Total funding took a nose dive from last week. A total of $580m was raised across 33 FinTech funding rounds this week, compared to the $1.8bn raised the previous week.
The ten biggest deals of the week raised a total of $450.3m, with Kiwi leading the charge with an $80m funding round. The company, which is based in Puerto Rico, aims to propel the financial literacy of consumers, whilst enabling credit history development.
The US was home to the majority of this week’s FinTech rounds, including four in the top ten deals (Landmark, Episode Six, OpenFin and Stacklok). Of the total 33 FinTech deals, the US was home to 16.
Other companies represented in this week’s deals were Israel with four deals, Canada and the UK with three deals, and France with two. South Africa, Romania, India and Indonesia each recorded one deal each.
In terms of sectors, WealthTech came out on top with eight deals. This was followed by CyberTech with six and then infrastructure and enterprise software with five. Other sectors represented this week were marketplace lending and InsurTech with three, PayTech secured two deals, and ESG and RegTech both recorded one deal.
Despite the popularity of WealthTech this week, this has not been the story of 2023. European WealthTech seed deal activity dropped by 23% YoY in Q1 2023. In total there were 14 European WealthTech deals during the first three months of the year.
In a recent piece of research from FinTech Global this week, it found that India was the most active country in Asia for seed deals. There were 32 seed funding rounds in Q1, however, this was down 30% from Q1 last year. Indian FinTech seed deals raised a combined $54m in Q1 2023, a 1% increase YoY.
Another report from FinTech Global found that Middle Eastern FinTech deal activity halved in Q1 2023 YoY. The region saw a total of 15 deals during the first three months of the year. Middle Eastern FinTech funding reached $111m in Q1 2023, a 53% drop YoY.
Here are the 33 FinTech funding rounds from the week.
Kiwi scores $80m in fresh funds to propel financial inclusion for Latinos in the US
Kiwi, a Latino-founded FinTech entity, aims to propel the financial literacy of consumers, whilst enabling credit history development.
The company recently announced an injection of $80m in its coffers, consisting of a $75m credit facility, supplemented by a $4.5m pre-series A funding round. The debt financing was handed out by i80 Group, an investment firm recognised for supplying credit solutions to growth-oriented companies. Meanwhile, the equity round witnessed active participation from Advent-Morro Equity Partners, Altio Capital and Independent Capital.
Established in 2020 by first-generation immigrants, Mariano Sanz and Alexander Schachter, Kiwi was conceived with a vision to resolve the financial struggles encountered by millions of Latino consumers in the US. A lack of credit history often sidelines these individuals from the traditional financial system. Addressing this systemic gap, Kiwi employs proprietary AI and machine learning models to offer affordable capital to thin-file borrowers. This initiative equips them to manage everyday expenses whilst progressively building their credit profiles.
The fresh influx of capital will be instrumental in furthering Kiwi’s offerings. The company envisages the creation of new products with an ambition to position itself as the go-to platform for the underbanked Latino population to access a wider range of financial services.
Global digital banking group Tyme garners $77.8m, Tencent elevates stake
Tyme, a leading digital banking group globally recognised for its swift expansion, has successfully secured a funding round of $77.8m.
With Norrsken22 and Blue Earth Capital injecting fresh capital, Tyme prepares to soar into new territories.
Tyme’s financial windfall is a culmination of investments led by Norrsken22, an African focused tech growth fund, and Blue Earth Capital, an independent global impact investment firm. Remarkably, the funding round also saw the Chinese tech giant Tencent increasing its shareholding, fortifying its position as Tyme’s third-largest stakeholder.
Tyme’s innovative approach has spearheaded a transformative evolution in banking. Pioneering cloud-based infrastructure in South Africa, Tyme’s robust banking services ensure a seamless and efficient customer experience. TymeBank, the group’s South African flag-bearer, allows customers to open a fully regulated bank account in under five minutes, either online or via a TymeBank kiosk. Further enhancing its service offering, TymeBank’s SendMoney app enables users to transmit funds to any South African mobile phone in a mere nine seconds.
The newly acquired capital is slated to further propel Tyme’s operations in South Africa and the Philippines while laying the groundwork for future expansion into Southeast Asia. Tyme’s roadmap to democratise financial services by eliminating cost and access barriers remains the cornerstone of its expansion strategy.
Moreover, Tyme continues to resonate with an ever-expanding customer base, boasting a growth rate of 300,000 new customers per month across its markets. TymeBank’s burgeoning customer base, now over 7 million strong, stands testament to its successful penetration in the South African market. Notably, the bank’s hybrid model of digital banking paired with physical service has garnered unprecedented partnerships with national retailers and the largest church in South Africa.
Landmark $70m Series D funding injection boosts Nymbus
Nymbus, a leading provider of financial technology solutions, has announced the culmination of its Series D funding round, amounting to $70m.
The substantial funding round was facilitated by the involvement of both new and repeat investors. Prominent global software investor Insight Partners spearheaded the round, with further contributions coming from Nymbus clients ConnectOne Bank and PeoplesBank, as well as FinTech investors The Banc Funds Company and Mendon Venture Partners.
Nymbus is on a mission to revolutionise the financial services industry, offering cutting-edge solutions to help banks and credit unions overcome growth obstacles. Its ambitious expansion and modernisation strategy is centred around its innovative core system and diverse product portfolio.
