Despite lingering concerns with security, mobile banking has become extremely popular in Canada

While security remains a major concern, mobile banking is nonetheless spreading like wildfire.

It appears that convenience trumps security worries as a new report reveals Canadians are adopting banking apps on their smartphone rapidly.

Well over 2.5 million Canadians are already banking on the go, according to the report by Solutions Research Group. The Toronto-based firm, which tracks emerging technology trends, noted that number represents more than a third of smartphone users with data plans—meaning that, effectively, at least one in three eligible Canadians are accessing mobile banking.

This is remarkable traction when one considers that the first mobile bank app launched just 14 months ago. Compare this stat to four years—that's how long it took online banking to earn the same level of penetration in Canada. And online banking is perceived as even more secure than mobile.

Which brings us to that ever-present barrier: security. About eight percent of Canadians who download banking apps don't end up using them, believed to be largely due to hesitation as a result of concerns over the level of security mobile devices offer.

Then again, people had the same fears with ATMs, and now they're considered commonplace and completely safe.

On the whole, banking apps are well-positioned: they're the sixth most popular app category, behind unbeatables like games, weather, messaging, navigation, and social networking. Despite being introduced in only 2010, banking apps have already surpassed music, news, video, and entertainment apps, many of which have existed since the early 2000s and virtually all of which have existed since at least 2007 when the first iPhone was introduced.

Most mobile bankers are men, and most mobile bankers are iPhone users.

Their popularity is expected to grow as more features are added. Several banks are close to launching mobile stock-trading apps, including TD which could have one on the market by the end of the year. As in mobile banking, ensuring the trading platforms are safe from blunders or identity theft is a key concern.

RBC, Canada’s largest bank, is eyeing similar trading functions, along with other mobile enhancements. “You’ll see evolutions of those apps,” said Dave McKay, head of retail banking at RBC in a recent interview. “Whether it’s helping you calculate a mortgage, which is pretty simple, or direct-investing apps to help you buy and sell stock or … alerts and advice around your accounts, everything you see online will be available in an app.”