The PIN is encrypted and stored on MoBank's servers, rather than on the device, according to the company Web site. The company is also close to using voice recognition for what it considers to be "vulnerable" transactions, Townend said.

The company wants to expand its platform support all kinds of smartphones and topping its list are Android and BlackBerry phones, according to Townend.

The MoBank CEO is also a big fan of contactless payments. That market is being held back by a lack of phones that support Near Field Communication, the technology that makes it possible for users to pay by waving their handsets in front of readers. However, using a sticker with an NFC chipset may be a quick fix, Townend said.

"We have been working on putting what we call an NFC sticker on the back of the phone," said Townend. The sticker would come with value stored on it, similar to a gift card or voucher, according to Townend, and when the user has spent all the money, MoBank would have to send a new one.

"It's only a temporary measure, but it gets people using it and gets us known for innovating those things," said Townend, who expects to launch the service in six to 12 months.