The newly acquired funding will be used to expedite this vision, further accelerating the expansion and evolution of Nymbus’ products and services.
Banking infrastructure innovator, Episode Six, clinches $48m in Series C funding
Episode Six (E6), a global FinTech specialising in enterprise-grade payment processing and digital ledger infrastructure, has announced it has raised $48m in a Series C funding round.
The investment was led by Avenir, a growth stage investment firm committed to supporting category-defining, tech-enabled companies. Anthos Capital, a consumer and technology investment firm and a previous investor in E6, also participated in the funding round.
Known for their innovative TRITIUM platform, Episode Six serves as a modernising force for banks and companies operating within the payments space. Their platform aids businesses in delivering top-tier payments solutions with real-time adaptability – a critical feature in a market landscape driven by fast-changing consumer demands.
Episode Six plans to utilise the new funding to broaden its go-to-market strategies, build upon its global market leadership, and accelerate business scaling. Already boasting successful collaborations with top 50 global banks, the firm is well-positioned to drive the modernisation journeys for an increasing number of companies operating in the payment ecosystem.
OpenFin bags $35m Series D investment to boost financial industry adoption
OpenFin, the operating system (OS) enhancing enterprise productivity, today announced a major step forward with $35m Series D investment secured.
A leader in financial technology, OpenFin is fast becoming a standard in financial services, providing innovative digital experiences and next-generation applications for clients and employees alike.
This latest funding round, totalling $35m, was spearheaded by Bank of America, with significant support from Pivot Investment Partners and ING Ventures. Other investors that bolstered the round included CME Ventures, CTC Venture Capital, SC Ventures and Tribeca Early Stage Partners.
The New York-based FinTech, OpenFin, offers a web-based OS, now being used by more than 3,800 banks, wealth and asset management firms across 60+ countries. It’s standout offering, the OpenFin Workspace, provides a visual interface for its OS, offering an app launcher, notification centre, universal search, an enterprise browser with default interoperability, and app store capabilities.
With these features, OpenFin simplifies and unifies user experience across both internal and third-party applications, significantly boosting productivity and reducing operational risk.
OpenFin intends to channel the new funding into accelerating the adoption of OpenFin OS across the financial industry and beyond. Their focus is to help companies enhance their digital capabilities and increase productivity by cutting down on the “toggle tax” – the time wasted switching between multiple applications throughout the day.
Cybersecurity firm Sekoia.io secures €35m ($37m) in fresh funding
Sekoia.io, a Cybertech firm based in Paris, France, has successfully amassed €35m in a recent round of funding.
The company is a key player in the cyber security industry, known primarily for its innovative Sekoia.io XDR (eXtended Detection & Response) platform, which enables real-time cyber-attack detection.
In this funding round, the firm managed to secure backing from a mixture of new and existing investors. Banque des Territoires and European investor Bright Pixel (formerly known as Sonae IM) stepped in as new investors, while Sekoia.io’s historical investors, including Omnes Capital, Seventure, and BNP Paribas Développement, recommitted to their backing. This €35m injection comes after an earlier €10m funding round in 2020.
Sekoia.io was launched to tackle a growing need within the cyber security space: real-time cyber threat detection. The company was born out of a lack of effective alert correlation tools available to operational security teams in 2015.
After five years of intensive research and development, Sekoia.io’s eponymous platform hit the market in 2020. The platform is designed to offer robust protection against increasingly sophisticated cyber threats, owing to a cyber threat intelligence service created by the company’s research team. Additionally, Sekoia.io champions interoperability, integrating customers’ existing cyber solutions to present a unified control tower.
The funding will serve to bolster Sekoia.io’s already impressive presence in the cyber security industry. With a current workforce of about 100 employees and recording 250% growth in turnover for the last two years consecutively, Sekoia.io aims to safeguard more than 3.5 million employees across Europe within the next 24 months.
AI enterprise innovator FlowX.AI rakes in $35m, eyes global expansion
FlowX.AI, an artificial intelligence enterprise application modernisation platform, has recently announced a substantial boost in its fundraising efforts.
The innovative company managed to raise $35m in a Series A funding round. London-based Dawn Capital, a premier specialist in B2B software investments, spearheaded this significant funding effort. Several other notable investors, including PortfoLion, SeedBlink, and DayOne Capital, also participated in this round.
As a pioneering figure in the financial services sector, FlowX.AI specialises in modernising enterprise applications using artificial intelligence. Since its inception in 2021, the platform has been facilitating the rapid and effective modernisation of enterprise-level applications for large financial institutions, creating substantial returns on investments.
With the freshly secured funds, FlowX.AI plans to propel further product innovation and accelerate global expansion. The FinTech firm is determined to enhance its cutting-edge solution to reach a broader range of clients worldwide.
In addition to its successful fundraising, the company has forged profitable partnerships with several prominent system integrators. In just two years, FlowX.AI has generated hundreds of millions of dollars in ROI for top-tier financial institutions across Europe. Among its high-profile clients are notable names like OTP, Banca Transilvania, and Alpha Bank.
Novisto drives ESG reporting innovation with $20m funding
Founded in 2019, Novisto, a pioneering ESG data management software firm, has secured $20m in its Series B funding round.
The company is headquartered in Montreal, Canada and has over 100 employees spanning North America and Europe.
