LemFi, a leading fintech app known for enabling low-cost and instant money transfers to Africa and Asia, has announced its official registration as a Payment Service Provider (PSP) under Canada’s new Retail Payment Activities Act (RPAA).
The registration places the company within a robust federal supervisory framework designed to enhance consumer protection and strengthen trust in the country’s payments ecosystem.
Announcing the development, the company wrote, “We are pleased to announce our official registration as a Payment Service Provider (PSP) with the Bank of Canada under Canada’s new Retail Payment Activities Act (RPAA).”
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The RPAA framework is intended to bring the same level of safety and reliability to payment providers that Canadians expect from their major banks. Under the regulatory structure overseen by the Bank of Canada, payment service providers must meet strict standards for operational resilience, fund safeguarding, and risk management.
By successfully registering under the RPAA, LemFi has demonstrated its ability to meet these enhanced federal requirements, placing the company within a high-standard regulatory environment that prioritizes consumer protection and accountability.
The registration also brings the fintech fully into Canada’s strengthened federal supervisory framework, reinforcing oversight under the central bank’s new payments regime.
According to LemFi, the milestone forms part of its broader strategy of reinforcing trust through strong compliance and regulatory frameworks while expanding its global financial infrastructure. It also aligns with its long-term ambition to build a full-stack financial services platform that supports people across borders.
While many fintech platforms concentrate solely on remittances, LemFi is working to develop a broader financial ecosystem that includes payments, credit, savings, and other financial tools within a single platform.
Canada has become one of the world’s fastest-growing outbound remittance markets. Data from the Migration Policy Institute estimates that outbound remittances from Canada reached approximately $8.6 billion in 2023. Major recipient countries include India, China, and the Philippines, key payment corridors already supported by LemFi’s global infrastructure.
The company noted that its PSP registration reflects its commitment to building a platform that is both innovative and aligned with the highest regulatory and operational standards.
“It means our customers can move money across borders knowing their funds are handled securely within a robust supervisory framework, while still benefiting from the speed, affordability, and simplicity that define the LemFi experience”, said Rian Cochran, Co-founder and CFO of LemFi.
The new registration also expands LemFi’s growing global regulatory footprint. The company currently holds licenses and approvals across several jurisdictions, including the United Kingdom, Ireland, Australia, and multiple U.S. states.
Today, LemFi serves more than 2 million customers worldwide, enabling money transfers to over 30 countries across Africa, Asia, Europe, and Latin America.
Founded in 2020 by Ridwan Olalere and Rian Cochran, to transform international money transfers, particularly for immigrant communities. LemFi (formerly Lemonade Finance) initially launched with multi-currency accounts and cross-border payment services offering competitive exchange rates and zero transaction fees, positioning itself as a more affordable alternative to traditional banking systems.
Headquartered in London, the company has experienced rapid growth, raising more than $86.8 million across several funding rounds while expanding its services to millions of users globally. Its early focus centered on serving the African diaspora and addressing financial challenges faced by individuals with international financial ties. Since its founding, LemFi has grown into a prominent fintech player in the global cross-border payments sector.