October 17, 2023 at 09:30AM
Anonybit, a provider of biometric authentication and data protection solutions, has raised $3 million in a seed extension round, bringing its total funding to $8 million. The funding was led by Jam Fintop, with additional investment from Connecticut Innovations. Anonybit’s technology uses distributed storage and processing of biometrics to securely manage user accounts and data. The investment will be used to further develop its identity management platform and drive growth. Anonybit’s approach of decentralized data storage eliminates the risk of data breaches and allows safe account recovery without passwords or knowledge-based authenticators.
Anonybit, a biometric authentication and data protection solutions provider, has recently raised $3 million in a seed extension round, bringing the total amount raised by the company to $8 million. The funding round was led by Jam Fintop, with additional investment from Connecticut Innovations.
Anonybit offers identity management solutions to secure user accounts and data. The company has developed technology that supports the decentralized storage and processing of biometrics and personal data.
Their flagship platform, called the Genie, utilizes decentralized biometrics to create a unified identity lifecycle, connecting onboarding, authentication, and account recovery. This approach helps prevent threats such as synthetic identity fraud and account takeover. Unlike other providers, Anonybit does not store biometric information in a centralized database, instead opting for anonymized bits distributed across a peer-to-peer node network.
According to Anonybit, this decentralized data storage method eliminates the risk of data breaches while still ensuring secure account recovery without the need for knowledge-based authenticators or passwords.
The newly acquired investment will be used to further develop Anonybit’s privacy-by-design identity management platform and support its growth. Founded in 2018, the company is based in New York and has a subsidiary in Tel Aviv, Israel.
Ryan Zacharia, managing partner at Jam Fintop, expressed the belief that Anonybit’s technology allows banks and other enterprises to securely leverage biometric data for user authentication. Considering the persistent and growing threat of cybercrime, he believes that enhanced authentication methods will become a necessity for banks.