Novisto has successfully secured $20m in a Series B funding round. The funding was spearheaded by Inovia Capital, with additional investments from Portage and SCOR Ventures. The round also witnessed participation from existing investors White Star Capital and Diagram Ventures.
Novisto’s software plays a crucial role in the rapidly evolving realm of ESG reporting. With growing demands for audited and digitised corporate sustainability reporting, companies worldwide are increasingly recognising the need for structured ESG reporting.
Amidst mounting regulatory pressures from institutions like the European Commission and the U.S. Securities and Exchange Commission, Novisto offers an exhaustive data management solution enabling companies to future-proof their ESG data against stringent disclosure requirements.
The funding will be utilised to boost Novisto’s product development, fostering market expansion. Novisto is setting the benchmark for ESG data management, supporting global companies including Asana, Manulife, and Sanofi. Their platform facilitates companies in improving their ESG data collection and reporting, enabling them to manage sustainability risks effectively and drive long-term value creation.
Security firm Stacklok bags $17.5m in Series A
Stacklok, a company focused on bringing security solutions to developers working with open-source software, has raised $17.5m in a Series A raise.
The barriers to entry in terms of accessing, integrating, and ultimately consuming open-source software technologies are being lowered every day.
From the growing ecosystem of open-source libraries that contribute between 70 and 90% of deployed code today to the emergence of large language models as a force for productivity, the explosion in the volume of code being built and deployed by enterprise companies is continuing to increase dramatically.
Stacklok is harnessing the power of open-source projects like sigstore to deliver enterprise-grade solutions to address these urgent problems.
Stacklok claims its open-source platform will integrate within common development environments to help developers understand and mitigate risks in their day-to-day work in both their tool choices and their code dependencies, integrate a tamper-proof ledger for development teams that enables them to generate ‘proof’ of their best practices and enable operations teams to make policy decisions on what software may be deployed to a production environment based on an understanding of how it was produced, and communicate those needs clearly back to developers who are building the software
With an increasing number of high-profile cyber-attacks targeting software supply chains, the need for robust security measures has never been more urgent, Stacklok stated.
Managed repair tech firm Westhill secures $13.5m in funding
Westhill Global, a technological firm with a focus on providing a comprehensive digital solution for managing post-property-claim repairs, has recently publicised the successful acquisition of a preferred funding round worth $13.5m.
This round was guided by a notable strategic investor, marking a significant achievement for the company.
The recent funding has drawn contributions from both new and pre-existing investors, including Eos Venture Partners, Luge Capital, and NYCA Partners. Westhill has been carving out a strong position for itself in the $50bn managed repair market. The company facilitates property owners in linking up with top-tier contractors to expedite the recovery process after property damage, simultaneously reducing costs for insurance carriers.
At its core, Westhill Global revolutionises the property & casualty insurance industry with its unique digital solutions. By leveraging smart technology, the firm bridges the gap between insurance carriers, contractors, and policyholders. This approach removes inefficiencies from the claim process, offering customers a choice, while maintaining a business model rooted in transparency and shared value.
The latest funding influx will be channelled towards driving the exceptional growth of Westhill and providing customers and partners with new features and enhancements. This aims to smooth the property claims and repair experience, bolstering the company’s pathway towards profitability.
In spite of the economic challenges that 2022 presented, Westhill has managed to see record growth, a testament to its resilience and strong business model.
Firmbase secures $12m for advanced financial planning platform
Firmbase, a company that offers a financial planning and analysis platform, has scored $12m in a funding round.
The round saw participation from S Capital and Meron Capital. Several unicorn startup founders and prominent angel investors, including executives from Google, Amazon and Microsoft, also backed the firm, demonstrating confidence in its disruptive potential.
Firmbase has created an FP&A platform that can be implemented in just a few days, providing businesses with immediate insights and the benefits of collaborative planning. The firm’s modern approach counters the legacy FP&A tools that often leave valuable data fragmented across various departments within an organisation.
The new funding will be channelled into further developing this SaaS platform. The platform incorporates powerful collaboration and permissions features, so all parts of a business can collaborate to produce accurate budgets and financial forecasts. The advanced budget vs. actuals solution allows companies to automatically track their plans against performance and adjust forecasts proactively.
Firmbase’s platform also integrates with a company’s financial and operational systems, allowing the extraction of live data such as employee headcount and expenses. Through this integration, the firm can offer real-time visibility into financial performance. Along with the platform’s modelling engine, companies can quickly build dynamic budgets and execute scenario planning.
Pesto debuts asset-backed credit card and secures fresh funding
Pesto, a FinTech innovating in the pawn lending space, has announced the launch of its first card product and secured $11m in funding.
Securing funding from top-tier investors such as Activant Capital and Plural among others, Pesto embarks on a quest to offer a sustainable solution for Americans who are seeking to rebuild or establish their credit profiles at competitive rates.
Pesto is not your average FinTech firm, they’re reimagining the way customers interact with credit facilities. Their product, the Pesto Mastercard, issued by Continental Bank, is the first credit card to enable customers to leverage their assets as collateral for credit. Pesto customers can send their assets to the company and are then issued a credit card based on the value of these assets, regardless of their credit score. The innovative offering positions Pesto Mastercard with rates similar to existing credit cards, providing a substantial respite from the higher interest rates that are typical of pawn and payday loans.
The capital raised in this funding round will be channelled towards expanding Pesto’s customer base across the United States. The company has pinpointed Atlanta and Los Angeles as the initial areas of focus for this expansion.
