October 17, 2023 at 12:30PM
New York-based startup Prove Identity, formerly known as Payfone, has raised $40 million in funding led by MassMutual Ventures and Capital One Ventures. The company provides identity verification and authentication technology to banks, retailers, and healthcare institutions, claiming impressive results such as faster onboarding and a reduction in fraud. Prove Identity’s smartphone-based platform uses mobile devices for secure verification in various channels. The funding will be used to launch new commerce enablement and fraud-fighting use cases. The company’s customers include top American banks and major global cryptocurrency exchanges and retailers.
Key Takeaways from the Meeting Notes:
1. Prove Identity, a late-stage startup, has secured $40 million in funding for its pivot to the digital identity verification and authentication market.
2. The funding round was led by MassMutual Ventures and Capital One Ventures.
3. Prove Identity has raised over $215 million to date and has rebranded itself as an enterprise vendor targeting banks, retailers, and healthcare institutions.
4. The new capital will be used to launch new commerce enablement and fraud-fighting use cases.
5. Prove Identity’s technology offers smartphone-based identity verification, providing frictionless consumer experiences while maintaining security standards against new fraud vectors.
6. The technology has demonstrated results, including up to 79% faster onboarding, a 35% reduction in abandonment, and a 75% reduction in fraud.
7. Prove Identity’s customers include nine of the top 10 American banks, major global cryptocurrency exchanges, and U.S. retailers.