US-based ID verification platform Alloy has raised USD 52 million in an extension to its C round.
Lightspeed Enterprise Companions and Avenir Progress led the extension spherical, with present traders Canapi Ventures, Bessemer Enterprise Companions, Avid Ventures ,and Felicis Ventures additionally taking part.
In 2021, Alloy turned unicorn after a preliminary USD 100 million in Collection C funding, which took the agency’s valuation to USD 1.35 billion.
Alloy plans to use its capital to continue to improve its service to existing markets, ‘solve global problems for global companies’ and expand its offerings. It also wants to continue hiring. Presently, the startup has 290 employees. Alloy says it’s also growing new options and including new companions to assist its rising shopper base and to proceed serving banks and fintech corporations around the globe handle their compliance and fraud risk.
When Alloy was founded in 2015, its mission was to help banks and fintechs make better identity and risk decisions using its single API service and SaaS offering. Since that time, the startup has evolved that offering to not only automate onboarding identity decisions but to also automate transaction monitoring and credit underwriting.
Now, Alloy is announcing that it has raised an additional USD 52 million at a USD 1.55 billion valuation 11 months after raising USD 100 million at a USD 1.35 billion valuation. Increased demand for identity tools that help financial institutions land more ‘good’ customers and weed out the ‘bad’ ones has led to Alloy doubling its annual recurring revenue (ARR) over 2021, according to company officials.
The US-based startup has more than 300 customers, including Ally Bank, HMBradley, Gemini, Ramp and Evolve Bank & Trust, Brex and Petal, that use its API-based product to connect to more than 160 data sources, automate identity decisions when originating new accounts and monitor them on an ongoing basis. Alloy claims to process over a million decisions per day. The end goal, of course, is to help its customers build fintech products that are safe for them to deploy and help them grow their customer base.
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