XFlow clinches $10.2m to bolster global B2B payment solutions
XFlow, a dynamic startup specialising in B2B cross-border payments solutions, has recently secured an impressive $10.2m in a pre-Series A funding round.
The round was spearheaded by Australian venture capital (VC) firm, Square Peg, and witnessed active participation from Lightspeed, General Catalyst, and Moore Strategic Ventures, according to a report from Inc42.
Specialising in streamlining cross-border payments for Indian businesses, XFlow enables clients, ranging from small and medium enterprises (SMEs) to enterprise platforms, to conduct transactions in a regulatory-compliant manner. The firm assists businesses with sending and receiving money smoothly, thereby simplifying international transactions.
XFlow intends to leverage the fresh funding to accelerate its growth, fortify its technology stack, and broaden its product offerings. Specifically, the startup aims to support additional currencies, integrate more payment methods, and extend its operations to global markets. A substantial chunk of the funding will be utilised to ramp up hiring across various verticals including tech, sales, marketing, and design.
Further bolstering its commitment to excellence, XFlow has been serving an impressive portfolio of clients, which includes esteemed names like WeWork India, Inkle, and iCliniq.
Travel InsurTech Faye bags $10m in series A to reimagine travel insurance
Faye, a burgeoning travel insurance start-up, has raised $10m in its Series A funding round.
The round was led by Munich Re Ventures, accompanied by existing investors Viola Ventures and F2 Venture Capital. Additionally, Menora Tech and Mike Nelson, the ex-CEO of Global Travel Insurance at Allianz, also participated in the round.
Faye’s core proposition is to offer comprehensive travel insurance coverage. It encompasses various aspects including trips, health, personal belongings, and even pets. A standout feature of their product is the Faye Wallet, an intuitive application that allows travellers to file claims and receive reimbursements within a span of 48 hours, mirroring the convenience of Apple Pay and Google Pay. Moreover, the app issues real-time alerts for travellers and ensures 24/7 customer support.
The fresh capital will be dedicated to expanding the company’s scope and fostering growth. Elad Schaffer, CEO, and Daniel Green, CTO, intend to use the funds to devise new insurance offerings and fortify their automation capabilities. They also plan to pursue seamless integrations and establish new collaborations with top brands and distribution partners.
An additional development includes the introduction of a newly developed application programming interface (API). This enables an easy integration process for travel distributors keen on offering travel protection to their customers, fully embedded in their services. Moreover, the company recently launched the Travel Advisor Portal, a consolidated platform for travel advisors and agencies to manage travel insurance with Faye.
Memcyco bags $10m seed round to tackle brandjacking
Memcyco, a cyber defence platform specialising in real-time website impersonation detection and prevention, has closed its seed round on $10m.
Memcyco is at the forefront of mitigating a common and potent form of cyberattack known as ‘brandjacking’.
Memcyco received backing from leading investment firms Capri Ventures and Venture Guides. This noteworthy influx of funds marks a significant milestone in the company’s expansion.
Brandjacking, or website impersonation, is a cyberattack method where fraudsters lure users to imitation websites of known brands to trick them into revealing personal and financial information. This cybercrime variant poses a considerable threat, with imposter scams causing over $2.6bn in losses for consumers in 2022 alone, according to data from the U.S. FTC Consumer Sentinel Network.
Fighting off these threats, Memcyco employs its proprietary Proof of Source Authenticity technology. It offers Zero Day protection and real-time detection of such attacks, facilitating rapid response. Furthermore, the pioneering PoSA™ technology issues Red Alerts to users if they stray onto a counterfeit website, utilising artificial intelligence to identify irregular behavioural patterns.
The company intends to utilise this new funding to enhance and expand its unique PoSA™ technology. PoSA™ also features a digital watermark on the brands’ real websites, assuring customers of the site’s genuineness. Memcyco aims to create a secure online environment and bolster digital trust between brands and their customers.
Memcyco has an ambitious goal: reducing the financial damage to brands and their customers, minimizing user education efforts, curtailing the knock-on effects that discourage users from interacting with online properties, and thereby enhancing brand reputation.
Nue.io lands $9m funding for dynamic quote-to-revenue platform
Nue.io, a leading quote-to-revenue platform provider, is creating waves in the FinTech world. The company has announced that it has successfully raised $9m in a seed extension round to help bolster its product offerings and fuel expansion.
This exciting funding round was co-orchestrated by Bluefish Ventures and Penny Jar Capital, with contributions from NJP Ventures and Operator Stack as well as from existing investors Information Venture Partners and NextWorld Capital. To date, Nue.io has managed to raise a total of $15m.
Nue.io’s pioneering platform provides businesses with innovative pricing, sales, and finance tools on the Salesforce platform. It offers the potential for businesses of all sizes to optimise their operations, generate quotes, manage expansion revenue, and bill customers more efficiently, all the while granting real-time revenue analytics. This empowers businesses to deploy hybrid pricing strategies, improve cash flow, and slash operating costs.
The recently procured funding will be directed towards broadening Nue.io’s product offerings and reinforcing its sales and marketing teams to drive increased platform adoption among businesses. Nue.io’s unified solution is a game-changer, propelling traditionally assembled CPQ, billing, and custom code solutions to greater heights. This will surely bring about increased acceleration in sales and finance operations of companies.
