Canada interim co-CEO and chief delivery officer Jude Pinto indicated that the last component of the real-time rails, the clearing and settlement build, will continue in 2024, followed by initial testing in 2025 and industry testing in 2026.
Pinto did not disclose when Payments Canada hopes to ultimately launch the RTR, promising only to disclose more details “in the coming months.”
The update came on the same day the federal budget provided updates on open banking infrastructure that will come in legislation later this year and announced that Canada’s consumer-protection watchdog, the Financial Consumer Agency of Canada, will oversee the new system. Alex Vronces, executive director of Fintechs Canada, told BetaKit the announcement was the “most substantial and specific update the sector has gotten since the government started talking about open banking.”
(BetaKit)
Bitcoin enthusiasts were eagerly waiting for bitcoin’s ‘halving’ on Friday – a change to the cryptocurrency’s underlying technology designed to cut the rate at which new bitcoins are created.
The halving, which happens roughly every four years, was written into Bitcoin’s code at its inception by pseudonymous creator Satoshi Nakamoto as a way to reduce the rate at which bitcoins are created.
The halving works by halving the rewards cryptocurrency miners receive for creating new tokens, making it more expensive for them to put new bitcoins into circulation.
The federal government published its 2024 budget this past week and the reaction from Canadian tech was immediate and loud.
Following calls from Canadian business leaders, Budget 2024 announced the government’s plan to establish a working group led by former Bank of Canada governor Stephen Poloz aimed at encouraging Canada’s pension funds to make more investments in Canada.
But the biggest reaction came in response to proposed changes to the capital gains tax, which would lift the inclusion rate businesses pay on capital gains from 50 percent to 66.7 percent. Hundreds of Canadian tech leaders signed an open letter calling on Ottawa to claw back the changes, while others said they believe the reaction is a distraction and “hysteria.”
Still haven’t taken a look at #Budget2024?
BetaKit’s roundup has everything you need to know.
Toronto-based venture capital firm Contango Digital Assets has closed the first $5 million of its targeted $10-million Blockchain x AI Seed Fund. Contango says the fund is backed by Dean Skurka, the CEO of one of Canada’s largest crypto companies, WonderFi.
As its name suggests, the Blockchain x AI Seed Fund invests in North American seed-stage companies working at the intersection of blockchain and artificial intelligence.
(BetaKit)
Spend management startup Ramp has raised another $150 million at a post-money valuation of $7.65 billion, the company confirmed to TechCrunch.
The raise is characterized as an extension of Ramp’s Series D, in which the fintech company raised $300 million at a 28% lower valuation of $5.8 billion. The latest capital infusion brings it back closer to the $8.1 billion valuation it had achieved in March of 2022.
Ramp will also put the money toward acquisitions. In January, the company announced it had acquired AI-powered startup Venue as it expanded its procurement offering.
DMZ has received $500,000 CAD from the Embark Student Foundation’s Major Grant Program to expand its student-focused entrepreneurship programming.
The Toronto-based incubator specifically plans to expand Basecamp, its hybrid summer entrepreneurship program that helps students turn their ideas into tech solutions for social or economic challenges.
(BetaKit)
When one-click checkout startup Bolt told investors it would buy back their shares at what amounted to a 97% discount on the company’s late 2021 fundraising, it wasn’t clear why the company would make such an unusual move. After all, Bolt was burning cash as revenue flatlined. A new lawsuit may provide an answer.
Bolt co-founder Ryan Breslow, who stepped down as CEO two years ago, masterminded the lowball offer in order to maintain control over the company, according to a lawsuit brought by an investor.
Recent data from Indeed found that as of the end of January, 27 percent of tech jobs in Canada remained open for 60 days or more.
To Indeed’s VP of software engineering Iain Hamilton, it’s an intriguing time in the tech industry.
Despite a less favourable economy, the thirst for tech talent hasn’t waned. In fact, Hamilton said the economic landscape has resulted in fewer individuals actively seeking new opportunities, leading to a tight talent pool, and challenges for businesses looking to fill roles.
(BetaKit)
Berachain, the blockchain platform started by pseudonymous founders who use bear-themed nicknames, secured $100 million in funding, or about 45% higher than previously reported.
Investors backed Berachain through a “SAFT” or a simple agreement for future tokens. Last month, Bloomberg said that Berachain was raising more than $69 million at a valuation of at least $1 billion. The firm declined to provide a revised valuation.
Last month, Alberta Innovates sent a delegation of 50 local tech startups to the conference. This wasn’t the delegation’s inaugural trip; an initial foray in 2023 catalyzed millions of dollars in deals for the startups involved.
According to Tim Murphy, vice president of Alberta Innovates’ health division, the crown corporation had a clear objective going into this year’s conference.
Murphy, who joined the Alberta delegation this year, sat down with BetaKit to talk about Alberta Innovates’ strategy for the 2024 SXSW delegation, how the experience went, and the impact it’s hoped to create for the province’s tech sector.
(BetaKit)
Berlin-based finmid — one of the many startups building embedded fintech solutions, in its case targeting marketplaces that want to provide their own payment and financing options — has raised €23 million ($24.7 million) in a Series A round to further build out its product and enter new markets. The round values the company at €100 million ($107 million), post money.
Osler releases multi-year study of 450+ Canadian VC and growth equity financings
Osler, Hoskin & Harcourt LLP has released its third annual study of 486 anonymized venture capital and growth equity financings from 2020–2023, valued at approximately US$8 billion, providing data and insights for founders, entrepreneurs, investors and advisors contemplating transactions this year and beyond.
Join members of Osler’s Emerging and High Growth Companies Group May 1, 2024, at 12 p.m. ET, for a special one-hour virtual event when they provide insights and analysis from this important report.
