The founding idea behind Canopy was to build a company that provides loans or financial products to buy a home, start a business, or acquire an education.
Thanks to 10 years of experience working in Fintech, the founders understand the shortcomings of the backend system which can be more than half a century old.
The founders of Canopy expressed their happiness that the company’s Series A funding round was a success, and Canopy raised $15 million. The round was led by Canaan and In addition, other investors such as Homebrew, Foundation, BoxGroup and Commerce participated.
Through Canopy, developers and brands will launch and deliver their financial products to customers. Canopy will focus on developing friendly APIs, real-time data and white label solutions. Building financial products that satisfy market needs will become easier for Canopy’s partners.
Previously, in the context of society, the lack of flexibility in loan management technology led to the delay in credit line updates or new loan products.
Since then, ideas to build an infrastructure that can support Fintech have gradually been formed.
Today, most financial institutions operate on the Common Business Oriented Language (COBOL) originally designed in 1959 as a reliable, flexible, and portable coding language.
That has made it one of the most popular coding languages in the world.
One problem that Fintechs are facing is pricing and logistics. Core banking provides power for accounts, statements and processing for large numbers of consumers.
In the hope of launching a $1 million credit product within 12-18 months, lenders will face a second loan, overpayment or delayed payment. misses, disputes, etc…
The tool they need to solve all that is to an API. This is exactly what Canopy did. Canopy partners easily have a system of their customer profiles and loans, and also offer new products and track services.
With new technology, the finance industry in the USA may grow to include fresh products that are good for both the industry, and consumers.