Investment firm Unlimited seals $8m Series A funding
Unlimited, which allows investors to access alternative investment strategies without the high costs typically associated with such fund structures, has bagged $8m.
The company successfully raised the capital in a financing round led by FirstMark and Citi Ventures. A previously undisclosed tranche of convertible notes, spearheaded by Material, was also part of the investment package.
Unlimited’s business model aims to democratise the world of investing. It utilises proprietary return replication technology to design low-cost alternative strategy-tracking ETFs. These ETFs track a range of strategies, including global macro, long-short equity, and lower beta strategies.
The fresh capital will be deployed to further develop and launch new products in line with their low-cost and accessible alternative investment strategy. The firm is also set to expand its sales and distribution teams in order to drive its next phase of growth. Their mission is to give individual investors access to sophisticated investment strategies with greater transparency and liquidity at a lower cost than traditional limited partnerships.
CyberVadis locks down €7m in Series-A funding led by Zobito
CyberVadis, a third-party cyber risk management platform providing reliable cybersecurity ratings, recently secured €7m in a Series-A funding round.
This capital injection was spearheaded by Zobito AB, an enterprise software growth capital and buyout investor, in a round that also featured participation from other undisclosed investors.
Founded as a solution to combat global supply chain vulnerabilities, CyberVadis empowers organisations to scale their cyber risk management programmes through evidence-based assessments. Utilising a unique methodology, the platform aligns with international compliance standards, including NIST, ISO 27001, GDPR, and various other privacy and security laws.
CyberVadis effectively merges the speed of automation with the expertise of its professional team, delivering a scalable solution for third-party cybersecurity risk assessments at a fixed annual fee.
In the wake of this successful funding round, the funds will be channelled towards expanding the company’s team and developing the CyberVadis platform. This will enhance its capacity to deliver increased value to clients, service new markets beyond its traditional territories, and accelerate its pace of innovation.
The investment has been warmly welcomed by both CyberVadis and its new investors. In particular, Uli Beckman, a partner at Zobito AB, will join the CyberVadis board of directors, a strategic move that fortifies the relationship between the company and its investors. Moreover, the robust assessment capabilities of CyberVadis have already been leveraged to evaluate the cybersecurity and data privacy maturity of thousands of third parties across 96 countries.
InsurTech pioneer Sixfold emerges with $6.5m seed funding, revolutionising AI in insurance
Sixfold, a groundbreaking InsurTech startup, has launched the first generative artificial intelligence (AI) specifically designed to tackle the most complex challenges faced by the insurance industry.
The company has secured a seed investment of $6.5m, generously provided by Bessemer Venture Partners and Crystal Venture Partners. This financial boost, along with Sixfold’s industry-savvy leadership, primes the company for a fast-paced transformation of AI application in the insurance sector.
Sixfold aims to make strides in the underwriting process, a notoriously inefficient facet of the insurance business. Using their generative AI, Sixfold will aid in pattern recognition, helping to untangle the myriad factors involved in assessing complex risk. This novel approach is intended to alleviate the longstanding struggles of insurers to standardise risk assessment amidst an overwhelming influx of information.
With this funding, Sixfold is initially focusing on streamlining underwriting. The company is deploying its AI assistant to help underwriters swiftly evaluate and rate submissions, improving their capacity as well as the precision and traceability of their decisions.
In contrast to previous unsuccessful attempts at incorporating AI into insurance, Sixfold’s AI doesn’t adopt a ‘black box’ approach. Instead, their generative AI models are trained to ‘understand’ the massive volumes of data and assist human professionals in manual assessment.
Sixfold’s AI assistant promises to take over much of the tedious groundwork that underwriters have to contend with daily. Working in tandem with existing technologies, Sixfold enables insurance providers to reap its benefits without the need to replace legacy systems.
Sixfold is launching with BTIS, a commercial insurance provider centred on the construction and building trades industry. Sixfold’s tools will be instrumental in enhancing the speed and precision of BTIS underwriters’ work, thus enabling BTIS to focus more on issuing policies.
The company is also launching in collaboration with BuildZoom, a leading provider of contractor profile data, property building permit data, and contractor sourcing services. Sixfold plans to extend its partner ecosystem to include consulting and advisory firms, cloud providers, risk and prior loss providers, and medical records providers.
Groundbreaking startup Manifest secures $6m funding
Manifest, an innovative startup launched in 2022, is geared towards tackling the critical challenge of software supply chain transparency using a tool known as software bills of materials (SBOMs) with the close of a new funding round.
Its mission is to bring about a change in the software industry, where, unlike other industries, transparency about what goes into software has been far from the norm.
Recently, the company has managed to raise $6m in a funding round steered by First Round Capital. Other noteworthy investors such as XYZ, Palumni VC, Homebrew, BoxGroup, Silver Buckshot, Twelve Below, and Huge if True Ventures were also part of this investment round. Their significant contribution indicates a belief in Manifest’s potential and its proposed solutions to pressing industry problems.
Manifest operates with a primary focus on software supply chain visibility. Most of the software used today incorporates open-source code, forming a crucial part of internal applications and third-party components. However, this reliance comes with a downside: a large percentage of open-source components remain unpatched, which contributes to the rapid increase of software supply chain vulnerabilities. By providing a detailed list of the components within a piece of software, much like ingredients on a food package, Manifest aims to enhance cybersecurity and mitigate these vulnerabilities.
