Onfido lands $50m round led by Softbank

By Roger Baird on Wednesday 3 April 2019

Digital Banking

The identity verification firm used by Revolut and Monzo said it grew by 342 per cent last year.

Onfido lands $50m round led by Softbank
Image source: Onfido

Onfido, the facial recognition firm used by fintechs such as Revolut and Monzo, has landed $50m in funding in order to boost product development and expand in the US and Europe.

The start up's funding was led by Japanese conglomerate SoftBank, Salesforce Ventures, M12 (Microsoft) Ventures and other investors. This brings the total investment in the firm to $100m since it was founded in 2012.

Onfido uses cutting-edge artificial intelligence technology that allows people to scan official documents and take selfies on their mobile phones, which can then be used to open an online bank account, or join a register for a new service.      

The company says its system can recognise 4,500 document types across 195 countries and takes as little as 15 seconds to register a new customer.

The business has 1,500 companies on its books such as Europcar, Indiegogo, Remitly and Zipcar. It adds that sales jumped by 342 per cent last year.

Onfido said it will use the cash to “consolidate its core market in the USA, accelerate Onfido’s expansion into high-growth regions including Europe and South-East Asia, as well as advancing product development”.

It added that former chief sales officer and vice chairman of US cloud-based software firm Salesforce Frank van Veenendaal (pictured, right) will join Onfido’s board.

Softbank Investment executive officer Tomoyuki Nii said: “We chose to invest in Onfido because they have proven their expertise at using artificial intelligence to effectively fight fraud, giving businesses a safe and secure way to scale their businesses online. ”

Fintechs and gaming firms use Onfido’s technology to quickly sign up clients to gain scale, while complying with international know your customer and anti-money laundering regulations.

Onfido chief executive and co-founder of Husayn Kassai (pictured, left) said: “We’re seeing new data breaches occur every day, resulting in millions of people’s private data ending up on the dark web. With this new funding, we can protect more businesses, in more countries—and in more ways—from the effects of fraud. We’ll also be able to expand the reach of our technology, so that people without a credit history can finally access the online services they badly need.”

In February, British challenger business bank OakNorth has landed $440m of investment led by SoftBank as it prepares to launch into the US market.

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