Fourthline, a RegTech firm that provides AI-powered and compliant KYC and AML solutions, has bagged €50m from new and existing investors.
The Fourthline platform provides banks and financial services providers with a complete suite of proprietary tech products that adhere to local KYC, AML and GDPR requirements in Europe and beyond.
Fourthline’s AI-driven solutions unlock compliance for the entirety of the lifecycle, from onboarding, the verification and analysis, through to investigations and continuous KYC, in all stages of business development.
Since it launched five years ago, the firm has grown more than 80% yearly. Fourthline now employs over 270 people across The Netherlands, France, Spain and The UK; and works with European fintech leaders including N26, Trade Republic, Qonto and Scalable Capital; and other regulated financial institutions such as NN, Solaris and Western Union.
Fourthline co-founder and CEO Krik Gunning said, “We are on a mission to help regulated entities fight ever more complex financial crime. The huge leaps forward in technology over the last decade have been a double-edged sword: while consumers benefit from easier and quicker access to banking products, the nefarious actors have leveraged technologies such as deepfakes and social engineering such as money mules to increase the sophistication of their fraudulence. At present, approximately €1.8trillion dollars are laundered every year.”
Gunning said that In order to hold back the tide of financial crime, a raft of KYC, AML and anti-fraud technologies have been developed. Simultaneously, legislators have tried to keep up, which has increased the regulatory burden on companies.
He continued, “However, a lot of RegTech point-solutions do not truly alleviate the compliance burden on regulated entities as evidenced by the thousands of employees performing manual checks at banks that have deployed point solutions. At Fourthline, we provide financial institutions with a single, banking-grade solution for continuous, ‘lifetime’ financial compliance. This is what we do.”
DataDome, which has built an AI-powered online fraud and bot management platform, has recently closed its Series C funding round on $42m.
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