With this new injection of capital, Manifest has set out to redefine software supply chain management’s future. The funding will be channelled towards achieving greater visibility into component provenance, integrating with leading software composition analysis (SCA), asset inventory, and vendor management tools, and delivering world-class service and support.
Manifest’s dedication to tackling software supply chain vulnerabilities has attracted customers from the healthcare, aerospace, and defence industries. Additionally, the Department of Homeland Security’s Science and Technology Directorate’s Silicon Valley Innovation Program (SVIP) and the Air Force AFWERX program have shown interest in Manifest’s approach, marking a significant milestone in the company’s journey and its resonance within the public sector.
Team8 leads $5m seed round for FinTech start-up Ballerine
Ballerine, a leading player in the open-source risk decisioning platform arena, has announced a successful seed funding round.
The FinTech company’s innovative approach caters to a broad spectrum of businesses navigating the complex terrain of financial transactions and regulations.
The seed funding round, raising an impressive $5m, was spearheaded by Team8. Other influential investors that participated included Y Combinator, Vera Equity, and executives from Brex, Trulioo, Venmo, Melio and Coinbase, reflecting the strong market faith in Ballerine’s transformative potential.
Ballerine’s core offering is a robust, open-source platform that seamlessly integrates global data sources, enabling enhanced decision-making for crucial processes like onboarding (KYB), underwriting, and transaction monitoring. The company’s services are indispensable to businesses operating within the realm of KYB, KYC, and anti-money laundering regulations, including financial institutions, FinTech companies, e-commerce platforms, marketplaces, and other businesses.
The newly-acquired funds are expected to be channeled into developing the first open-source and developer-centric compliance infrastructure. The company’s rapidly increasing traction – seen in the 1500 developers worldwide attracted to its open-source GitHub repository – points towards the potential benefits of this investment.
Notably, Ballerine was brought to life by a talented team of developers – Noam Izhaki (CEO), Nitzan Guy (CPO), and Alon Peretz (CTO) – who come from the digital banking industry. Their first-hand experience of the many challenges in building and maintaining internal risk systems fuelled the inception of Ballerine, envisioned as a solution using a developer-first, open-source and modular approach.
Ballerine’s platform simplifies the task of verifying, underwriting, and monitoring businesses. This complex process, involving data extraction from multiple sources and constant policy updates due to regulatory shifts, is made more manageable and customizable through Ballerine’s platform. The company facilitates access to data sources, including company registries, sanctions, credit agencies, and others, through a single commercial agreement.
Onyx Private’s tailored banking for high earners attracts $4.1m funding
Onyx Private, a digital bank dedicated to high-earning Millennials and Gen Zers, has reportedly attracted an impressive $4.1m funding round.
Recognising the financial needs of affluent professionals, Onyx Private aims to provide a personalised banking experience that suits their lifestyle.
The investment was received from a diverse group of supporters, including Village Global, Y Combinator, Global Founders Capital, One Way Ventures, 186 Ventures, and Olive Tree Capital, according to a report from TechCrunch. This collective investment demonstrates confidence in Onyx Private’s unique approach to private banking.
In partnership with Piermont Bank, Onyx Private provides digital banking services tailored specifically to high earning younger professionals. These include checking accounts, debit cards, and cash back on payments and purchases. Alongside this, Onyx Private develops high-yield, fixed-income investment portfolios, such as cash-sweep accounts and U.S. Treasury bills, making investing accessible with $100 minimums and low fees.
The new funding will be used to progress towards its founders’ vision of Onyx Private becoming the “next-generation UBS”. Investment will be funnelled into developing new product lines, enhancing marketing efforts, and unveiling an in-app human financial advisor within the next year. This service will provide financial, estate planning, and tax advice, broadening Onyx’s range of premium services.
Alongside its core banking and investment services, Onyx Private offers customers a “lifestyle concierge” service. This digital personal assistant caters to the diverse needs of its customers, helping with tasks such as event booking, travel arrangements, and luxury gift purchasing.
Skorlife, Indonesian FinTech start-up, secures $4m in seed funding
Skorlife, the Indonesia-based FinTech start-up focused on improving credit score transparency, has successfully raised $4m in a seed funding round.
The funding round was spearheaded by Hummingbird Ventures, attracting further investment from QED Investors as well as repeat investors AC Ventures and Saison Capital, according to a report from TechCrunch.
Skorlife, co-founded by Ongki Kurniawan and Karan Khetan, is a pioneering platform that allows Indonesians to view their credit scores and reports from Indonesia’s credit bureaus. The platform additionally offers personalised advice to help users improve their credit scores, thereby providing a safeguard against identity theft.
With this fresh injection of funds, Skorlife aims to enhance product development, amplify marketing efforts and expand its team. The start-up is uniquely positioned in the market, catering to a demographic that has typically found it challenging to access affordable credit products.
Skorlife has accomplished several milestones since its launch, including achieving 100,000 downloads and gaining admittance into a regulatory sandbox overseen by the Financial Services Authority (OJK) of Indonesia. It is also the proud recipient of ISO 27001 and ISO 27701 certifications, further establishing its credibility in the market.
Kurniawan, sharing his vision for Skorlife, explained that many Indonesians have limited access to fair credit because banks and financial institutions tend to be very conservative about approvals due to lack of a robust credit scoring infrastructure and data. He highlighted that Skorlife’s solution caters to those individuals with prime or near-prime credit who have strong repayment histories but still don’t qualify for affordable credit products.
