From Prototype to Enterprise-Grade Compliance - with Michael Konrath (Choice Digital)
What does it really take to build a regulated fintech product from scratch - with a small team and a bootstrapped budget?
In this episode of Futureproof, Prakash Chandran sits down with Michael Konrath, co-founder and Chief Product Officer of Choice Digital, a fintech company that ensures customers - including the unbanked - actually receive the payments they're owed. Michael shares the full arc of building Choice Digital: from prototyping on Bubble in a co-working space to processing nearly $1 billion in payments today. Along the way, they dig into the realities of compliance in a regulated industry, the trade-offs of building fast versus building right, and how AI is starting to reshape the way his team ships software.
Topics covered include:
- Starting small with no-code: Why Choice Digital's first product was built on no-code tools in 30 days, processed $20 million in payments, and lasted far longer than expected - plus how that scrappy mindset still matters in the age of AI.
- Compliance as a foundation, not an afterthought: The case for investing in SOC 1 and SOC 2 frameworks early, how PCI compliance shapes product architecture, and why segmenting systems can simplify your regulatory journey.
- AI adoption in a regulated space: Why Choice Digital is taking a deliberate, human-in-the-loop approach to AI, focusing on deterministic processes and clear policies before letting models touch customer data.
- 00:00 Introduction
Prakash introduces Michael Konrath and the themes of the episode.
- 01:47 Michael’s Career Journey
From coding BASIC to consulting at IBM and Amdocs, finding product management, and the path to founding Choice Digital.
- 05:03 The Genesis of Choice Digital
How utility rebate programs exposed a broken payment experience, validating the idea with 15 potential customers, and deciding to bootstrap.
- 09:02 The Build Story
Starting with Bubble, processing $20M in payments on a no-code prototype, and evolving the tech stack over time.
- 12:23 Compliance from Day One
Why Michael invested in SOC 1 and SOC 2 frameworks with just five employees, how pre-built tools made it manageable, and balancing compliance with pace of innovation.
- 16:47 PCI Compliance and Regulated Product Development
What PCI compliance actually is, why it matters for a card-issuing fintech, and how hiring a dedicated compliance lead changed the game.
- 21:19 Architecture Shaped by Regulation
How compliance requirements drove the decision to segment cardholder data into a separate, firewalled system.
- 23:17 The Evolving Role of a Technical Founder
Navigating the pull between staying in the code and leading the business, and why the 80/20 or 60/40 split is a work in progress.
- 28:34 Building the Team
Why Choice Digital hires senior engineers, invests in in-office culture, and leans on past working relationships to reduce hiring risk.
- 31:32 AI at Choice Digital
How the team is experimenting with AI - from Claude Code to Figma prototyping - while building a company-wide AI policy for a regulated environment.
- 35:39 Friction, Focus, and What’s Next
Why building too much too fast can be a liability, how customers before economics guides product decisions, and Choice Digital’s plans for international expansion.