Online fraud and abuse prevention technology developer Arkose Labs has scored $70m in its Series C funding round.
SoftBank Vision Fund 2 served as the lead investor, with commitments also coming from Wells Fargo Strategic Capital, M12 and PayPal Ventures.
Capital from the round will be used to further its platform development, hire new staff and further its global expansion.
Arkose Labs claims to take a unique approach to fighting fraud and cybercrime. This approach involves being proactive in looking at how fraudsters make money by attacking digital platforms, as opposed to employing a reactive process and a game of “whack-a-mole” with attackers.
In working backwards from the starting point and then implementing strategies to make it more difficult for fraudsters to profit from attacks, Arkose Labs undermines the economic drivers behind fraud until perpetrators are compelled to abandon their attacks.
By combining real-time risk classification of traffic with interactive enforcement challenges, the RegTech claims to stop automated attacks.
Its services are used by Electronic Arts, Dropbox, Microsoft, PayPal, Sony Interactive Entertainment and others.
SoftBank Investment Advisers managing partner Nagraj Kashyap said, “As more companies conduct business online, they become more vulnerable to online fraud. We believe Arkose Labs has cracked the code in fighting cybercrime, by making it financially non-viable for criminals.
“Last year Arkose Labs analysed more than 15 billion online sessions, stopping 4.6 billion attacks and wasting 40 million hours of fraudsters’ time. The company’s unique approach to eliminating the rewards for criminals helps get at the true heart of the problem. We are excited to partner with Kevin and the Arkose Labs team to support their mission to eradicate fraud and cybercrime.”
This investment comes just months after Arkose Labs received an investment from Sony Innovation Fund. Sony is using Arkose to help identify and prevent fraud in gaming.
With the close of the round, the RegTech has raised a total of $114m in total funding.
Copyright © 2021 FinTech Global