Barclays embraces next-generation FinTech with £3m Trade Ledger investment
Barclays, a multinational British banking and financial services company, has made a strategic move into next-generation business finance with a significant investment in Trade Ledger.
The bank has committed £3m to this groundbreaking venture, fostering a three-year technology partnership with Trade Ledger, an innovative working capital orchestration platform.
Trade Ledger’s platform offers revolutionary capabilities in the working capital finance industry, traditionally known for its lack of innovation and often sluggish finance access. The implementation of Trade Ledger’s platform by Barclays aims to transform this landscape, providing corporate clients with speedy, straightforward access to working capital and ultimately unlocking greater cash flow.
The cutting-edge platform, founded on API-driven SaaS technology, introduces a client-centric approach to loan management and onboarding. It eradicates laborious, manual processes by offering real-time access to vital data, including clients’ accounting platforms.
The new funds will be harnessed to expand Trade Ledger’s product capabilities and its footprint in the market.
Plenty secures $2.75m to revolutionise wealth creation for modern couples
San Francisco-based FinTech company, Plenty, has made waves as the maiden financial platform aimed at aiding couples in discussing, managing, and investing their finances collectively. The firm recently garnered a significant $2.75m in a pre-seed capital raise, drawing the interest of heavyweight investors.
Notable contributors include Phenomenal Ventures, 35V, the investment vehicle of Kevin Durant and Rich Kleiman, ex-CEO of Wealthfront, Adam Nash, former Stripe angels, and Inovia Capital.
With a unique focus on aiding millennials in their financial journey, Plenty offers an insightful solution to the financial headwinds faced by this demographic. From staggering student debt to climbing property prices and increasing interest rates, these challenges are further complicated by the changing dynamics of dual-career relationships, which add an extra layer to wealth-building and financial planning.
The company was birthed in 2022, founded by seasoned professionals, Emily Luk and Channing Allen, both of whom had previously collaborated at Even. Their tenure at the start-up, which aimed to eradicate the paycheck-to-paycheck culture and was later acquired by Walmart, opened their eyes to the flaws in traditional financial planning. Their experience led them to create Plenty, a tech-forward solution designed to empower millennials to navigate financial planning effectively.
With the newly raised funds, Plenty aims to expand its cutting-edge platform, which simplifies and automates the financial forecasting and investment processes for couples. Their goal is to create a system that couples can use to plan life milestones and achieve financial freedom collectively.
Hopr harnesses $500K to fortify API protection
Hopr, a cybersecurity trailblazer specialising in automated moving target defense (AMTD) for cloud-based assets, has just announced a $500K funding injection.
The source of this financial endorsement is TEDCO, also known as the Maryland Technology Development Corporation.
Having seen their initial $200K investment in Hopr mature, TEDCO decided to invest another $300K, taking their total backing of the cybersecurity specialist to $500K. This substantial increase is testament to TEDCO’s confidence in Hopr’s innovative technology and its potential to make significant strides in improving cybersecurity.
Operating in an industry where API attacks are on the rise and cloud-based businesses increasingly rely on containerised infrastructure and APIs for data sharing, Hopr is setting out to overhaul cybersecurity norms. Their pioneering AMTD technology serves to protect APIs by preventing threats from reaching endpoints. This is achieved through the use of Hopr’s patented technology, which disrupts traditional methods of dealing with certificates, keys, and secrets managers, thereby improving end-to-end data encryption.
The $500K funding will primarily be channelled towards accelerating Hopr’s product-led go-to-market strategy. This includes offering their AMTD solutions via cloud software marketplaces, enhancing the support for their “free-forever” subscribers and improving the resiliency and reliability of company infrastructure.
A key part of Hopr’s recent strategic move is their partnership with the Google for Startups Cloud Program. This collaboration will expedite product development, facilitate large-scale software testing and further explore new multi-cloud features.
Bloom Finance pulls in $7m from SixThirty-led Series A
Bloom claims it enables them to tap into the wealth they’ve built in their homes to help finance their costs of living in retirement.
The company has been growing rapidly since its launch of operations in late 2021, extending nearly $100 million to homeowners in Ontario and British Columbia to date.
Bloom said that is has been gaining market share in the traditionally bank-dominated reverse mortgage industry, propelled by its intense focus on leveraging technology to offer the simplest and most transparent equity access solutions for clients, their mortgage brokers and financial advisors.
The firm said it will use the new funding to accelerate its investments in product and process innovation, and continue its geographic expansion.
Payment orchestrator Paydock secures £25m ($30m) Series A
Paydock, a market-leading pure-play orchestration platform, recently announced a £25m Series A funding round.
This FinTech company is making strides in the rapidly growing payment orchestration sector, offering financial institutions and merchants a simplified way to connect to FinTech and payment systems.
The funding round was spearheaded by Silverstripe Investment Management Limited. This capital injection comes at a time when the payment orchestration sector is poised to grow to a massive $2.5trn by 2027, propelled by increasing demand from financial institutions for quicker, more secure, and user-friendly payment solutions.
Paydock offers a unique solution to the payment orchestration landscape. It provides financial institutions and merchants with rapid connectivity to FinTech and payment systems without disrupting current infrastructure.
