Konsentus, a provider of Regulatory Technology (regtech) solutions for Open Banking, has completed pre-series A funding round led by Conviction Investment Partners.

The regtech company launched in 2018 and it allows financial institutions to verify in real-time that third parties are both legitimate and authorised by their country’s regulator to provide the services being requested.

Conviction led the multi-million-pound investment after recognising Konsentus’ high-growth potential and how it can contribute to creating a safe Open Banking environment for banks and financial services companies. Open banking requires banks and financial services companies to share customer data and financial information with third-party organisations, exposing them to risk.

Conviction represents a syndicate of global investors that focus on B2B, software as a service (SaaS) capital opportunities. According to Open Banking Expo, it has successfully raised over GBP 70 million of venture capital since the firm was established in 2017. Conviction has participated in one exit and two mergers, which includes Paypal’s USD 2.2 billion acquisition of payment solutions provider iZettle.