Grey, a cross-border payment platform backed by Y Combinator, has been registered as a Payment Service Provider under Canada’s Retail Payment Activities Act (RPAA).
Image source: Grey
The RPAA is a federal framework overseen by the Bank of Canada. Registered providers must meet requirements for operational risk management, safeguarding end-user funds, and incident reporting.
Grey’s registration allows the company to offer payment services to customers in Canada under this framework. The platform supports transfers to Canadian bank accounts, including via Interac, through its banking and payments partners.
“Registering under the RPAA framework is an important step in aligning our operations with Canada’s regulatory expectations,” said Idorenyin Obong, CEO and co-founder of Grey. “Our goal is to provide a reliable and transparent way for users to send money to Canada, with delivery times that can be near real-time depending on the payment method used.”
Nigeria-based Grey is also registered as a Money Services Business with FINTRAC in Canada and with the Financial Crimes Enforcement Network in the United States.
The platform offers multi-currency accounts in USD, GBP, and EUR, supports transfers to over 170 destinations, and provides virtual cards for international spending. Grey operates across Africa, Europe, Latin America and some Southeast Asian markets. Its mobile payment app is available on iOS and Android.
Idorenyin Obong and Femi Aghedo launched Grey in July 2020 under the name Aboki Africa. The startup later changed its original name to Grey in a bid to become more international-friendly and expand cross-border. In 2022, the company secured a place in the Winter startup batch at Y Combinator. At that point, Grey’s monthly users increased by 36% to 12,000 while revenue went up by 64%. In August 2022, the startup raised $2 million in seed funding from Y Combinator, Soma Capital, Heirloom Fund, True Culture Fund, and several notable angel investors.
