An Anglo-Hungarian startup powering online fraud prevention has raised £72 million in Series B funding.
SEON, based in London, said the investment will see it expand its presence in North America, LATAM and APAC.
Led by Silicon Valley-based IVP, the round also includes existing investors Creandum and PortfoLion, as well as angel investors.
These include founders and senior executives from tech companies Aiven, Coinbase, DataDog, DoorDash, Figma, G2, GitHub, Public, Slack, Supercell, UiPath, Veriff and Wise.
After COVID-19 accelerated consumer activity and transactions online, identity fraud has grown exponentially. Fraud is a problem faced by every company that transacts with customers online from the world’s most significant financial technology companies to online marketplaces, digital health, education, gaming and eCommerce companies.
Bad actors are becoming increasingly sophisticated and companies need better tools to fight back. Historically, effective fraud tools were only readily accessible to large enterprises with the budget and staff to handle complex implementations. SEON says it democratises access to fraud-fighting technology, making the internet a safer place for business.
“SEON is bringing something different to the fraud prevention market by offering an accessible and flexible solution, which delivers instant results. Once discovered, our solution can be trialled by potential customers in less than 30 seconds and up and running in less than a day,” said Tamas Kadar, CEO and co-founder.
SEON’s API-led solution allows enterprises to plug into their system and go live within 24 hours. Its ‘data enrichment’ module uses data to establish an individual’s digital footprint based on their email address, phone number, IP address or location in real-time.
Its complete platform leverages machine learning capabilities to help global enterprise teams set rules, wean out false accounts and detect fraud in real-time.
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SEON experienced significant growth in 2021 and is now the go-to fraud prevention solution for companies like Revolut, NuBank, Afterpay, Patreon, Sorare and mollie. In 2021, the company more than tripled its annual recurring revenue, grew its headcount four times over, and opened new offices in Austin, Texas and Jakarta, Indonesia.
Along with welcoming IVP into its portfolio of investors, SEON will appoint Michael Miao, partner at IVP, to its board.
“Identity is one of the most important and biggest problems on the Internet. This product-led team is making a remarkable dent in fraud prevention by making it easy for every business to adopt its data-driven solution,” he said.
“As fraud explodes at an exponential rate, IVP is honoured to help guide this talented group as they work to expedite the fight against online fraud.”