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Licensing and Regulatory Disclosures

1. Introduction

This Licensing and Regulatory Disclosures page explains the regulatory status, partner model, and important financial service disclosures for Kobopay Inc. (“Kobopay,” “we,” “us,” or “our”).

Kobopay provides financial technology services designed to help individuals and businesses hold, move, convert, receive, and send money across supported currencies and jurisdictions. Kobopay may also offer credit-building, rent-reporting, business payment, invoicing, API, and card-related services where available.

The Services may be provided by Kobopay directly, by Kobopay through regulated partners, or by regulated third-party financial institutions and payment providers. Product availability, regulatory status, partner arrangements, and protections may vary by country, currency, product, account type, and user eligibility.

2. Legal name

The legal name used for the Services is:

Kobo Payments Inc.

Additional local subsidiaries, affiliates, registered business names, or regulated partner names may be disclosed in product-specific terms, account agreements, onboarding disclosures, or customer notices.

3. Canada regulatory disclosures

Kobopay’s Canadian activities may include money services business, payment service provider, payment facilitation, remittance, wallet, FX, credit reporting support, and related financial technology activities, subject to applicable Canadian laws and regulatory requirements.

Where applicable, Kobopay may be registered with or supervised by Canadian regulatory authorities, including:

  • FINTRAC for money services business-related obligations.
  • Bank of Canada for retail payment activity supervision under Canada’s retail payment framework.
  • Credit bureaus and credit reporting frameworks for credit-building and rent-reporting services.
  • Other federal or provincial regulators where applicable to a specific product or activity.
  • FINTRAC MSB registration number: M23629629
  • Bank of Canada PSP registration status / registration number: RPS0014450

4. Not a bank

Kobopay is a financial technology company and is not a bank unless expressly stated in a product-specific disclosure. Kobopay accounts are not traditional bank deposit accounts. Banking, safeguarding, account issuance, card issuance, settlement, payment processing, and custody services may be provided by regulated third-party financial institutions and service providers.

Unless expressly stated, balances held in connection with Kobopay Services are not insured deposits and may not be eligible for deposit insurance from the Canada Deposit Insurance Corporation, the Federal Deposit Insurance Corporation, the Financial Services Compensation Scheme, or any other deposit insurance scheme.

5. Safeguarding of customer funds

Where Kobopay or its partners hold end-user funds, those funds may be held in safeguarding accounts, trust accounts, segregated accounts, custodial accounts, pooled accounts, or other structures maintained with regulated financial institutions or permitted safeguarding partners.

The exact safeguarding structure may vary depending on the product, currency, jurisdiction, partner, and account type. Kobopay may maintain internal ledgers reflecting user balances, while funds may be held and controlled by regulated partners.

Kobopay does not use customer funds for its own operating expenses. Customer funds may be commingled with funds of other users in pooled safeguarding accounts, while Kobopay’s internal ledger records individual user entitlements.

Safeguarding is designed to protect customer funds, but it is not the same as deposit insurance and does not eliminate all risks, including bank failure risk, partner failure risk, operational risk, reconciliation risk, insolvency risk, legal risk, or force majeure events.

6. Partner-bank and BaaS model

Some Kobopay Services may be delivered using a banking-as-a-service, payment partner, card issuer, acquiring bank, settlement bank, remittance partner, or custodial partner model. In this model:

  • A regulated partner may hold customer funds.
  • A regulated partner may issue accounts, wallets, IBANs, virtual accounts, cards, or payment instruments.
  • Kobopay may provide the user interface, technology layer, ledger interface, compliance workflow, customer experience, and support layer.
  • Kobopay may rely on partner APIs, webhooks, settlement files, and reconciliation reports to update user balances and transaction histories.
  • Product-specific terms may identify the relevant regulated partner.

Where required, partner terms and disclosures will be made available before you use the relevant Service.

7. Money transmission, remittance, and FX

Kobopay may support local and international money movement, remittance-related services, currency conversion, and FX services. These Services may be provided directly by Kobopay where authorized or through regulated remittance, payment, FX, banking, or liquidity partners.

Transaction availability may depend on:

  • Supported countries and currencies.
  • User verification status.
  • Transaction limits.
  • Sanctions and compliance checks.
  • Partner availability.
  • Payment rail availability.
  • Liquidity and settlement conditions.
  • Legal and regulatory restrictions.

Exchange rates, spreads, fees, and estimated delivery times may vary by corridor, currency, payment method, partner, transaction amount, and market conditions.

