Onfido Raises $100 Million Because “Identity is Broken”

https://finovate.com/onfido-raises-100-million-because-identity-is-broken/
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Digital identity verification platform Onfido
reeled
in $100 million in a round led by TPG Growth this week.
Salesforce Ventures, Microsoft’s M12 Capital, and others also
participated. The London-based company’s total investment now
sits at just over $182 million.

The company, which counts TechStars, YCombinator, and 500
Startups among its previous investors, will use the funding toward
R&D and global expansion. Specifically, Onfido plans to boost
its operations in the North American market.

Onfido started off in 2012 with $20,000 in funding from Oxford
University and made those funds last for a whole year. After that,
the company said it could go one of two routes: it could grow
quickly and rely on investment to sustain operations or it could
opt for slower growth but be financially self-sufficient.

“We’ve naturally chosen the grow-fast path because we
strongly feel that the time to solve the digital access problem is
overdue, and urgently needs to be solved, for good,” said CEO and
Co-founder Husayn Kassai.

From the outset, Kassai and fellow co-founders Eamon Jubbawy and
Ruhul Amin focused on creating a new standard for digital access
that looks beyond credit bureaus for a more inclusive approach that
stops fraud without compromising the user experience. “Identity
is broken and getting worse, contributing to $2 trillion in
laundered money,” said Kassai.

To reach this objective, Onfido tapped the power of machine
learning to assess 4,500 types of documents from 195 countries for
authenticity, as well as match document photos to the user’s
selfie. The technology, which the company showcased
at FinovateFall 2018, can be used for user onboarding, identity
verification, fraud detection, age verification, and to help meet
AML and KYC requirements.

“We didn’t fundraise to just get to the next milestone, we
need the funding as we’re changing the world,” added
Kassai.

With more than 350 employees across nine offices in London, San
Francisco, New York, Albuquerque, Lisbon, Berlin, Paris, New Delhi,
and Singapore, Onfido helps more than 1,500 companies verify their
users. Among the company’s clients are Revolut,
Zipcar, Expensify, and Bitstamp.

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Onfido Raises $100 Million Because “Identity is Broken”

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