FiVerity Secures $ 2 Million Round To Accelerate Growth And Expand Cyber Fraud Detection Platform For Banks, Credit Unions And Credit Card Providers
BOSTON–(BUSINESS WIRE) –FiVerity, Inc., a leading provider of cyber fraud detection and threat intelligence, today announced that it has closed a $ 2 million funding round to expand its cyber fraud detection and intelligence platform. threats, which deals with the growing types of cyber fraud for financial institutions. The investment was fueled by Mendoza Ventures and a class of super-angels from the cybersecurity and financial services industries, including serial entrepreneur Doug Levin, who has been named executive chairman of the company. FiVerity will use the funds to develop its products and intensify its sales and marketing efforts.
FiVerity’s machine learning platform detects and prevents new and existing types of fraud more effectively than current alternatives at banks, credit unions, credit card providers, and other financial institutions. Faced with the growing increase in cyber fraud, FiVerity initially focused on fighting synthetic identity fraud (SIF) – the fastest growing financial fraud at 25% per year which accounts for 20% of consumer credit losses, according to the Federal Reserve, and cost industry more than $ 20 billion last year.
BIS scammers combine real and fake information to create entirely new fraudulent identities to infiltrate financial institutions. They often use automation tools to generate thousands of fake identities to request fraudulent accounts and loans, which overwhelms banks’ prevention efforts. The FiVerity platform overlays existing data systems and services with a layer of machine learning that learns from human intelligence to provide a holistic perspective on fraud. Results are disseminated to a community of financial institutions, regulators and law enforcement through secure information sharing, strengthening industry collaboration to better thwart fraudsters.
“The increasing severity of synthetic identity fraud has been the focal point of our entry into the market. We have seen great results in preventing this type of cyber fraud, up to 40%, for our bank and credit union clients, ”said Greg Woolf, Founder and CEO of FiVerity. “But SIF detection and prevention is only for beginners, our platform has much wider applicability. This funding will help build momentum with our existing solutions, while expanding to other types of financial cyber fraud and threat intelligence needs.
Support from the AI, anti-fraud and investment community
With this cycle, FiVerity has added key industry leaders to its advisory board, including professors from Harvard Business School and former executives from the Securities and Exchange Commission, the US Department of the Treasury, and the US Navy. Intelligence. The Federal Reserve included the company in a white paper on RIS mitigation strategies and invited Mr. Woolf to participate in a standards-setting group to improve consistency and collaboration among all banks, credit unions and other financial institutions.
“As fraudsters stage an AI arms race, FiVerity has kept banks and credit unions one step ahead of hackers and their cyber fraud schemes,” said Adrian Mendoza, Founder and general partner of Mendoza Ventures. “We have seen significant customer growth and market acceptance with FiVerity since their launch and we anticipate significant growth in the coming year. They attract great advisers and world-class talent while forging deep connections within the AI community, financial institutions, the Federal Reserve, government agencies and law enforcement. ”
“It’s the business application of AI that matters, where service applications and digital learning continually drive the platform, which represents the necessary competitive advantage in businesses and around the world,” said Karim R. Lakhani, Charles E. Wilson professor of business administration. at Harvard Business School and author of ‘Competition in the Age of AI“. “The FiVerity team has taken this approach fully with the perfect market application. FiVerity’s unique machine learning approach, and its close relationships with key stakeholders in the private and public sectors, make them uniquely suited to thwart new levels of sophisticated financial fraud and help their clients stay ahead of the curve. the bad players in today’s rapidly changing digital landscape in financial services. . ”
FiVerity, Inc., is a revolutionary cyber fraud detection company, using machine learning and secure identity management to prevent sophisticated forms of cyber fraud. Company SynthID® The platform focuses on combating cyber fraud threats at financial institutions in real time, including Synthetic Identity Fraud (SIF), a rapidly growing financial crime. FiVerity provides actionable and proactive threat intelligence to banks, credit unions and credit card providers in a public-private partnership, helping to strengthen and evolve their consumer lending processes, customer integration and payment. For more information visit http://www.fiverity.com/.