Mumbai-based ID verification and onboarding solutions company IDfy on Thursday said it has raised Rs 86 crore in funding from TransUnion and Blume Ventures.
IDfy plans to use proceeds of the Series D funding to strengthen its product offerings and expand its business and operations, a statement said.
IDfy (Baldor Technologies) builds technology products and solutions that accurately authenticate entities. This helps businesses prevent fraud and engage with verified entities with the least amount of friction.
IDfy is growing its business internationally. During the last six months, IDfy has been helping companies in South East Asia and the Middle East onboard verified merchants and customers in sectors like payments, e-commerce, and mobility.
IDfy has performed more than 70 million verifications for over 500 clients.
The company's AI-based platform is used by organisations to streamline and automate their KYC, employee and merchant onboarding. IDfy's APIs are incorporated into onboarding journeys where identity and background authentications are required to establish trust.
Its solutions are applied across banks and financial institutions, e-commerce, online marketplaces, telecom, gaming, and the on-demand economy. Its clients and partners are spread across India, South East Asia and the Middle East and the list includes the likes of Amazon, Airbnb, HDFC Bank, Dream11, and VISA.
“A billion more people globally are expected to enter the formal economy over the next 5 years. Our partnership with TransUnion gives us the chance to drive this change at a global scale. Blume Ventures has believed in us from day one. We are happy to have their continued support in the next, most exciting phase of our journey,” IDfy founder and CEO Ashok Hariharan said.
Karthik Reddy, Managing Partner of Blume Ventures, said accurate identification and verification of people is critical for the economy to progress as an estimated 400 million more Indians enter organised employment by 2025 and start accessing mainstream financial services.
''With a majority of these engagements being remote and virtual, we look at IDfy as an infrastructure play that will drive this growth. When we first invested in IDfy, they were already a pioneer in this sector. Our latest investment reaffirms our confidence in the company and its ability to direct digitisation in India as well as globally,” he added.
The market for digital authentications in India is expected to reach $2.4 billion by 2024, as per industry reports. Globally, the market for fraud detection and prevention is estimated to reach $142 billion by 2028.
(With inputs from PTI)
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