The IPA and Cardaq: A conversation with two CEOs

Cardaq CEO Hugo Remi recently joined he Innovative Payments Association (IPA) board. He and IPA CEO, Brian Tate, recently addressed what this means for both the fintech and the trade association. Launched in 2005, the Innovative Payments Association (IPA) is a trade organisation formed to be the leading voice of the electronic payments sector. The IPA’s board is built of industry leaders, and recently welcomed Cardaq CEO as a member. To find out more about what this will mean for both the trade organisation and the fintech, we sat down with both Hugo and Brian Tate – CEO of IPA. 

Hugo, why is joining the IPA board such an important achievement for both yourself and Cardaq? 

Hugo Remi (HR): I was delighted to join the IPA board. Simply put, the IPA is one of the leading industry organisations in the US that works directly with Congress to build a better regulatory environment. It’s not only a big honour to be on the board, but also responsibility and opportunity to bring new initiatives that could open more market opportunities for the business. I’m really excited by what I, and my fellow board members, can achieve.  

As a CEO in the payments industry, how important is the work of the IPA? 

HR: If there is anything I’ve learned in my time as  CEO, it’s that you can have the best company but it’s still vital to have strong relationships and work with the wider industry. No one is an island, as they say. For me it is one of the key aspects of my career - being the CEO is not only being responsible for your company, but also being responsible and caring for the business sector that you are working in. Payments is a great industry, full of innovation and at the cutting edge of fintech, which makes collaboration critical. The IPA gives me that chance   to make something more not only for the company, and for the industry. 

What are your ambitions for your time on the IPA board? What are you most looking forward to doing? 

HR: It’s still early days, but I see myself working more closely with Congress and trying to implement some of my regulatory initiatives to life. It’s very important to build closer relationships with regulators and policymakers, giving them insights we have from working on the frontline. We need regulations that create a safe and secure environment, supporting innovation instead of stifling it. To improve the regulatory environment in general, it’s crucial to work side by side with policymakers – and the IPA has a history of working with Members of Congress on both sides of the ailse.  

What key initiatives are you planning to work on as part of the IPA board? 

HR: Any financial services CEO – regardless of the subsector they work in – will tell you that it’s a challenge to work with so many different regulatory frameworks. I work across many jurisdictions, and I know first-hand how difficult it is to develop products and services that will not just satisfy one regulator’s rules, but others at the same time.  

With that in mind, I’m interested in bringing the UK/EU regulatory experience into the US and harmonizing the federal regulations to make it easier to get the global US coverage over all of the states. A big focus for this work will be the money transmitter issues.  In discussions, I want to make the MSB regulation more transparent and secured for both customers and members. This would also involve making the MSB more independent from the banks in the US, much like it is in UK. 

How crucial a role will the IPA play in the next 12 months for the payments industry? 

HR: Speaking from experience and knowing how many stakeholders are involved to push through meaningful change, I’m aware this will be long-term work. Realistically speaking, I’m not expecting there to be any significant results in 12 months’ time. However, we’re in this for the long run and hopefully we can discuss something after three to five years of active work. It will be a very interesting period, and I can’t wait for this next stage of the journey.  

Brian, why did you decide to accept Cardaq as a member of the IPA? 

Brian Tate (BT): The IPA serves a diverse range of innovative companies that serve different roles in the payments value chain. Further, a number of members not only have a presence in the US, but also internationally. During my time at the association we have had members with operations in Canada, Mexico, UK, EU and South America. Cardaq is a long-time innovator in the payments marketplace and helps its client process payments in a variety of countries. As we have seen recently, processors are a critical part of the value chain. Once we learned Cardaq had interest in becoming a member of the IPA, the decision was easy, and I was delighted to welcome their membership.  

What will Hugo bring to the board, and how will he complement the skillsets and expertise of the existing directors? 

BT: Once Cardaq became a member of the IPA the next obvious step was to invite Hugo to serve as a board member. Hugo had previous experience serving and brings a wealth of experience and relationships that I personally think will not only enhance discussions at the board level, but our wider membership as well.  

What are the IPA’s key priorities for the next 12 months? 

BT: To look ahead, it’s important we take stock of where we are. As you know 2024 has been a very active year for the payment’s community. We may well look back in a year or two and see that the events that took place in 2024 reshaped the payments landscape. 

Simply put, our number one priority is always our members. When they are successful, we are successful. We are currently working on a wide range of issues on behalf of our members with the potential to extend into 2025, including: brokered deposits, debit interchange, open banking, EWA regulation and regulatory compliance in general to name a few. In times of change, industries require strong trade associations to operate on their behalf – to listen and address concerns that are raised.  

To encourage innovation in the payments industry, what initiatives is the IPA leading? And what additional support is needed from a policy perspective? 

BT: At the IPA, we are leading by encouraging our members to remember the basics when they are developing their products.  

First, the consumer should always be the primary focus when developing any product. Two, we strongly encourage members to keep in mind what it takes to develop strong lasting partnerships to deliver products to market. That is why we developed our Bank-Fintech Guide, so our members know what basic questions and issues they need to think about before solidifying a partnership with a third party. Lastly, we try to keep our members up to date with the current regulations that have to comply with in order to operate efficiently and effectively. The rules for payments are evolving, and it is critical that our members to know the rules inside and out.  

What is your overall vision for what the IPA is aiming to achieve? 

BT: Since the association’s founding, the IPA's goal has always been to encourage efficient use of electronic payments, cultivate financial inclusion through educating and empowering consumers, represent the industry before legislative and regulatory bodies, and provide thought leadership.​ That being said, our ultimate goal is to help our members create a competitive and stable market environment where the IPA can stand back and watch our members compete for customers.