8. Stablecoin and digital asset infrastructure disclosure

Kobopay may use stablecoins, digital asset infrastructure, blockchain networks, liquidity providers, or blockchain analytics tools behind the scenes to facilitate faster, lower-cost, or more efficient settlement and cross-border money movement.

Unless expressly disclosed in a product-specific agreement:

  • Kobopay does not provide users with a speculative crypto investment product.
  • Kobopay does not provide investment advice.
  • Kobopay does not guarantee the value, liquidity, redemption, or availability of any stablecoin or digital asset infrastructure.
  • Users may interact with a fiat-facing interface while Kobopay or its partners manage infrastructure-level settlement.

Where users directly send, receive, hold, convert, or withdraw digital assets, additional digital asset terms, risk disclosures, wallet disclosures, and compliance requirements may apply.

9. Credit-building and credit reporting disclosures

Kobopay may offer credit-building, rent-reporting, or related services designed to help users establish or strengthen credit files. These Services may involve reporting eligible payment or account information to credit bureaus or credit reporting agencies.

Kobopay does not guarantee that these Services will improve a user’s credit score, credit report, loan approval likelihood, rental approval likelihood, or access to financial products. Credit outcomes depend on many factors, including payment history, account history, bureau methodology, existing credit profile, lender criteria, and user behavior.

Negative activity, missed payments, returned payments, account delinquency, account closure, or inaccurate information may affect a user’s credit report where reportable and permitted by law.

Users are responsible for reviewing credit bureau reports and disputing inaccurate information through the applicable credit bureau or through Kobopay where appropriate.

10. Business accounts and merchant services disclosures

Kobopay may provide business accounts, merchant wallets, invoicing tools, FX services, API access, corporate card-related services, and payment tools for approved businesses. Business use is subject to KYB review, beneficial ownership verification, transaction monitoring, risk review, prohibited business restrictions, and partner approval.

Kobopay may reject, restrict, suspend, or terminate business accounts based on industry risk, transaction activity, ownership structure, jurisdiction, sanctions exposure, compliance concerns, excessive disputes, chargebacks, fraud, or partner requirements.

Businesses are responsible for complying with all laws applicable to their products, services, customers, employees, contractors, vendors, tax obligations, consumer protection obligations, data protection obligations, and payment activity.

11. Compliance obligations

Kobopay maintains compliance controls designed to meet applicable legal, regulatory, partner, and risk requirements. These controls may include:

  • Customer identification and verification.
  • Business verification.
  • Beneficial ownership verification.
  • Sanctions screening.
  • Politically exposed person screening.
  • Adverse media screening.
  • Transaction monitoring.
  • Suspicious activity review and reporting.
  • Large transaction reporting, where applicable.
  • Virtual currency transaction monitoring, where applicable.
  • Recordkeeping.
  • Complaint handling.
  • Operational risk management.
  • Safeguarding controls.
  • Incident response.
  • Vendor risk management.

Kobopay may request additional information or documents at any time to meet these obligations.

12. Restricted jurisdictions and prohibited persons

Kobopay does not provide Services in all jurisdictions. We may restrict access based on residence, location, citizenship, business registration, beneficial ownership, transaction corridor, sanctions risk, partner restrictions, or regulatory requirements.

You may not use the Services if you are a prohibited person, sanctioned person, located in a restricted jurisdiction, acting on behalf of a restricted party, or otherwise prohibited under applicable law or Kobopay policy.

13. No financial, legal, tax, or investment advice

Kobopay does not provide financial, legal, tax, accounting, investment, credit repair, immigration, or professional advice. Information provided through the Services is for general informational and service-related purposes only. You should consult qualified advisors for advice specific to your circumstances.

14. Complaints and regulatory inquiries

If you have a complaint about Kobopay or the Services, contact us first so we can attempt to resolve it:

Kobopay Inc.Complaints contact: hello@kobopay.coAddress: 8 Nelson St. W, Brampton, ON L6X 1B7, Canada

Please include your name, account email, transaction reference if applicable, and a clear description of the issue.

If we cannot resolve your complaint, you may have the right to contact a regulator, credit bureau, consumer protection body, financial ombudsman, or other authority depending on your jurisdiction and the Service involved.

15. Product-specific disclosures control

This Licensing and Regulatory Disclosures page provides general information. Product-specific terms, account agreements, cardholder agreements, credit reporting consents, remittance disclosures, fee schedules, partner disclosures, and transaction confirmations may contain additional or different information. If there is a conflict, the product-specific disclosure will control for that product or Service.

16. Updates

We may update this Licensing and Regulatory Disclosures page from time to time to reflect changes in our products, partners, licences, registrations, jurisdictions, legal requirements, or business operations. The updated version will be posted with a new “Last updated” date.