Feedzai receives USD 50 mln to enable banks and merchants fight fraud with AI

The round was led by an unnamed VC with additional capital from Sapphire Ventures. Founded in Portugal, Feedzai initially raised a USD 2 million Series A from Portuguese investors, Data Collective and Sapphire Ventures. After moving to the US, the company took on a USD 17 million round from Oak HC/FT in addition to capital from strategic investors for a total of USD 32 million.

The current funding will be used by the company to double its headcount to about 300 employees by the end of 2017. Maintaining strong sales and data science teams at scale will remain a major priority as Feedzai continues to grow market share servicing both sides of the market.

The startup’s platform is specifically designed to help mitigate payment fraud. This includes use cases where money is transacting between at least two parties. Under a microscope, common transaction logs can hint at illicit actors looking to game the system for financial gain. For more information about Feedzai, please check out a detailed profile of this company in our dedicated, industry-specific online company database.

Financial institutions are actively looking to upgrade old systems with solutions that can process data in aggregate, taking advantage of advancements in machine learning and the prevalence of things like in-memory databases.