Security and Compliance Challenges Facing Fintechs in Costa Rica

Security and Compliance Challenges Facing Fintechs in Costa Rica

A critical look at operating with confidence in a regulated environment

The fintech revolution is reshaping Costa Rica’s financial landscape, enabling faster, more inclusive, and digital services.
However, this transformation brings significant challenges related to cybersecurity, regulatory compliance, and integration with critical infrastructure such as SINPE.

In a world where user trust and legal compliance are as important as digital experience, fintechs face growing pressure to meet technical, legal, and security demands—without compromising their ability to innovate.

1. Compliance with Law 7786 and SUGEF registration

Any fintech that manages or facilitates the transfer of funds—directly or indirectly—is subject to the regulatory framework for anti-money laundering and counter-terrorism financing.

Key obligations:

• Registration with SUGEF under Articles 15 or 15 bis, even if they don’t engage in financial intermediation.
• Implementation of Know Your Customer (KYC) policies.
• Reporting of suspicious transactions.
• Risk evaluation by customer type, channel, product, etc.
• Ongoing staff training in financial crime prevention.

Failing to comply exposes the company to legal penalties, reputational damage, and lost partnerships.

2. SINPE connectivity: a technical and regulatory challenge

Connecting to SINPE is a strategic step for any fintech seeking legitimacy in Costa Rica. But it comes with several layers of complexity:

Legal requirements:

• Registration with the Payment Systems Department of the BCCR.
• Submission of documentation according to the entity’s participation type.

Cybersecurity requirements from the Central Bank:

In a fully digital environment, security is not optional—it is foundational.

Widespread internet use and smartphone adoption in Costa Rica have rapidly increased the use of SINPE services.
This has pressured both the Central Bank and the financial ecosystem to speed up digitalization, resulting in:

• Greater access to digital channels
• Higher transaction volumes
• Increased exposure to cyberattacks

As a high-volume payment processor, SINPE demands best-in-class information security practices to protect confidentiality, integrity, and availability.

Entities must comply with:

Technical Standard: Cybersecurity Requirements for SINPE Participation

Which includes:

• Mandatory compliance for system access
• Encrypted communications, dual VPN, and environment segregation
• Comprehensive controls to mitigate cyber risk
• Regular security evaluations and audits

Technical infrastructure:

• Participation in SINPE requires robust technical maturity.
• Many fintechs overlook this in early product design.

3. Data protection and digital consent

Under Law 8968 (Data Protection Act), fintechs must:

• Obtain informed consent for handling financial data
• Protect personal and sensitive information
• Allow users to revoke consent at any time
• Maintain internal policies for data management and retention

4. Reputational and operational risks for fintechs

A security failure or compliance breach can result in:

• User churn and low retention
• Blocked partnerships with banks and institutions
• Regulatory investigations
• Negative media coverage

A "compliance by design" culture is no longer optional—it's a real competitive edge.

Conclusion: Compliance and cybersecurity are the new currencies of trust

Costa Rica offers a regulated but open environment for innovation.
Platforms like SINPE, laws like 7786, and entities like SUGEF provide the legal and operational framework for fintech growth.

But the key lies in proactive adaptation and anticipation.

Fintechs that view compliance and security not as obstacles, but as foundations of scale and reputation, are best positioned to lead the future of digital finance in Costa Rica and beyond.

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Are you a fintech or payment solutions developer?

Want to connect your app, platform, or company to SINPE?

📩 Contact us.
At Zimplifica, we help you integrate securely, in compliance, and at scale with the country’s financial infrastructure.

Innovation with confidence. That’s our language.