Paydock’s platform is agnostic, helping customers to avoid hefty costs and risks that come with traditional multi-vendor payment solutions. The platform allows customers to ‘plug and play’ vendors whilst bridging common security gaps, and its bank-grade security posture sets it apart in the industry.
With its new funding, Paydock plans to work with selected institutions while continuing to offer its platform to merchants looking for frictionless access to the entire FinTech market. The company sees an urgent need within financial institutions to better support digital merchants, and Paydock aims to address these issues on a broad scale.
Driving green finance: Ashman Bank scoops £200k grant for decarbonisation innovation
Ashman Bank, an ambitious new entrant in the banking industry, led by a team of passionate entrepreneurs and experienced bankers, has been awarded a substantial grant of £200,000.
This financial injection has been made possible through The Green Home Finance Accelerator, supporting the UK Government’s Net Zero Innovation Portfolio (NZIP), and is aimed at helping homeowners decarbonise their properties, speeding up the journey to net zero.
The investment comes from the Government’s broader £20m scheme, with Ashman Bank collaborating with ThermaFY Eco Solutions, a company offering specialist software to identify heat loss, poor insulation, and equipment failures in heating systems. The grant will enable the development of an innovative product targeted towards the buy-to-let (BTL) market, coined Impact Buy to Let (IBTL).
Ashman Bank aims to utilise the grant for developing the IBTL, a novel product offering for the buy-to-let mortgage market. This product, created in-house, builds upon Ashman’s thorough comprehension of the real estate market and solidifies their commitment towards the future of UK’s real estate decarbonisation. The IBTL product aims to empower landlords with specific data for creating a net zero roadmap and providing tenants with essential energy consumption information, thus enriching the overall property market experience.
The grant’s utilisation by Ashman responds to the urgent necessity for landlords to enhance the energy efficiency of their properties. This need is driven by the changing building standards moving from EPC-E to EPC-B by 2030. Furthermore, Ashman’s unique product will be piloted in the second half of this year and will determine retrofitting works required to enhance a property’s energy efficiency both now and in the future.
Glovo Ukraine Startup Lab boosts FinTech, grants €35,000 to top three startups
Glovo, the Barcelona-founded global technology platform, recently hosted the Glovo Ukraine Startup Lab competition in partnership with the Ukrainian Startup Fund.
The company, which operates in over 2,000 cities across 25 countries, boasts more than 5 million active monthly users and a partner network of around 180,000 entities.
During the event held in Kyiv on May 16, an investment total of €35,000 was split among three winning startups. Selected from a field of 20 teams and over 70 applications, the winners showcased innovation in the areas of mobility, logistics, food technology, FinTech, and lifestyle.
Glovo is a pioneering tech platform, allowing users to purchase, deliver, and transfer any item within a city’s limits. Since its inception in Barcelona, the company has expanded to serve millions of customers in 2,000 cities spanning Europe, Central Asia, and Africa. Notably, Glovo has been operating in Ukraine since October 2018 and is currently accessible in 35 cities across the country.
The newly raised funding will provide the startups with a launchpad to further develop and internationalise their projects. Revisior, a comprehensive feedback and NPS service utilising artificial intelligence and machine learning, clinched the top spot and €20,000. Following closely, DEEPLOYALTY, a digital platform enabling retailers and banks to issue loyalty cards and display transaction receipts, secured €10,000. Spendbase, a unified platform for company cost optimisation that integrates virtual banking systems, cost control systems, and SaaS management, took home the remaining €5,000.
Baird Capital invests in fast-growing FinTech firm Freemarket
Freemarket, a leading FinTech platform specialising in regulated B2B cross-border payments and currency exchange, has announced a growth capital investment from Baird Capital’s Global Private Equity Fund.
The investment intends to fuel Freemarket’s rapid growth and international expansion while providing a partial cash-out to existing shareholders. The specific financial terms of the transaction remain undisclosed.
Established in 2011, Freemarket offers its clientele reliable and efficient B2B cross-border payment services via its proprietary technology platform. By leveraging its global banking network and cutting-edge tech, Freemarket allows customers to send funds to over 100 countries in 140 currencies. This solution eliminates complexities associated with cross-border payments, improving transparency and boosting efficiency.
Freemarket will utilise the recent funding to facilitate its continued expansion and growth, building on its already strong market position.
Chelsea Avondale bolsters Canadian home insurance portfolio with fresh series C funding
Chelsea Avondale, a pioneering home insurance group renowned for its underwriting using scientific risk models, has secured series C funding from an ensemble of prominent investors.
Chelsea Avondale’s latest funding round was headed by MSD Partners, L.P., with American Family Ventures and other investors also participating. The funds raised will primarily fuel the expansion of Chelsea Avondale’s Canadian homeowners insurance portfolio.
This portfolio is underwritten by its wholly owned subsidiary, Max Insurance, and is distributed via Max’s independent broker network. Additionally, the funding will also be deployed for strategic international growth. As a result of the successful investment round, Dan Bitar, managing director and co-head of MSD Growth, has joined the Chelsea Avondale board of directors.
Offering a fresh perspective on personal property risk, Chelsea Avondale distinguishes itself with a unique approach that delivers affordable capacity for many brokers and policyholders, even in challenging conditions. The company’s scientific, granular approach to underwriting facilitates an efficient quote, bind, and policy administration process that gives it an edge over traditional carriers.
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